Visa, Tax & Off-Shore Income

[TheHorse]

Hi All,

I've been reading through the various discussions, forums and websites about getting started in Thailand and im completely baffled as to the BEST approach.

having visited several times and fallen in love with thai life and culture I would like to live in Thailand for a year or 2. I currently run an online marketing business and look after a dozen or so medium sized companies in Australia. My business provides me with adequate income to provide a comfortable life in Thailand and due to the nature of the work it is totally feasible to make the move (as long as i have my computer and an internet connection ill be sweet.)

Keeping in mind that i want everything to be legit and legal, but also provide maximum benefit tax wise etc, what are my best options ?

Here are my specific questions (there's a few)

1. I would like to move my income outside the Australian tax system and invoice clients from a thai company (since i i plan to not be in Australia more than half the year this is allowed). I have spoken to a thai lawyer about setting up a thai business of which i would be a minority shareholder. The thai business would then invoice the aussie clients and pay me a wage plus cover my expenses etc...

• Can this business then offer me a thai work visa if i chose to stay a while?
  
• Are there any known issues with doing things this way?
  
• Whats the best way for the Aussie clients to then pay the thai company?
  
• What are the taxes on offshore income these days?
  

2. I want to head over and scout out a place to live, I plan on being there for about 45-50 days to do this in which time i hope to rent a condo and establish the business with the thai lawyers help. I was hoping to come back to australia for another 2-3 weeks and then return to Thailand, this time on a work visa, leaving periodically (say every 2 months) to see clients and then return to Thailand within 2 weeks each time.

• Is this even possible?
  
• will i encounter issues with visas by going backwards and forwards like this?
  
• I am thinking of applying for a 60 day tourist visa on my first "exploratory/setup trip", do i declare my intentions? is it better to just do a 30 day tourist visa with a run in the middle on this first trip etc?
  

I know this a long and weaving question but i'm hoping someone here can provide me clarity and some knowledge of these things before i find out the hard way if any part of this plan will or wont come off...

Cheers,

The Horse

[tombkk]

1. I would like to move my income outside the Australian tax system and invoice clients from a thai company (since i i plan to not be in Australia more than half the year this is allowed). I have spoken to a thai lawyer about setting up a thai business of which i would be a minority shareholder. The thai business would then invoice the aussie clients and pay me a wage plus cover my expenses etc...

• Can this business then offer me a thai work visa if i chose to stay a while?
  
• Are there any known issues with doing things this way?
  
• Whats the best way for the Aussie clients to then pay the thai company?
  
• What are the taxes on offshore income these days?
  

Your company needs to be registered properly and can then apply for a work permit for you. Minimum requirements are 2 million Baht capital, four Thai staff per work permit, and your income must be at least THB 50,000 per month.

The known issue is that you have to pay taxes, but that's quite normal.

The best way for clients to pay is to transfer the money into the company's bank account. In fact, I don't understand your questin/

This is not off-shore income, as the service is provided in Thailand (you work in Thailand, even if your customers are overseas), and the money is paid to the Thai bank account.

2. I want to head over and scout out a place to live, I plan on being there for about 45-50 days to do this in which time i hope to rent a condo and establish the business with the thai lawyers help. I was hoping to come back to australia for another 2-3 weeks and then return to Thailand, this time on a work visa, leaving periodically (say every 2 months) to see clients and then return to Thailand within 2 weeks each time.

• Is this even possible?
  
• will i encounter issues with visas by going backwards and forwards like this?
  
• I am thinking of applying for a 60 day tourist visa on my first "exploratory/setup trip", do i declare my intentions? is it better to just do a 30 day tourist visa with a run in the middle on this first trip etc?
  

There is no such thing as a work visa for Thailand. You have to apply for a non-immigrant class B (for business) visa in Australia. With this visa, you come to Thailand and then the company can apply for your work permit.

Once you have the work permit, you will get an extension of stay for one year. With this, you apply for a re-entry permit, which will allow you to leave an re-enter the country without changing your visa status.

If you are not sure yet whether you will open a company here, it is always better to come as a tourist and explore.

[xtoreus]

I read somewhere (maybe sunbelt site or another like that) that if your company is a Consulting business only, then only 1 thai employee is required per work permit. Is that still correct

Something important to remember is that you need a thai partner to open the business. This person will need to own 51% of the shares. What are the ways to protect ourselves in that situation?