I am working in Thailand now and have a work permit. I have been told by friends that they heard foreigners could get a TAX REFUND for the first year they are working here. I am most interested in this and would accept advice on how I could start the procedures if this could be done.

You don't say what country you come from and that could make a difference. Under some tax treaties (I am most familiar with the US treaty) certain teachers and researchers can be exempt from Thai taxes for up to two years. But, the exemption is only available to educators and researchers. If you are woking in an office or factory, there is no exemption.

If you do claim the exemption for teachers, etc. there can be problems with your US taxes. In order to claim the exemption, you must obtain a statement from IRS that you are a US resident. If you do that, you are not eligible to claim the foreign earned income exclusion on your US return under the bona fide resident rules. You must qualify under the 330-day rule. I've seen teachers who could not do this. So, they saved on Thai taxes but wound up paying US taxes.

Talk to an accountant. They'd be able to help.

I suspect you've been wrongly advised. I'm not aware of any refund for farang based solely on being here for the first year. You'd get a refund if it was found that you had had too much PAYE deducted during the year and you paid more than you should have, but that would apply to any year, not just a farang's first year.