BOI Thailand

Founded in 1966, BOI Thailand, or the Office of the Board of Investment, is a government organization supported by the Office of the Prime Minister. Since then, the Thailand BOI has served as an important government body supporting both domestic and foreign business investments in Thailand.

The BOI’s goals are to make Thailand more competitive and prevent the country from slipping into the "middle-income trap" by promoting steady and balanced economic growth.

BOI Thailand Services

To support the expansion of and investment in international businesses, BOI services are designed to meet the diverse requirements of investors. Here's how they assist:

• Offer guidance and details on investment opportunities, including rules and regulations surrounding BOI investments.
• Connect investors with government and private sector entities to streamline business operations like setting up a company and applying for work permits.
• Assist in creating industrial connections and finding local suppliers.
• Help in pinpointing potential investors.
• Facilitate the identification and acknowledgment of international experts or researchers in science and technology through the BOI Strategic Talent Center (STC).
• Give advice on investments abroad and conduct training sessions for Thai investors on the subject.

BOI Thailand’s Vision

The Board of Investment (BOI) in Thailand is working hard to bring in investment from other countries. They want to make Thailand's economy stronger by focusing on three big ideas: innovation, competitiveness, and making sure everyone benefits. They're all about using technology and new ideas to make the economy better, making sure businesses can grow and compete, and taking care of the environment and people while doing it. This plan is designed to make Thailand a great place for investors to put their money, helping to bring in new kinds of businesses and modernize the country's economy.

• Innovation
  Aim for an economy fueled by technology, innovation, and creativity.
• Competition
  Strive for an economy that's competitive, adaptive, and capable of high growth.
• Inclusivity
  Build an economy that prioritizes environmental and social sustainability, opens up opportunities, and reduces inequality.

BOI Thailand Benefits

Thailand gives special perks to businesses that invest in areas like research, technology, and important projects that help the country grow. These perks include breaks on taxes and the ability to hire experts from other countries. The idea is to attract companies that can bring in new technologies and ideas, making Thailand's economy stronger and more innovative. Whether a company gets one perk or many depends on its operations and how they help Thailand. The Board of Investment checks out each company to decide if they fit the bill.

Tax Incentives:

• Exemption or reduction of import duties
• Exemption from income tax and dividends for juristic persons
• Double deductions for transportation, electricity, and water supply costs
• An eight-year exemption from corporate income tax for:
  • Knowledge-based activities focusing on research and development (R&D) and design to boost Thailand's competitiveness
  • Infrastructure activities vital for Thailand's development
  • Activities utilizing advanced technology to enhance value-added
• A five-year exemption from corporate income tax for:
  • High-technology activities crucial to Thailand's development, especially where investments are currently minimal
• A three-year exemption from corporate income tax for:
  • Activities employing lower technology but adding value to domestic resources and the supply chain

Non-Tax Incentives:

• Permissions to employ foreign skilled employees and experts
• Rights to own land and remit money abroad in foreign currency
• Assurance against the nationalization of businesses
• The Board of Investment will also reveal a wide array of additional, and often limited-time, incentives for businesses already holding a BOI license

What is the BOI Application Process?

To get started with the Thailand Board of Investment (BOI), you first need to show them your detailed business plan. They're looking for projects that will help Thailand's economy grow. You submit your plan, then there's a meeting to go over it, and the BOI takes a close look to decide if your project fits its goals.

If they like it, your project gets the green light and some perks. The whole process is designed to make sure that only the projects that really benefit Thailand's economy get approved. So, if you want to invest, you've got to make sure your project lines up with what Thailand is aiming to achieve.

• Preparing for the Thailand BOI Application Process

  Starting your application for the Thailand Board of Investment (BOI) involves detailed planning and research for your project ahead of time. At this early stage, you need to review your business and project plans for the BOI, presenting them to the relevant government offices.

  It’s an important step as it provides feedback on how ready you are and the potential for success of your application. By following this approach, you can pinpoint necessary changes to your BOI business plan and strategy before submitting your application, reducing the chances of rejection.

• Filing the BOI Application

  The process includes submitting the completed application with the necessary documents via the BOI Thailand e-service portal. Within 10 business days following the application's submission, applicants should reach out to the BOI office to arrange a meeting to present their project and undergo an interview with the BOI committee.

• Presenting Your Project and Evaluation by the BOI

  This stage offers a chance to showcase your business idea to the Board. Following your presentation and assessment by BOI officers, you will receive the Board's decision or endorsement based on the investment amount:

  • For investments under 200 million THB, the review for BOI endorsement takes up to 40 working days after a complete application is accepted.
  • For investments exceeding 200 million THB, a subcommittee's review for BOI approval occurs within 60 working days after a full application is submitted.
  • For investments above 2 billion THB, a subcommittee's evaluation is required, and followed by a full review by the Board itself.
• Receiving BOI Approval

  Once the BOI application is approved, their office will issue a written notification to the applicant within 7 days. This notification will detail the conditions, privileges, and benefits awarded. It also includes the form necessary to acquire the BOI certificate.

  • After receiving official approval, the applicant must complete the promotion acceptance details and return them to the Office of the Board of Investment (OBOI) within 30 days.
  • If the applicant cannot respond within this period, they should write to the OBOI explaining their circumstances. The OBOI may then allow extensions in 30-day increments, up to a total of 3 extensions.
• Registering a BOI Company

  To secure the BOI investment promotion certificate, the applicant is required to form a Thai company within six months from the date their application is approved. The documents needed for submission include:

  • BOI promotion certificate application form
  • Memorandum of association
  • Certificate of company registration
  • A certificate showing the registered capital, authorized directors with their signing authority, and the company's registered address
  • A list of shareholders
  • Proof of fund transfer from abroad, or an investment certificate from the Bank of Thailand
  • If applicable, a joint venture agreement, licensing or franchise agreement, technical assistance contract, and/or technology transfer agreement
  • A document detailing human resource needs
• Granting of the BOI Certificate

  Upon receiving all the necessary documents and finalizing its registration in Thailand, the Office of the Board of Investment will grant the investment promotion certificate. The company must then adhere to all the stipulations outlined in the Certificate.

• Obtaining Visas and Work Permits

  This stage involves obtaining non-immigrant B visas and BOI work permits for foreign directors and staff.

  • Before recruiting international employees, the BOI-registered company must register with the e-expert system. This allows the company to submit requests and receive approval to hire foreign workers.
  • After a position is advertised, opened, and approved in the e-expert system, the candidate can apply for both the visa and work permit through the BOI One Stop Service Centre (OSOS).
• Reporting and Compliance for BOI Companies

  Newly established and BOI-endorsed companies are required to regularly update officials on their progress:

  • The company must import machinery and equipment within 30 months to take advantage of tax and duty reductions.
  • By 36 months, construction should be finished, with all machinery and equipment set up, and the factory should be prepared to begin operations.
  • If there's a need to pause operations for more than two months, the company must seek approval from the Office of the Board of Investment.
  • Before a promoted company can mortgage, sell, lease, or transfer machinery that was imported with tax exemptions or at reduced rates, written consent from the Office of the Board of Investment is necessary. This permission is also required to repurpose machinery for uses not previously approved.

What documents do you need?

To apply for a Board of Investment (BOI) Promotion Certificate and its benefits, you'll need the following:

• Corporate documents (if the company is already set up), including the Affidavit, Shareholder's list, Memorandum of Association, and Financial Statement
• For companies not yet established, a copy of the director's passport or Thai ID card
• Financial and investment strategies
• A detailed account of the business's scope
• Business type and size
• Operational processes
• Inventory of machinery, tools, equipment, computers, and software planned for use, noting their origin, quantity, and price
• A list of key customers and partners
• Marketing strategy
• Operational strategy, including the location for building/operations and projected income
• Forecasted income and expenses for the first three years
• Project benefits (if any)
• Brochures of the company and its affiliates

Be aware that the BOI officer might ask for additional documents as needed. Applicants must also participate in a presentation and interview to provide more detailed information about their project.

Where is BOI Thailand Located?

The Thailand Board of Investment (BOI) Head Office is located at:

555 Vibhavadi-Rangsit Road,
Chatuchak, Bangkok 10900, Thailand
Tel: (+66) 2553 8111
Fax: (+66) 2553 8315
Website: www.boi.go.th

Siam Legal is Here to Help

Applying for Thailand Board of Investment (BOI) promotion and certification should be handled by a Thai law firm as it can be difficult and confusing. Mistakes or incorrect applications can cause delays that your business can’t afford or even an outright rejection of your petition.

For more information on conducting business in Thailand and professional assistance with preparing your application, please reach out to us. Our experienced team of lawyers will support and guide you through every step of the process.