Our client whose Thailand BOI company – software business was set up by Thai Lawyers Ltd. asked us to explain about the THB 1.5 M condition. Before 2015, the companies that applied BOI for software business will have to prove that they have invested THB 1M (not the same as paid up capital) in order to file a form to open their BOI operation (which is different from the BOI application they filed to ask for the investment promotion). The new rule for Thailand BOI company – software business that applied for BOI from January 2015, is that after they get the BOI certificate, they have to spend THB 1.5 M in IT employees’ salaries per year. Your audited financial statement is the document you use to prove that. If your accounting year-end is 31 December, then you should plan if now till the end of the year you will spend that much or not. You cannot include outsourced people. You need to hire employees, maybe starting January and not in the middle of the year if you don’t think you will make 1.5 M this year. Suppose you do it in 2016, then early 2017 you can file a form to open BOI operation and show them your 2016 audited financial statements to prove that you already spent at least 1.5 M in 2016. Equipment (computers and software) cannot be counted to satisfy this condition of THB 1.5M IT salaries.
Call Thai Lawyers, for expert advice on Thailand BOI company registration. We will save you time and money. Read our BOI testimonials here.