Successfully registering a company in Thailand is only the first step in doing business across the border. Just as a vehicle requires regular maintenance, a Thai company requires continuous "maintenance" to operate soundly and avoid fines and legal risks. In this article, we will explain in detail the routine maintenance of a Thai company, annual compliance obligations, and the post-completion considerations that must be taken into account in order to help your business stay afloat.

I. Annual core compliance obligations (must be completed on time)

1. Annual business reports (annual filings):
   • Content: Annually submit a corporate information report to the Department of Business Development (DBD) for the previous fiscal year, including a financial summary, list of shareholders, and director information.
   • Time: Within 4 months of the end of the company's financial year (usually April of each year).
   • Importance: Failure to do so could face hefty fines or even result in the company being revoked.
2. Financial audits and tax returns:
   • Financial audit: Under Thai law, a limited company must have an annual audit conducted by a certified public accountant and an audit report issued.
   • Corporate income tax: Half-yearly prepayments and annual remittances are required.Annual Enterprise Income Tax ReturnTaxes must be filed and paid within 150 days of the end of the fiscal year.
   • Value Added Tax (VAT): If the company is registered for VAT, it is usually necessary toMonthly filing, and submit and pay the tax by the 15th of the following month.

If you have domestic company registration (Shenzhen / Guangzhou / Shanghai / Beijing / Hangzhou, etc.), overseas company registration (Hong Kong / U.S. / Japan / Britain / Singapore / Thailand / Vietnam / BVI / Cayman Islands, etc.), Hong Kong identity applications and renewals, cross-border tax planning, shareholding structure design, compliance and risk control programs and other needs, you can add customer service (WeChat: qcygscszk, cell phone: 18676749275), we will customize your exclusive optimization program to help you comply with the business, save money and increase efficiency!

II. Ongoing Compliance Focus in Daily Operations

1. Corporate Governance and Information Updates:
   • Minutes: The Board of Directors and Shareholders' Meetings are held regularly in accordance with the law, and the minutes of the meetings are properly kept.
   • Information change filing: When there is a change in the company's registered address, directors, shareholders, registered capital, etc., an application for change (Form BOJ 4) must be submitted to the DBD within the prescribed time limit (e.g., within 14 days for a change in directors) to update the business registration information.
2. Tax and Financial Management:
   • Compliance bookkeeping: Bookkeeping is done using accounting standards that comply with Thai tax laws.
   • Voucher Custody: Properly keep all original documents of income and expenses for at least 5 years in case of tax audits.
   • Transfer Pricing Documentation: If there is a related transaction, contemporaneous information documents need to be prepared to demonstrate that the transaction is at arm's length.
3. Labor and employment compliance:
   • Labor contracts: Sign a written labor contract with the employee (Thai version is the official and valid version).
   • Social Security and Benefits: Contribute to social insurance for employees (employer's portion is approximately 5% of salary), and comply with minimum wage standards.
   • Work Permit for Foreign Employees: Ensure that the foreign employee has the correct visa (usually a non-immigrant B visa) and a valid work permit, and that the work permit must be consistent with the current employer.
4. Bank account maintenance:
   • Keep company bank accounts active and reconcile regularly.
   • Ensure that the account signatory details retained by the bank are the same as the company's director details on file with DBD.

If you have domestic company registration (Shenzhen / Guangzhou / Shanghai / Beijing / Hangzhou, etc.), overseas company registration (Hong Kong / U.S. / Japan / Britain / Singapore / Thailand / Vietnam / BVI / Cayman Islands, etc.), Hong Kong identity applications and renewals, cross-border tax planning, shareholding structure design, compliance and risk control programs and other needs, you can add customer service (WeChat: qcygscszk, cell phone: 18676749275), we will customize your exclusive optimization program to help you comply with the business, save money and increase efficiency!

III. Important considerations and risk prevention at a later stage

1. Strict adherence to BOI commitments (where applicable):
   • If a company enjoys BOI investment incentives, it must continue to fulfill the commitment conditions, such as the amount of investment, the percentage of local employees employed, the percentage of exports, etc. Otherwise, the incentives may be disqualified.
2. Focus on industry-specific licenses:
   • Some industries (e.g. tourism, finance, food, medical devices, etc.) need to apply for additional business licenses and pay attention to their renewal requirements.
3. Emphasis is placed on the protection of personal data:
   • Thailand's Personal Data Protection Act (PDPA) has come into effect and companies must establish compliant data protection policies if they collect or use customer or employee data.
4. The risk of "escrow" under the new policy:
   • With the implementation of DBD No. 2502, the scrutiny of Thai shareholders' funds has been tightened. The risk of relying on non-compliant "nominee" shareholders has increased dramatically, which may invalidate the company's registration or expose it to penalties.Ensuring a clear, legal and transparent shareholding structure is fundamental to long-term stability.
5. Establishment of local support systems:
   • Consider hiring a local accountant or working with a CPA firm to handle your taxes.
   • Stay in touch with professional legal counsel or compliance services to get timely legal updates and respond to government inspections.

When operating a company in Thailand, compliance is not a one-time event, but a systematic project that requires continuous investment and attention. Establishing a clear compliance calendar, setting aside the necessary compliance budget, and partnering with a professional local service organization can free your company from tedious administrative tasks and potential risks, so that you can focus more on business expansion and market growth. Compliance is the cornerstone of earning respect and achieving sustainable growth in any market.