A Board of Investment (BOI) promoted company in Thailand is a business entity that has been granted promotion privileges by the Thailand Board of Investment. The BOI is a government agency that aims to attract foreign investment and promote economic development in Thailand. Here are some key points regarding BOI promoted companies and their advantages:
- Eligibility and Application:
- BOI promotion is available for both foreign and Thai-owned companies operating in certain targeted industries.
- The application process involves submitting a detailed business plan, financial projections, and other relevant documents to the BOI.
- The BOI evaluates applications based on criteria such as the company’s investment value, technology transfer, job creation, environmental impact, and industry relevance.
- Promotion Privileges:
- Tax incentives: BOI promoted companies can benefit from various tax incentives, including exemption or reduction of corporate income tax for a specific period.
- Import duty exemptions: Raw materials, machinery, and certain equipment imported for business operations may be exempted from import duties.
- Land ownership: BOI promoted companies may be granted permission for land ownership in certain cases, allowing greater control and flexibility.
- Work permits and visas: The BOI facilitates work permits and visas for foreign employees, enabling ease of recruitment and employment.
- Additional incentives: Depending on the specific promotion package, companies may receive additional benefits such as support for research and development, access to infrastructure, and streamlined administrative processes.
- Industry Focus:
- The BOI promotes investment in specific industries considered important for Thailand’s economic growth and development, such as manufacturing, technology, tourism, renewable energy, healthcare, digital services, and more.
- Different industries may have different promotion packages and eligibility criteria, tailored to their specific needs and objectives.
- Support and Facilitation:
- BOI promoted companies receive support and facilitation from the BOI throughout their investment journey, including assistance in obtaining permits, licenses, and clearances from other government agencies.
- The BOI serves as a one-stop service center, providing information, guidance, and coordination to ensure a smooth and efficient investment process.
Here are the advantages of being a BOI-promoted company in Thailand:
- Tax incentives: BOI-promoted companies are eligible for various tax incentives, including corporate income tax exemptions for up to 8 years, import duty exemptions on machinery and raw materials, and exemptions or reductions on dividends paid to foreign shareholders.
- Extended work permits: Key personnel and experts working for BOI-promoted companies may receive extended work permits, allowing for longer-term employment in Thailand.
- Ownership rights: Certain industries that are normally restricted to foreign ownership may allow BOI-promoted companies to have 100% foreign ownership.
- Streamlined procedures: BOI-promoted companies benefit from streamlined procedures for permits and licenses, making it easier and faster to set up and operate their business in Thailand.
- Investment incentives: BOI provides investment support and facilitation services to promote the growth and success of BOI-promoted companies. This includes assistance with obtaining permits, licenses, and other necessary approvals.
- Enhanced infrastructure: BOI-promoted companies may receive support in terms of infrastructure development, including access to industrial estates, transportation networks, and utility services.
- Intellectual property support: BOI offers assistance and support in protecting intellectual property rights, which is crucial for companies operating in technology-driven industries.
- Access to skilled labor: BOI promotes the development of skilled labor in targeted industries, providing BOI-promoted companies with access to a qualified workforce.
It’s important to note that the specific privileges and conditions offered to BOI promoted companies may vary based on the industry, investment value, location, and other factors. Companies interested in BOI promotion should consult the BOI’s official website or contact the agency directly for detailed information and guidance tailored to their specific circumstances.
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