Transcript of the above video:

As the title of this video suggests, we are discussing VAT, that is Value Added Tax Certification, Business Visas and Work Permits. All of this is being discussed in an SME context; those are small to medium sized enterprises here in Thailand. 

Those who want to set up a small business here in Thailand it is possible to do that. Depending on your nationality, for example if you are an American citizen, it may be possible to set up under the US-Thai Treaty of Amity and thereby enjoy 100% ownership of a Thai Company. Other nationalities depending on circumstances, you may be able to avail yourself for example of BOI benefits, or you may set up 49-51% as a Thai Company; 51% Thai in order to be in compliance with the Foreign Business Act. Again it is all going to depend on your circumstances.

Generally speaking where we see somebody setting up a new SME here in Thailand, VAT is inextricably linked in many ways to Business Visa issuance as well as Work Permit issuance because it ends up becoming a requirement for one, in this case oftentimes they won't issue a Work Permit and you can't get your Business Visa extended without the Work Permit and the Work Permit is kind of tied to VAT. They want to see that that entity is VAT certified. This can be something of an uphill battle. VAT, the Revenue Department oftentimes they don't just allow any Corporate domicile to support a VAT certified entity. For this reason it may not be a terrible idea for those who are looking into this, you may want to contact a legal professional, gain some insight and guidance into how best to proceed.