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US Tax Implications for Americans with Thai Company Ownership Interest

Transcript of the above video:

In this video, we are going to just briefly, and this is just an overview. I urge anyone who is looking for detailed information on this topic, to contact us or another similarly situated legal professional in order to ascertain the answers to many of the questions surrounding this issue. But basically in this video, we are discussing, what are some of the requirements, what are some of the issues associated from a tax perspective, a US tax perspective with respect to maintaining an ownership interest in a Thai Company.  

In another video on this channel, we are going to speak specifically to Thai Treaty of Amity companies which Thai Treaty of Amity companies  can be owned almost 100% by an American citizen. We’ll go into the specifics with respect to amity in that over video. What I’m primarily talking about with respect to this video is basically Thai Company structures that are majority Thai or an American citizen may own a minority stake in a Thai Company.  Some things to think about with respect to IRS reporting, I am licensed in the United States Tax  Court, I deal with some tax matters, mostly associated with these kind of issues, where you’ve got an American citizen who is a principle or a stake holder in a Thai corporation.

Basically, some things to keep in mind or some things to consider generally, and I again recommend to anybody watching this video, call or contact a professional to seek more detailed advice. But that being said, those who hold directorships, large ownership interests in companies in Thailand, and very importantly for many different reasons, signatory authority even Corporate bank accounts associated with the company, all of these are things to think about with respect to not only possible tax implications in terms of tax liability especially with respect to shares in a Thai company with things like capital gains  come to mind with respect to director’s salaries, things like income tax come immediately to mind, but other things like signatory authority over bank accounts especially the foreign accounts tax compliance act (FATCA) which requires disclosure of many of these issues, many or all of these issues may require disclosure to the US IRS with respect to ownership.  It might even be a minority ownership in a Thai Company as one may have a minority stake but they actually may have a directorship interest or they may be the primary operative director, they may be the Managing Director and they may have full signatory authority over various bank accounts or fiduciary instruments, financial instruments that are associated with the company. These are all things to keep in mind with respect to the IRS and possible disclosure thereto. So, in the future, it’s probably not a bad idea if these issues are something that’s really triggering some questions in the individual viewer’s mind,  or is raising the back of the hairs on the back of an individual’s neck with respect to  “Do I need to go ahead and disclose this?” not a bad idea to contact either a CPA or somebody like myself, a tax attorney, to go ahead and ascertain the ins and outs of what one’s disclosure requirements are as well as the possible liabilities etc.