The Thailand Board of Investment (BOI) is a government agency under the Office of the Prime Minister that aims to promote foreign and local investment in targeted industries and economic sectors. BOI offers a wide range of incentives and benefits to companies that qualify for investment promotion, making it an attractive option for entrepreneurs and corporations looking to establish or expand their business operations in Thailand.

Registering a company under the BOI can provide significant tax and non-tax benefits, 100% foreign ownership in many cases, streamlined work permits, and visa facilitation for foreign staff. However, the registration process is selective and involves several steps that require careful planning and documentation.

This article offers a comprehensive guide on how to register a company under the Thailand Board of Investment, including eligibility criteria, application procedures, incentives, and compliance requirements.

What is the BOI?

The Board of Investment (BOI) is Thailand’s main investment promotion agency. Its objective is to attract investment that contributes to Thailand’s economic development, competitiveness, and innovation. The BOI promotes industries in line with Thailand’s national development strategy, including high-tech, digital, green, and value-added sectors.

BOI promotion allows companies to enjoy benefits that are otherwise unavailable to standard Thai or foreign companies.

Key BOI Incentives

1. Tax Incentives:

• Corporate income tax (CIT) exemption for up to 8 years (plus 50% reduction for additional 5 years in some cases)
• Import duty exemptions on machinery and raw materials used in production
• Deduction from net profit of certain expenses such as utility costs, transportation, and R&D

2. Non-Tax Incentives:

• 100% foreign ownership, even in industries restricted under the Foreign Business Act
• Land ownership rights for foreigners (in special zones)
• Facilitated work permits and visas for foreign skilled workers and executives
• Permission to remit funds abroad in foreign currency

Industries Eligible for BOI Promotion

The BOI targets a broad range of sectors, including but not limited to:

• Advanced manufacturing (e.g., automotive, robotics, aerospace)
• Digital technology and software development
• Biotechnology and pharmaceuticals
• Agriculture and food processing
• Renewable energy and environmental services
• Education and healthcare services
• Logistics and distribution centers
• Research and development centers

Each sector has specific criteria that must be met to qualify for incentives.

Step-by-Step Guide to Register a BOI-Promoted Company

1. Business Feasibility and Planning

Before applying for BOI promotion, businesses must:

• Assess if their activities match BOI-promoted sectors
• Prepare a solid business plan, showing capital investment, employment, and technology used
• Plan for location and facility (industrial zones are often preferred)

Consulting with a legal or investment advisory firm is recommended to ensure alignment with BOI policies.

2. Online Application Submission

Applications for BOI promotion must be submitted online through the BOI Investment Promotion System (e-Investment Promotion Portal).

Documents required include:

• Detailed business plan
• Investment breakdown
• Market analysis
• Project timeline
• Estimated employment and salaries
• Description of production process or services offered

BOI officers may contact the applicant for clarification or request further documents during the review.

3. Presentation and Interview

After initial review, applicants are invited to present their project to BOI officials. The company representative (or appointed consultant) explains:

• Business model and rationale
• Investment structure and capital sources
• Technological or economic benefits to Thailand
• Plans for hiring Thai employees or knowledge transfer

This step is crucial, as BOI needs to evaluate the project’s developmental impact.

4. Approval Process

Following the presentation:

• BOI reviews the proposal against sector-specific criteria
• Approval time varies (generally within 40 working days for small projects; longer for large-scale investments)

If the application is approved, a BOI promotion certificate is issued within 10 days, and the company is granted promotional privileges.

5. Company Registration

Once BOI approval is obtained, the company must:

• Register as a legal entity (Thai limited company or public limited company) with the Department of Business Development (DBD)
• Comply with foreign shareholding structure approved by BOI (100% foreign ownership allowed for most promoted projects)
• Register for tax ID, VAT (if applicable), and open a corporate bank account

The company must also open its BOI-promoted project within the approved timeline.

6. Implementing the Project and Compliance

After registration, the company must follow BOI compliance requirements:

• Report project progress as scheduled
• Import machinery or raw materials using tax privileges
• Maintain proper accounting for tax and duty-exempted items
• Hire staff according to the approved plan
• Obtain permission for foreign employees through BOI’s One Stop Service Center

Failure to comply may result in revocation of promotional privileges.

Work Permits and Visas Through BOI

BOI promotes foreign investment by facilitating immigration processes:

• Smart Visa program available for experts, executives, investors, and startups in BOI-promoted industries
• Standard work permit and visa issuance is centralized through the BOI One Stop Center
• No Thai-to-foreigner employment ratio is enforced for BOI projects

This flexibility is especially attractive for companies needing to deploy international talent quickly.

Post-Approval Reporting and Monitoring

BOI-promoted companies must:

• Submit periodic progress reports (e.g., construction, machinery import, staff hiring)
• Complete final reports after full implementation
• Maintain records of production, sales, exports, and raw material usage
• Undergo audits or inspections if required

If the company meets the full conditions of its BOI certificate, it can enjoy tax and non-tax benefits without interruption.

Common Challenges in BOI Registration

• Incomplete or unclear business plans
• Misalignment with BOI-promoted activities
• Insufficient investment or capital contribution
• Lack of local support or experience in Thailand
• Non-compliance with deadlines or reporting obligations

Working with local advisors or BOI-accredited consultants can help avoid delays or rejection.

Conclusion

Registering a company under the Thailand Board of Investment is a strategic move for businesses seeking growth in Southeast Asia. BOI promotion not only provides significant tax breaks and legal advantages for foreign investors but also signals government support for your business operations in Thailand.

By carefully preparing your application, aligning with the BOI’s targeted industries, and meeting compliance requirements, you can take full advantage of Thailand’s investment-friendly environment. Whether launching a tech startup, manufacturing plant, or service center, BOI registration is a powerful tool to enhance your company’s competitive position in the Thai market.