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More Exemptions of Foreign Ownership Limit for Service Businesses in Thailand

The Ministry of Commerce issued its Ministerial Regulation (No. 4) re: Service Businesses Not Subject Foreign Business License to Operate in Thailand dated 13th June 2019.  The regulation was published in the Government Gazette on 25th June 2019.

The following service businesses are exempted from the 49% foreign ownership limit under the Foreign Business Act B.E. 2542 (A.D. 1999) and therefore foreigners can operate such businesses as a service provider without obtaining a foreign business license:-

1.   domestic lending of money;

2.   renting of office space with public utilities;

3.   providing consultation and advice in relation to management, marketing, human resource and IT

provided that the service provider and the service recipient are related for any of the following relationships:-

(a)   sharing more than a half of the same shareholders;

(b)   sharing the same shareholder holding from 25% of the share capital;

(c)   a legal entity holding from 25% of the share capital in another legal entity; or

(d)   sharing more than a half of the same authorized directors.


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