Business Bank Account - No Work Permit

[JimmyGreaves]

Is it possible to obtain a business bank account without having a work permit in Hua Hin?

I've got a personal account with SCB and if possible will stay with them.

Thanks

[Norseman]

Hi Jimmy.

A lot of farangs have their own business here, without work permission.
As long as the Thai's do the work you don't need a work permit.
I have never asked a personal question like their bank accounts, but I would guess that it should not be a problem to open a bank account in your company's name.

[lomuamart]

Is it possible to obtain a business bank account without having a work permit in Hua Hin?

I've got a personal account with SCB and if possible will stay with them.

Thanks

As Norseman has already said, there should be no problem with opening an account in your company's name.
However, you've not said whether you've got a company. There are plenty of businesses here that aren't incorporated for tax reasons. What's your situation?

[JimmyGreaves]

Yes, I have just setup a company (2m Baht) but have gone back to the UK before I opened the bank account.

I have given my girlfriend signing power at the moment and she will open the company bank account. I need to pay a small deposit on some land, before I return to HH When I get back to Hua Hin April I will change the signing power back to me, but I dont want any problems with the bank when this happens with them asking me for a work permit as I don't want one at the moment.

The company minutes allows her to open the bank account now for me but I don't want to have a problem later when I revert the signature authorisation to me.

I am the MD 49% - 51% Thai

Cheers Guys.

[Jim]

Are you inteding to trade as the company or have you just set up the business to buy a house? If the latter, there's no problem trading from your personal account.

[JimmyGreaves]

Hi Jim

I need the company bank account to register the capital is that true?

Are you saying that once the company bank account is setup to buy a property, then once I've paid for it via the company I presume to register the capital, then any company payments (accounting etc) can be made via my personal account and the company bank account can remain at zero funds and my yearly accounts show personal loans?

[tuktukmike]

JG

Do you mean that to register a 2 million baht company you must show that amount in the bank.

If so then you have been badly advised, if you are only using the company for a house purchase then why not a 1 mill company.

By registering a 2 mill company you are going to pay a lot more in taxes out here.

For the record, you do not need to show 2 mill in the bank to register a 2 mill company, Keep all you can back home.

Mike.

[johnnyk]

Can anybody exolain this to thickhead me...
Why is it a 2 million baht company (or other amount) if we don't have to put or have that much money in the company account?
Does it mean the company has a limited liability of 2 million?
How can a 1 million baht company own a 3 million baht house and land?
Anybody?

[tuktukmike]

Hi Johnnyk,

Not sure i can answer all your questions as its all Greek to me also.

If you register a 2 mill company you can apply for a work permit but to obtain this you must be VAT registered.

A 1 mill company should still pay tax but at a much lower rate, many people use these (SHELF) companys to buy land or a house.

There are now checks being done on these ! mill companys though if you buy a house, ie. You should pay rent on your house to the company and a proportion of this will be taxed. This is something that seems to have started in the last year or so.

As such this is mainly due to so many shelf companys being set up and are non-performing companys, i guess much the same as we would expect back home.

When you register a 2 mill company and want a work permit you must employ at least 4 thais, not a real problem as all can be part-time.

If you require 2 work permits then you must register a 4 mill company and employ 8 thais, except in the case of a married couple. In which case you have to get your marrige certificate stamped and verified by your Embassy and also translated.

Mike.

[johnnyk]

Thanks Mike.
So to buy my house I guess I only need a 1 mill company but make sure I show activity, file a proper return and pay a bit of tax to keep them sweet.

[tuktukmike]

Johnnyk,

That is about right.

I am sure JW could steer you in the right direction as this is his job these days.

Just register your company (around 7000bht) and buy in your company name, try and show some activity like house rent .

Pay for your accounts each year and all should be ok. it seems like i said that it is the companys that are registered and do nothing that are checked first.

Mike.

[johnnyk]

Thanks Mike.
What do you mean that's JW's job these days?
I thought he was a publican?

[tuktukmike]

A bit of both i think.

I am sure he could put in touch with a good lawyer to start a company.

Not telling you mine as the bas--rd has too much work already.

Mike.

[JimmyGreaves]

Yes, I setup a 2m baht company (49%me/51%) so that maybe in a year or so I can get a work permit, cannot see myself just doing nothing for the next 20 years (51 now) and I realise that you really only need 25% of the 2M deposited.

Buying some land at the moment which takes me nearly up to the 2M so the capital will be fully paid up. (Don't know if that is an advantage or disadvantage) Also I used BKK lawyers that JW recommended on one of his earlier posts. I'm in the UK at the moment so have not seen the actual company documents so don't know all the ins and outs, also finding it hard to get after service via email with questions regarding the setup, maybe I need to phone. I will be back in April to finalise the purchase so I hope all we be revealed then.

Cheers