Thailand – Guidelines for Employees’ Trade-and Investment-Related Activities

Thailand – Guidelines for Employees’ Trade-and In...

On July 8, 2014, the Thai Department of Employment issued guidelines for trade and investment activities that do not require submission of Notification for Engagement in Necessary and Urgent Work under Section 9, such as participation in conferences and seminars, attending trade fairs/exhibitions, business visits, and attending academic lectures. The new policy should make it simpler for foreign individuals to enter the country when participating in said activities.

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Flash Alert 2014-082

On July 8, 2014, the Thai Department of Employment issued guidelines for trade and investment activities which do not require submission of Notification for Engagement in Necessary and Urgent Work under Section 9 (Form WP.10)1.  The activities include:

  1. Participating in a conference, consultation, or seminar;
  2. Attending an exhibition or trade fair;
  3. Business visits or business negotiations;
  4. Attending academic lectures;
  5. Attending technical training and seminars;
  6. Purchasing goods at a trade fair.

WHY THIS MATTERS

The Department of Employment’s revision to the notification and work permit procedures concerning employees involved in the above-noted activities should ease some of the administrative burdens on companies and make it simpler for foreign individuals to enter the country when participating in or undertaking the above-noted activities. 

With the revised procedures, companies’ in-house global mobility and immigration professionals, as well as external immigration professionals, need to adapt their processes and procedures with respect to sending employees into Thailand to participate in or undertake any of the above-noted activities.

Depending on the nature of the work activity in which the foreign individual is engaged, the above types of activity are regulated as follows:

  • If the foreigner acts as an “employee or contractor for a conference or seminar organizer,” then said activity is classified as work under the Alien Working Act B.E. 2551 (2008), and permission must be requested via the following methods: 
    • For a period not longer than 15 days – submission of Form WP.10 is required, with no restriction on the type of visa used to enter Thailand.
    • For a period longer than 15 days – submission of work permit (WP.1) is required, along with the requirements to obtain a Non-Immigrant Type B Visa for entry into Thailand.
  • If the foreigner acts as a “participant” or “attendee” or a “buyer” without any part in the organization or causation of the said conference, seminar, business negotiations, training, or trade fair, then said activity is not classified as engaging in work under the Alien Working Act B.E. 2551 (2008), and submission of WP.10 is not required.

KPMG NOTE

Business travelers and their employers should take into account the changed procedures in respect of these activities and act in accordance with the new procedures so as to be compliant.

FOOTNOTE

CONTACTS

For further information or assistance, please contact your local IES or People Services professional, or the following professionals with the KPMG International member firm in Thailand:

 

Lynn Tastan

Tel. +66 2677 2477 

ltastan@kpmg.co.th

 

Saangluk Sarobol

Tel. +66 2677 2477 

Saangluk@kpmg.co.th

 

Tanittha Cha-Um

Tel. +66 2677 2466

Tanittha@kpmg.co.th

The information contained in this newsletter was submitted by the KPMG International member firm in Thailand.

© 2016 KPMG Phoomchai Tax Ltd., a Thailand limited liability company and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

Flash Alert is an Global Mobility Services publication of KPMG LLPs Washington National Tax practice. The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.

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