Setting Up a Foundation in Thailand
The basic structures of a Thai foundation must comprise of.
1. Name, objectivesand office of the foundation
1.1 Name of the foundation
- It should include the word “foundation”.
- It must be in the Thai language. If there is no Thai wordthat is equivalent, the name should be
written in Thai based on its pronunciation.
- Using the name of the King or any member of the Royal Family is prohibited unless a written
consent of the Bureau of the Royal Household is obtained and presented.
- Using the name of a person requires a written consent from the owner of the name. If the
foundation cannot find that person, the foundation must make a public announcement before using the name.
- Names of government offices cannot be used, except in cases where the foundation is established
by the government office itself.
- It should not be a name similar to existing foundations, shrines, houses of priests, guardian spirits,
goddesses, or political parties.
1.2Objectives of the foundation
These objectives must be for the benefit of the public alone. It should be clear, brief, and compliant
with the laws of society and morality. More importantly, said objectives must neither be used for soliciting
money, nor for lending purposes.
1.3Location of the office
A foundation should have its own office. The following are helpful tips for choosing an office:
- Any government office cannot be utilized as the office of a foundation, unless established by a
government mandate.
- A public place or sacred area cannot be used as an office location.
- Branch offices of the foundation must be registered at the District Office where it is located.
2. Assets of the foundation that are allocated as operating fund
Assets allocated as operating funds should be used in compliance with the following regulations:
2.1Regulation of the Registration of a Foundation
- The initial registered fund must be in cash and should not be less than 500,000 baht. A fund of not
less than 250,000 baht is allowed if other assets exist.
- The Ministry of Interior is the office in charge of regulating of foundations, thus, foundations must
likewise comply with the registration requirements of said department.
2.2 Regulation of the assets takenas funds
-Through donations
-Bank interests
-Incomes from rental fees
-Income from the foundation’s activities
-Money obtained from contracts or testaments without subjecting the foundation to any monetary
obligation
3.Regulations of the foundation and the board of committee members
3.1 At least 3 persons are required to operate the foundation
3.2 The foundation’s regulations must contain the following:
-Foundation’s name
-Objectives
-Location of head and branch office
-Acquired assets
-Regulations that govern the nomination of the foundation’s members and committees i.e. size of the
board, term, discharge of duty and board assembly
-Regulations that govern the management of the foundation and its financial resources
Procedures of Registering a Foundationin Thailand
The first thing to do in setting up a foundation in Thailand is to make sure that it adheres to the rules
and regulations of the Ministerial Regulations of Regulations, Operations and Registration of the Foundation
B.E. 2545 (2002).
The owner of the foundation must then fill out and submit an application form (MorNor1)to the
registrar of the district where the head office of the foundation will be located. Three sets of following
documents must be submitted:
1. List of assets of the owner and list of allocated assets for the foundation i.e. letter of reference
from the bank that has account of the assetsand copy of land’s title deed in case of the land was donated to
the foundation
2. Names, addresses and professions of all members of the board of the directors (no less than 3
peoples)
3. Regulations of the foundation (6 items on the list as above 3.2)
4.Registered document indicating the promise to donate the assets (as in 1.) to the foundation, it
must contain the promisor(owner) and promisee must be member of the board of director (not the same
person as promisor)and 2 witnesses
5. Copy of testament if an asset was given to the foundation by virtue there of
6. Copy of ID card or other types of identification card issued by the government and copy of census
registration of the owners and members of the board of directors (if he is a priest or a foreigner, other
documents reflecting his status and address would be sufficed)
7. Map of the principal office and its branch offices (if any)
8. Written consent of the owner of the property where the office is located
9. Minutes of the meeting of setting up the foundation
10. Other documents such as
-Affidavitof investigating of the status and criminal recordof members ofthe board of director
- written guaranty for members of the board of director (in case of not interrogate)
- If the board of director are foreigner, the registrar must send personal data to investigate the
criminal record at the National Intelligence Agency and the embassy of their nationality
Upon receipt of the aforementioned papers, the registrar will check if there is an existing foundation
with a similar name. If none, he shall evaluate whether the objectives of the proposed foundation has any
relation with the duties under the control of the National Council of Cultural Affairs. If it is somewhat related,
the papers will be forwarded to the said Council for approval. Consequently, if the registrar admits the
application to register the Thailand foundation, a foundation registration certificate will be issued. This in
effect allows the proposed foundation to operate in Thailand.