) A representative office is a kind of office set up by a company in a foreign
country to conduct marketing and other non-operational activities. Thus, a
foreign company engaged in the business of international trading can set up its
representative office here in Thailand for marketing objectives without the
purpose of having an income generating activities. A representative office is
generally easier to register than a branch office or a subsidiary because it will
not be used for usual profit making business and therefore; there is a minimal
incentive to be regulated. Likewise, the scope of activities of a representative office must be limited to the approved activities or significant Thailand tax liabilities that can occur. However, if the representative office engages in other services other than the approved activities, it will be considered as doing business in Thailand and therefore, it may be subject to Thai taxation for its overall income generated from Thailand. Any excess on the
permitted activities can result to violation of the conditions of license to
set up and operate a representative office which in turn could lead to the
revocation of that license.;