US-Thai Treaty of Amity
The US-Thailand Treaty of Amity allows qualifying American-owned companies to operate in many business sectors with majority US ownership, bypassing standard Foreign Business Act restrictions. At Thai Visa Centre in Bangkok, we coordinate visas and work permits for Amity company directors and employees.
Amity protection applies to US nationals and US-majority companies in permitted activities, not to all foreigners or all business types. Typical structure: Thai limited company.
US citizens or US juristic persons with majority American ownership.
Certificate of Business Operation under the Treaty from Ministry of Commerce.
Amity grants ownership access, not automatic BOI corporate tax holidays.
Amity does not exempt visa, work permit, or tax obligations.
What is the Treaty of Amity?
The Treaty of Amity and Economic Relations between the United States and Thailand grants nationals of each country national treatment in establishing and operating businesses in the other territory, subject to exceptions listed in the treaty. For US investors, this typically means majority American ownership permitted in many otherwise restricted activities through an Amity certificate from the Ministry of Commerce.
Who qualifies?
| Requirement | Detail |
|---|---|
| Nationality | US citizens, or US juristic persons with majority US ownership and control. |
| Structure | Thai registered company meeting Amity capital rules, typically a limited company. |
| Activity | Must not fall under treaty excepted sectors reserved for Thai nationals. |
| Certificate | Certificate of Business Operation under the Treaty issued by Ministry of Commerce. |
Non-US foreign shareholders generally cannot rely on Amity. Standard Foreign Business Act rules apply to their portion unless separately licensed.
Excepted activities
Land ownership
Except as otherwise permitted under separate Thai law. Amity does not create broad land rights.
Natural resources
Exploitation of natural resources listed in treaty exceptions.
Domestic agricultural trade
Domestic trade in agricultural products reserved under treaty annexes.
Banking depository functions
Certain financial services involving depository functions are excepted.
Other annex categories
Verify your specific activity against the current excepted list before structuring.
Amity setup process
Incorporate Thai company
US majority shareholding with minimum capital requirements per current Amity rules.
Prepare Amity application
Shareholder nationality evidence, US passport copies, and company documents.
Submit to Ministry of Commerce
Treaty of Amity division reviews activity against excepted list.
Certificate issued
Certificate of Business Operation upon approval.
Tax ID and bank account
Complete tax registration and open corporate bank account.
Visa and work permit
US executives and staff working in Thailand need standard immigration documents.
Amity vs BOI vs standard FBA
| Factor | Treaty of Amity | BOI | FBA licence |
|---|---|---|---|
| Who | US majority | Promoted activities | Any qualifying foreign business |
| Benefit | Ownership in permitted sectors | Tax and ownership incentives | Activity permission |
| Tax holidays | No automatic CIT holiday | Often yes | No |
| Application | Ministry of Commerce | BOI | Ministry of Commerce / FBA committee |
Immigration for Amity companies: US and other foreign employees need non-immigrant B visa and work permit. Amity certificate supports company legitimacy but does not replace immigration documents. Guide: work permit guide.
Common mistakes
- Non-US shareholders assuming Amity covers the whole company without separate FBA compliance.
- Activity falls under treaty exceptions and certificate is denied.
- Insufficient US ownership percentage at application or after share transfer.
- Working in Thailand before visa and work permit are issued.
- Confusing Amity ownership access with BOI tax benefits.
Frequently asked questions
General answers on the US-Thai Treaty of Amity. Confirm your activity against the current excepted list with the Ministry of Commerce before investing.
Q:Can a US citizen use Amity with Thai minority partners?
A:Yes, if Americans hold majority ownership and control per treaty requirements.
Q:Does Amity allow land ownership?
A:Land ownership remains restricted for foreigners generally. Amity does not create broad land rights.
Q:Can Amity companies hire non-US foreigners?
A:Yes, but those employees need standard work permits. Amity does not waive immigration for non-US staff.
Q:How long does Amity certification take?
A:Often several weeks after company registration, depending on document completeness and activity review.
Q:What is the Treaty of Amity?
A:The 1966 Treaty of Amity and Economic Relations between the United States and Thailand grants nationals national treatment in establishing and operating businesses, subject to listed exceptions.
Q:Can Amity run alongside BOI promotion?
A:Sometimes in combined structures. Get advice before choosing one path only, as benefits and obligations differ.
Q:Does Amity exempt personal income tax?
A:No. US and other foreign employees owe standard Thai PIT and need proper visas and work permits.
Q:What structure is typically used for Amity?
A:A Thai limited company with US majority shareholding is the most common vehicle for Amity certification.