To enable the Office of the Board of Investment (the Office) to inspect and assess the progress of the promoted projects efficiently, the Office recently issued two announcements to amend the conditions related to the promoted person's reporting duties specified in the investment promotion certificates (BOI Certificate), effective as of 8 January 2018.
1. Announcement of the Office of the Board of Investment No. Por. 1/2561(2018) Re: Guideline for Project Progress Report
In the past, the BOI required the promoted person to submit to the Office a project operation confirmation report at the end of 6 months, 1 year, and 2 years from the BOI Certificate issuance date (in accordance with the Announcement of the Office of the Board Investment No. Por. 1/2548(2005)). With the new announcement, the promoted person is required to submit to the Office a project progress report twice a year, in February and July of each year from the BOI Certificate issuance date until it receives Operation Commencement License from the BOI.This requirement also applies to projects which have already received the BOI Certificate prior to the date of this announcement and has not yet received an Operation Commencement License.
2. Announcement of the Office of the Board of Investment No. Por. 2/2561(2018) Re: Guideline for Annual Performance Report
This new announcement amends the promoted person's duty to submit to the Office an annual report regarding the promoted project's financial status and operational result of each financial year in the form previously prescribed by the Office. As a result of this announcement, the promoted person is now required to submit an annual performance report of each year in the new form prescribed by the Office within 31 July of the following year until such person is no longer promoted. For existing projects, this new requirement shall replace the former requirement imposed in the BOI Certificate.
If the promoted person fails to comply with the reporting obligations, the Office will suspend the rights and benefits granted under the BOI Certificate. If there are two consecutive failures, the Office will consider revoking such rights and benefits or cancelling the promoted projects.
For more information, please contact our team at Baker McKenzie.