Nominee Crackdown Thailand 2026: What Expats Must Know | Lawyers for Expats Thailand

Thailand's nominee crackdown is no longer a warning. It is a nationwide operation, ordered from the very top of government, with a deadline. At Lawyers for Expats Thailand, we have been warning foreigners about the dangers of using a nominee for over 5 years. Today, those warnings have become reality.

This article explains what a nominee is, what the government is doing right now, the penalties, and the most important message of all: follow the law, and do not follow bad advice that only tries to hide the problem.

IMPORTANT: This crackdown is aimed only at people who have broken the law. Foreigners who own condominiums legally, run properly licensed businesses, hold BOI promotion or a Foreign Business Licence, or lease land correctly have nothing to fear. Thailand welcomes honest foreign investment.

A nominee is a Thai person or Thai company that holds shares, land or a business in their name, on behalf of a foreigner. The purpose is to let the foreigner own or control something Thai law does not allow them to own or control, such as land or a business restricted under the Foreign Business Act.

- A Thai company "owning" a house and land, where the Thai shareholders never invested their own money and the foreigner controls everything.

- Thai employees, friends, or staff from a company registration firm listed as 51% shareholders "on paper only".

- Pre-signed share transfer forms, undated resignation letters, or loan agreements designed to keep the foreigner in control.

- A foreigner running a restaurant, bar, tour company, dive shop or villa rental business through a Thai-majority company without a licence.

Under Section 36 of the Foreign Business Act, both the Thai nominee and the foreigner who allows it can face up to three years' imprisonment, a fine of 100,000 to 1,000,000 baht, or both, and the court will order the arrangement to stop. If the court order is ignored, a daily fine of 10,000 to 50,000 baht applies for as long as the violation continues. [1]

For land, the Land Code adds further offences. Foreigners who unlawfully acquire land and Thais who act as their nominees can each face up to two years' imprisonment and fines, with authorities able to order the land disposed of within 180 days to one year. [2]

There are lawful ways for foreigners to live, invest and do business in Thailand. A good law firm for expats will show you these options instead of a shortcut:

- Condominium ownership in your own name within the foreign quota.

- Registered long-term leases for land and houses, properly drafted and registered at the Land Office.

- Building ownership separate from the land, combined with a registered lease or superficies.

- BOI promotion or a Foreign Business Licence for businesses that need foreign control.

- Treaty of Amity companies for eligible US citizens.

- Genuine Thai partners who invest their own money and have real rights, fully documented.

Lawyers for Expats Thailand have advocated against the use of nominees for many years. While others set up nominee companies so foreigners could …