On January 26, 2021, the Thai government passed a resolution to reduce the government fees that are generally collected for the registration of a sale and mortgage of immovable property. The details of this were subsequently set out in two notifications issued by the Ministry of Interior and published in the Government Gazette on February 2, 2021, taking effect the following day. The notifications will remain in effect through December 31, 2021. These two notifications, which are part of the government’s relief efforts to soften the economic fallout of the COVID-19 pandemic, specify that government fees for the registration of a sale and mortgage of immovable property are reduced to 0.01% of the official assessed sale price (reduced from 2%) and 0.01% of the mortgage amount (reduced from 1%). In order to qualify for the reduced rates, the sale and mortgage must be registered at the same time, and the sale price and mortgage amount must not exceed THB 3 million (approximately USD 100,000). The reduced rates only apply to the sale and mortgage of detached houses, semi-detached houses, row houses, commercial buildings, and condominium units, and they must be sold by a licensed developer or authorized government authority. For more information on these notifications, or on any aspect of the Thai government’s COVID-19 relief measures, please contact Tilleke & Gibbins at [email protected] or +66 2056 5555.

In Vietnam, divisional practice is fairly flexible.  Specifically, one or more divisional applications can be filed: (1) in response to a lack of unity rejection; and/or (2) at any time for any reason (e.g., voluntary divisionals are permitted).  

Attorneys from Tilleke & Gibbins’ offices in Vietnam have contributed the Vietnam chapter to the Foreign Investment Review 2021, a global guide to the legal and regulatory environment for foreign investment in 25 jurisdictions worldwide. Published and distributed by Getting the Deal Through (GTDT), the guide discusses law and policy on oversight of foreign investment, regulatory frameworks, procedural requirements, and other important stipulations for foreign investors. The Vietnam chapter, which was authored by Phuong Thi Minh Tran, an attorney-at-law in Tilleke & Gibbins’ Ho Chi Minh City office, and Nam Ngoc Trinh, an attorney-at-law in the firm’s Hanoi office, covers the following topics: Law and Policy: Government policies and practices, main laws and their scope of application (including details on investment promotional measures), definitions, rules for state-owned enterprises and sovereign wealth funds, relevant authorities and oversight, and national interest provisions. Procedure: Jurisdictional thresholds, national interest clearance, securing approval, the review process for competition clearance and associated penalties, involvement of authorities, facilitation of clearance, and post-closing regulatory powers. Substantive assessment: Substantive tests for clearance, authorities’ consultation with other countries and other relevant parties, transactional prohibitions and objections, mitigating arrangements and challenges to a decision, and protection of confidential information. Recent cases, updates, and trends: Relevant recent case law, key recent and ongoing developments. The Vietnam chapter is available below as a PDF. Tilleke & Gibbins also contributed the Cambodia, Laos, and Myanmar chapters to Foreign Investment Review 2021. To browse all 25 jurisdictions covered by the guide, please visit the Getting the Deal Through website.

Attorneys from Tilleke & Gibbins’ office in Yangon have contributed the Myanmar chapter to the Foreign Investment Review 2021, a global guide to the legal and regulatory environment for foreign investment in 25 jurisdictions worldwide. Published and distributed by Getting the Deal Through (GTDT), the guide discusses law and policy on oversight of foreign investment, regulatory frameworks, procedural requirements, and other important stipulations for foreign investors. The Myanmar chapter, which was authored by attorney-at-law Nwe Oo and counsel Ross Taylor, covers the following topics: Law and Policy: Government policies and practices, main laws and their scope of application (including details on investment promotional measures), definitions, rules for state-owned enterprises and sovereign wealth funds, relevant authorities and oversight, and national interest provisions. Procedure: Jurisdictional thresholds, national interest clearance, securing approval, the review process for competition clearance and associated penalties, involvement of authorities, facilitation of clearance, and post-closing regulatory powers. Substantive assessment: Substantive tests for clearance, authorities’ consultation with other countries and other relevant parties, transactional prohibitions and objections, mitigating arrangements and challenges to a decision, and protection of confidential information. Recent cases, updates, and trends: Relevant recent case law, key recent and ongoing developments. The Myanmar chapter is available below as a PDF. Tilleke & Gibbins also contributed the Cambodia, Laos, and Vietnam chapters to Foreign Investment Review 2021. To browse all 25 jurisdictions covered by the guide, please visit the Getting the Deal Through website.

Dino Santaniello, head of Tilleke & Gibbins’ Vientiane office, has contributed the Laos chapter to the Foreign Investment Review 2021, a global guide to the legal and regulatory environment for foreign investment in 25 jurisdictions worldwide. Published and distributed by Getting the Deal Through (GTDT), the guide discusses law and policy on oversight of foreign investment, regulatory frameworks, procedural requirements, and other important stipulations for foreign investors. The Laos chapter, which aims to give investors an understanding of what to expect when establishing operations and operating in the Lao market, covers the following issues: Law and Policy: Government policies and practices, main laws and their scope of application (including details on investment promotional measures), definitions, rules for state-owned enterprises and sovereign wealth funds, relevant authorities and oversight, and national interest provisions. Procedure: Jurisdictional thresholds, national interest clearance, securing approval, the review process for competition clearance and associated penalties, involvement of authorities, facilitation of clearance, and post-closing regulatory powers. Substantive assessment: Substantive tests for clearance, authorities’ consultation with other countries and other relevant parties, transactional prohibitions and objections, mitigating arrangements and challenges to a decision, and protection of confidential information. Recent cases, updates, and trends: Relevant recent case law, key recent and ongoing developments. The Laos chapter is available below as a PDF. Tilleke & Gibbins also contributed the Cambodia, Myanmar, and Vietnam chapters to Foreign Investment Review 2021. To browse all 25 jurisdictions covered by the guide, please visit the Getting the Deal Through website.

Tilleke & Gibbins’ office in Phnom Penh has contributed the Cambodia chapter to the Foreign Investment Review 2021, a global guide to the legal and regulatory environment for foreign investment in 25 jurisdictions worldwide. Published and distributed by Getting the Deal Through (GTDT), the guide discusses law and policy on oversight of foreign investment, regulatory frameworks, procedural requirements, and other important stipulations for foreign investors. The Cambodia chapter was authored by Jay Cohen, partner and director of Tilleke & Gibbins’ Phnom Penh office. The chapter focuses most closely on the law and policy section, which lays out the government’s policies and practices, the main investment laws and their scope of application, and the relevant authorities responsible for regulating mergers and similar transactions. Also discussed are some key recent and ongoing developments—particularly the drafting of a law to address competition issues and introduce greater scrutiny of mergers and acquisitions. The Cambodia chapter is available below as a PDF. Tilleke & Gibbins also contributed the Laos, Myanmar, and Vietnam chapters to Foreign Investment Review 2021. To browse all 25 jurisdictions covered by the guide, please visit the Getting the Deal Through website.

On January 20, 2021, the Securities and Exchange Commission of Thailand (SEC) and the Securities & Futures Commission of Hong Kong (SFC) entered into a memorandum of understanding (MOU) on mutual recognition of funds. The MOU aims to facilitate the process for eligible funds set up in one country to be marketed and offered to investors in the other country by streamlining qualifications and processes for registration with the regulators. The key elements of the MOU are outlined below. Covered Funds The MOU generally only covers funds in the form of collective investment schemes (CIS), set up in Thailand or Hong Kong and managed by a covered management company that is authorized or licensed in its home country, (i.e., Thailand or Hong Kong) that is seeking approval to offer these funds to the public in the other country (the “host country”). Apart from the regulatory requirements prescribed by the regulator of the home country, the covered funds must also meet certain eligibility requirements, dependent on the type of fund offering, set by the regulator of the inbound jurisdiction (i.e. the SEC or the SFC). These funds must fall within one or more fund types specified in the MOU, including general equity funds, bond funds, mixed funds, feeder funds, unlisted index funds, and exchange-traded funds. Note that the SEC has agreed to expedite approval for Thai feeder funds that invest in Hong Kong master funds by streamlining certain processes. Covered Management Companies Generally, an asset management company that is authorized in its home jurisdiction (i.e., Thailand or Hong Kong) will be able to conduct cross-border marketing and fund offering activities under this MOU. Requirements for Fund Offerings Apart from meeting certain qualifications prescribed by the host country, fund offerings must be conducted in accordance with the host country’s requirements. In Thailand, these requirements include the following: Fund offerings must

The Royal Decree on Land and Building Tax Reduction (No. 2) B.E. 2564, which we previously noted was under consideration, has been officially promulgated. The royal decree, which was announced and published in Thailand’s Government Gazette on January 31, 2021, and came into effect the following day, will effectively reduce land and building tax payments by 90% in 2021 for the following types of land and buildings: Land or buildings used for agricultural purposes; Land or buildings used for residential purposes; Land or buildings used for other purposes; and Vacant or unused land or buildings. Owners of the above types of land or buildings are therefore only required to pay 10% of the land and building tax normally owed for 2021. The royal decree follows the Ministry of Interior’s recent announcement of an extension for the payment of land and building tax in 2021, which will now be due by June 30, 2021 (extended from April 30, 2021). For more details on these measures, or on any aspect relating to Thailand’s land and building tax, please contact Chaiwat Keratisuthisathorn at [email protected] or +66 2056 5507.