Business on pause: keep the company dormant or close it? Comparing the real burden of each
A side-by-side comparison of keeping a Thai company alive with no trading versus dissolving and liquidating it: annual burden, what happens to the name, and what restarting costs.
Zura Labs & Business Hub Co., Ltd.
Thailand has no dormant status that suspends accounting and tax duties. While the company exists it keeps books, files returns on time even when nil, closes its accounts and is audited every year. Keeping it makes sense when you expect to use it again soon, or when the name and licences carry value. With no plan to restart, dissolution and liquidation is the only route that actually ends the burden — but liquidation runs over several months and the tax position must be cleared first.
Reviewed 2026-09-14 by the Zura Labs corporate services team.
- Keeping it: what stays
- Monthly bookkeeping, nil returns on schedule, the annual close and audit, the DBD filing, and the annual corporate income tax return.
- Keeping it: what you keep
- The name, the registration number, the filing history, unexpired licences, and the ability to resume trading immediately.
- Closing: what it involves
- A shareholders' resolution to dissolve, registration of the dissolution, appointment of a liquidator, the statutory notices, clearing taxes, statements as at the dissolution date, and registration of the completed liquidation.
- Liquidation timeframe
- Typically several months, driven by how clean the books are, any tax refunds, and the authorities' review.
- The name after closing
- The name is no longer reserved for you. Reusing it later means reserving and registering again, with no priority over anyone else.
- Clear before closing
- Deregister VAT if registered, close the social-security employer registration, close the corporate bank account, and settle liabilities.
How this works in practice
- 01
Decide the realistic restart horizon
If you expect to trade again within about 12 months, keeping the company is usually cheaper than closing and re-incorporating. With no clear plan, closing properly usually lowers the long-run burden.
- 02
Bring the books up to date first
Both routes need current books, and liquidation cannot proceed while statements are outstanding. Clear the arrears first either way.
- 03
Trim the monthly load if you keep it
Consider deregistering VAT when there is no trading and no customer requirement, closing the employer registration when there are no staff, and dropping unused service contracts. What remains is statutory bookkeeping and returns.
- 04
Clear the tax position before dissolving
Check outstanding tax, input VAT credits and unfiled returns. Starting liquidation with loose ends usually adds months.
- 05
Retain records for the statutory period
Even after the closure is registered, accounting and tax records must be kept for the statutory retention period in case of later review.
Reasons this gets delayed or rejected
Simply abandoning the company
Letting statements and returns lapse accumulates penalties and director exposure, and makes an eventual closure more expensive.
Thinking a closed bank account closes the company
A company ends only when the dissolution and the completed liquidation are registered. Closing a bank account does not end accounting and tax duties.
Dissolving mid-period without planning the accounts
Dissolving mid-period adds a further set of statements as at the dissolution date; pick the date with your bookkeeper.
Answers to the questions we hear most
Does Thailand have a dormant-company filing?
There is no status that suspends a limited company's accounting and tax duties. While registered, it keeps books, files returns and files statements annually. Verify current rules with the DBD and the Revenue Department.
What costs remain for a non-trading company?
Bookkeeping and returns on schedule, the annual close and audit, and the registered address if you use one. Lower than an active company because there are few documents, but not zero.
How long does closing take?
Usually several months: statutory notices, statements as at the dissolution date, clearing tax, and registering the completed liquidation. The real timeline depends on the state of the books and the authorities' review.
Is closing and re-incorporating cheaper?
It depends on how long the pause is. Over several years, closing and re-incorporating often costs less than carrying the annual burden — but you lose the name, the registration number, the filing history and existing licences.
Can I close with debts or disputes outstanding?
Liquidation requires liabilities and disputes to be resolved. Where a dispute is live, speak with a lawyer first; our group law team can assess it, though we never promise a case outcome.
This is general preparation information, not case-specific legal or accounting advice. Government fees, processing times and conditions change with official announcements. We review each guide on a schedule and show the review date on the page.