Browse topics

• Governing law

  Name	Law or Code?
  The Thailand Gambling Act B.E. 2478 (1935) 'TGA')	Law
  Ministerial Regulation No. 17 issued under TGA ('TGA-MR')	Law
  The official letters of Department of Provincial Administrative (DOPA) (altogether referred to as the 'Letters')	Law
  The Consumer Protection Act B.E. 2522 (1979) ('CPA')	Law
  Ministerial Regulation Nos. 3 and 5 issued under the CPA ('CPA-MR')	Law

  Last modified 7 Jan 2019

• Extra-territoriality

  If the prize promotion is arranged and/or advertised online through a website (or social media page), hosted/located outside Thailand, and there is no entity/affiliate running this campaign within Thailand, it is not subject to restrictions under Thai laws.

  Last modified 7 Jan 2019

• Skills competitions

  Provided the winner is determined on the basis of skill not chance, skills competitions are not subject to any restrictions under Thai laws.

  Last modified 7 Jan 2019

• Prize draws

  Unlawful, as it is considered 'gambling' under the TGA, unless the participants do not pay to enter or to claim/receive the prize.

  If the participants do not pay and it is not considered gambling under the TGA, it will be considered a 'prize promotion event' which is controlled under the TGA. A license must be obtained from DOPA prior to the prize promotion event.

  Under the TGA, a prize promotion event is considered to be an arrangement for complimentary gifts or prizes, awarded to people trying their luck in any manner in the conduct of a business or in the pursuit of an occupation.

  Last modified 7 Jan 2019

• Selection of winners

  Under the Letters, a prize promotion is only permitted to be run via the following methods:

  1. By sending a voucher, card or part of a product (ie the bottle caps of bottles of water) to be drawn at the date, time and place specified under the License.
     
     
  2. By opening a 'signboard.' These are arranged on TV shows, where a contestant chooses a 'signboard' representing the advertising sponsor of the TV show in order to hopefully win a prize.
     
     
  3. By sending a text message via SMS or telephone system. The telephone numbers of the senders will be printed out to be drawn at the date, time and place specified under the License.

  Under methods 1 and 2, the arranger must be the manufacturer or the exclusive distributor of the related products in Thailand (except shopping malls, department stores, banks or other corporate entities providing services). This is not a requirement if the prize promotion is conducted via method 3.

  Details regarding the selection of winners (ie by lucky drawing) and award/prizes must be specified in the application and must be approved before the License is granted to the applicant/arranger.

  Last modified 7 Jan 2019

• Judges

  There are no such requirements in relation to skill competitions.

  Last modified 7 Jan 2019

• Prizes

  Cash prizes are not permitted.

  Last modified 7 Jan 2019

• Registration requirements and fees

  Registration Requirements

  Yes, according to the TGA, a License is required to run prize promotions in the course of business.

  Fees / Taxes Payable

  The License fees vary, depending on the duration of each event as shown in the table below.

  License Validity	Fee (฿)
  1 day	300 (approx. US$9.50)
  Not exceeding 7 days	600 (approx. US$19)
  Not exceeding 1 month	1,500 (approx. US$47.50)
  Not exceeding 6 months	6,000 (approx. US$190)
  Not exceeding 1 year	9,000 (approx. US$285)

  If the prize is valued more than ฿1,000 (approx. US$32), it is subject to 5% withholding tax, which will be deducted by the arranger. It is worth noting that cash cannot be awarded instead of the complimentary gifts or prizes specified in the License.

  Last modified 7 Jan 2019

• Other local requirements

  An applicant must meet certain eligibility requirements before they will be able to apply for a license, including being a permanent resident of Thailand.

  In addition, the applicant must provide all details related to the prize promotion event, including objectives, method, rules, date, time and place, duration, prize/award, winner selection, announcement method of the winner, names and job positions of the witnesses and advertisement method.

  When advertising the prize promotion event, the arranger must also ensure that it complies with the CPA-MR, i.e. the following must be included in the advertisement:

  • The license number;
    
    
  • Criteria, method and any conditions;
    
    
  • Date of commencement and ending of the event;
    
    
  • The type of prize/award and its value.

  In addition, the arranger must ensure that it complies with other specific regulations. For example, the prize promotion event and related advertisement of drugs are not allowed under law and regulations issued by Ministry of Public Health.

  Last modified 7 Jan 2019

• Timing

  The arranger is required to obtain the License prior to the prize promotion event. A period of at least 90 days is required for DOPA to review the application and grant the License, provided that all information and documentation is fully completed and acceptable to DOPA.

  Last modified 7 Jan 2019

• Translations

  The License application forms and all supporting documents must be in Thai.

  Last modified 7 Jan 2019

• Penalties for non-compliance

  For non-compliance with the TGA, i.e. arranging a prize promotion event without the License, the arranger could be liable to imprisonment for up to 1 year or a fine of ฿50 (approx.US$1.50) – ฿2,000 (approx. US$63) (if the arranger is a corporate entity, the imprisonment will not be imposed).

  For non-compliance with the CPA, i.e. advertising the prize promotion event in breach of the CPA, the violator will be liable to imprisonment for up to 3 months or a fine of up to ฿30,000 (approx. US$950), or both.

  Last modified 7 Jan 2019

• Restrictiveness of regulations

  The way in which a prize promotion event is run is also restricted. Please refer to the section on Selection of winners.

  Last modified 7 Jan 2019

• Regularity of sanctions

  Non-compliance with the TGA is a common occurrence, particularly in relation to obtaining a license. As of yet, only fines have been imposed.

  Please note that the TGA is in the process of being amended and is currently being considered by the House of Representatives. Under the Bill, prize promotions by risk-taking will be governed by a new Act, the 'Prize Promotion by Risk-Taking Act.'

  Pursuant to the most recent version of the Bill, arranging a Prize Promotion without a license would be subject to higher sections including imprisonment of 2 years and a maximum fine of ฿80,000 (approx. US$2,530) or both.

  Last modified 7 Jan 2019

• Key contacts
  

  Pattama Jarupunphol

  Senior Associate DLA Piper (Thailand) Limited [email protected] T +662 686 8574 View bio