British Virgin Islands

BVI - Offshore company - Overview


The economy of British Virgin Islands is one of the most prosperous and rapidly developing among other Caribbean economies. Offshore company legislation offering the possibility to incorporate in the country was adopted by the Government in 1985.
The first International Business Companies Act was adopted in 1982 which enables for the establishment of tax exempted offshore companies having minimal compliance requirements and complete confidentiality of details. The British Virgin Islands have one of the most successful legislative systems supporting offshore activities. In 2005 a new BVI Business Companies Act came into force, which represents a further development in the already outstanding BVI offshore corporate legislation. The new Act removes any former distinction between a local company and an offshore company, promoting only one unified type of company, the BVI Business Company, which continues to be exempt from tax and continues to enjoy all the substantial benefits afforded by the previous legislation.


The International Business Act created the concept of IBC which can be used for international trading, asset protection, investment funds, shipping companies and intellectual property. The legislation benefits provide also assets security, freedom of transfer and merging assets and minimum requirements in respect of issuing shares, maintaining books and records, designation of directors and shareholders.
BVI corporate legislation also includes the provision for protection of wealth benefits, inheritance wishes and trust interests, as well as simple procedures for managing the operations.


The main characteristics of a offshore BVI BC are: tax exemption applies to all dividends, interest, rents, royalties of an offshore company; no estate, inheritance, succession or gift tax is payable with respect to any shares, debt obligations or other securities of the offshore company; no stamp duty, with a sole exception for land-ownership transactions in BVI; an offshore company has separate legal personality and same powers as a natural person; confidentiality is one of the key features of BVI offshore company; no obligation of file financial accounts; flexibility in BVI company structure; flexible IBCs for numerous purposes; low annual fees.

 

British Virgin Islands

General Information

Type of entity

BC

Type of law

Common

Shelf company availability

Yes

Company Registration Timescale

2 days

Corporate Taxation

Nil

Double taxation treaty access

No

Share Capital or Equivalent Requirements

Standard currency

US$

Permitted currencies

Any

Minimum paid up

US$1

Usual authorized

US$50,000

Directors

Minimum number

One

Local required

No

Corporate Directors Permitted

Yes

Publicly accessible records

No

Location of meetings

Anywhere

Shareholders

Minimum number

One

Publicly accessible records

No

Location of meetings

Anywhere

Company Secretary

Required

Optional

Local or qualified

No

Accounts

Requirement to prepare

Yes

Audit requirements

No

Requirement to file accounts

No

Publicly accessible accounts

No

Recurring Government Costs

Minimum Annual Tax/License Fee

US$350 (authorized shares ,US$50,000) / US$1,100 (authorized shares.US$50,001)

Other

Requirement to file annual return

No

Change in domicile permitted

Yes

British Virgin Islands Incorporation Costs

Company registration

990 Euro

Bank account

390 Euro

Annual Tax (from 2nd year)

690 Euro

Optional/Additional costs

Local Nominee Director / year

1,200 Euro

Local Nominee Shareholder / year

500 Euro

*Seychelles Nominee Director & Shareholder

1,200 Euro

Certificate of Good Standing

150 Euro

Power of Attorney

150 Euro

Apostil/document

150 Euro

Courier Delivery

80 Euro

 

*optional