How to Establish a Company in the British Virgin Islands
Unlock the benefits of setting up an International Business Company (IBC) in the British Virgin Islands (BVI) for asset protection and tax optimization.
The British Virgin Islands is a well-known and respected jurisdiction in the business world. You can set up a company here to get a reliable offshore structure that will ensure asset protection and tax optimization. The present-day requirements of the world’s regulators are aimed at tax transparency, and an International Business Company in the BVI is a good way to comply with these. What is more, you will be able to diversify your assets and help your business prosper! The good news is that you are not required to visit the country to register a company: the procedure can be completed online, and you will receive all the documents by courier service and start your business operations!
If you need more information, please visit our portal and read a more detailed article on initiating a company in BVI. We write about other popular destinations where you can set up a company, as well as international banking opportunities, tax optimization, asset protection, citizenship by investment, and more. You can follow the link to explore our portal or get in touch with our expert and book a free session to discuss your needs and preferences and find the best customized solution for your business. We will be happy to set up a company or a bank account for you at an affordable fee.
Why Opt for the BVI?
Business works best in stable conditions, and the British Virgin Islands is a country that boasts economic and political stability. This is a strong offshore hub and a well-known financial center with favorable corporate laws that offer flexible conditions for entrepreneurs.
You can open various legal entities here, including a limited liability company and a guarantee. You can also opt for an unlimited liability company that has (or does not have) the right to issue shares. The local business asset protection laws serve as a strong shield for non-resident investors that protects them from creditors or any political risks.
The official currency is the US dollar. The government does not control currency exchange transactions or profit withdrawal to other countries. Opt for the British Virgin Islands to take advantage of excellent infrastructure and the most prosperous economy in the Caribbean region!
BVI: Taxation System
If you set up an International Business Company in the BVI, you will not pay any taxes on the global income on the condition that all your business operations are carried out outside the country. Here are the tax advantages you will enjoy:
The income received from dividends, royalties, gifts, or inheritance is not subject to taxation.
You will not pay any VAT, capital gains tax, or corporate tax.
Your transactions will not be subject to stamp duty unless they are related to land/real property located in the BVI.
You will pay no commissions on the transfer of funds.
And though the requirements for offshore jurisdictions set by the EU and OECD are becoming tougher and tougher, the British Virgin Islands remains an attractive destination for foreign entrepreneurs who wish to reduce the tax burden.
The country has a territorial taxation system, which means that you pay taxes on the income that you receive within the BVI only.
The jurisdiction is not a party to double taxation agreements with any countries (except for Switzerland and Japan). Is that an advantage or a disadvantage? That depends on your priorities. On the one hand, you may be liable for double taxation. On the other hand, this fact means that the BVI can ensure a high level of confidentiality for you as it is under no obligation to share information about company income/transactions, its beneficial owners, directors, or shareholders with foreign authorities.
BVI IBCs: Features
The BVI offers simplified business procedures to all entrepreneurs who decide to set up a company here. You will not be required to audit your company or submit financial statements/annual tax returns. However, it does not mean that you are not obliged to keep the documents: you are required to have a company accountant to keep your books/accounts in order and keep them in the registered agent’s office along with the main corporate records.
If you want to keep the records outside the BVI, you have the right to do so. However, the address where you store the documents and the name of the person responsible for them has to be provided to the registered agent in writing.
The documents have to be kept for 5 years (including after the company dissolution). Needless to say, they have to clearly explain the company’s financial standing and transactions.
Do you have any questions about the BVI company? Do not hesitate to click on the above link and ask them!
Confidentiality in the BVI
If confidentiality is among your top priorities, this is a section for you. First of all, you should know that there are no corporate registers of shareholders/beneficial owners in the BVI that are accessible to the public. And though the information on company directors is recorded in the local business registry, it is never made public.
The only person who knows the detailed information about the company shareholders and beneficial owners is the registered agent (this is the reason why you should choose this person very carefully – and we can help you with that!). This requirement cannot be violated as registered agents are obliged to have the KYC information (the identities of shareholders, directors, and beneficial owners) under the Anti-Money Laundering Law and provide it upon request of the BVI’s regulatory authorities in a matter of seven days.
The only publicly available documents are the Memorandum and Articles of Association.
Conclusion
Interested in company registration in the British Virgin Islands? Please follow the above link to see the steps you will need to take to achieve your goal. However, we strongly recommend that you schedule a meeting with our expert to discuss all the details and make sure that a BVI company would be the best solution in your case. We have plenty of other offers that may be more suitable – but we must hear your story first! Contact us to start your business confidently and without much hassle.