BRITISH VIRGIN ISLANDS - BVI, offshore company formation

The British Virgin Islands are a group of 46 islands in the Caribbean Sea adjacent to the US Virgin Islands, about 100 miles east of Puerto Rico. About 15,000 residents inhabit the BVI, with over 10,000 living on the largest island, Tortola. It is an English speaking British dependant territory.

All legislation is based on British Common Law.
The local government was among the first in the world, in 1984, to implement offshore company legislation - the (International Business Companies Act).

The Act is considered by many professionals as the best of its kind, and in practice it works wonderfully, too! To date, the BVI evidently are the 'number one' jurisdiction for incorporation of International Business Companies: more than 400,000 IBCs have been registered by the local Registrar.

Banking and Communications

There are several major commercial banks in the BVI, which offer a full range of domestic and off-shore services.The US dollar is the official legal tender and the BVI does not exercise any exchange control. Telecommunications are modern and efficient with a full range of services. All major courier companies service the BVI.

The Financial Centre

The cornerstone of the corporate legislation in the BVI, the International Business Companies Act was enacted in 1984.This legislation has proved so popular that the BVI now boasts one of the largest corporate registries in the world.Conscious of the need to meet the requirements of the international financial community, the financial services industry has encouraged a regular review and enhancement of its legislation.The present legislation reflects the effort constantly made by the Government to move on a timely basis to expand the range of financial services available while enhancing the integrity of the jurisdiction.

Why the BVI?

• Regarded by professionals as one of the worlds premier offshore jurisdictions
• Strict confidentiality
• Commitment to integrity
• Proactive development of offshore financial legislation in close consultation with the private sector resulting in prudent and user friendly legislation
• Politically stable, common law jurisdiction
• Competitive pricing
• Exemption from local taxation
• Ease of incorporation and administration of companies
• US Dollar is the official currency
• Freedom from exchange controls
• Established professional infrastructure to support offshore financial sector
• Ease of transfer of companies to and from the BVI
• Modern, flexible mutual fund, insurance and trust legislation
  

Law and Taxation - Tax system facts:

Domestic corporate tax (15%) does not apply to international business companies provided all their business is offshore. The IBCs and all amounts paid by them to non-residents are exempt from all BVI taxes. There are no Double Taxation Treaties stipulating an exchange of tax related information with other countries.

The BVI has an independent legal and judicial system based on English Common Law, with a right of final appeal to the Privy Council in London. Policies and legislation are developed in close consultation with the private sector. Offshore business can be carried out in a tax-free environment.

The best offshore tool in the BVI: International Business Company (IBC)

Outstanding features:

Corporate tax: NO
Names disclosure in public records: beneficial owner(s) - NO shareholders - NO, directors - NO
Bearer shares: ALLOWED
Non-resident directors: ALLOWED
Annual return filing requirements: NO

Applicable legislation: International Business Companies Act with amendments

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Asset Protection s.r.o. is not a law firm and does not provide legal advices or legal services. We recommended to consult licensed professionals with regards to local tax and legal matters.