There are many countries on the planet which are classified as tax havens. Anguilla, Delaware, Bermuda, Gibraltar, Jersey and Hong Kong are tax havens and there are many others. The British Virgin Islands (BVI) is also a tax haven and there are many reasons that explain why a BVI company registration is chosen by scores of organizations around the world: Personal information isn’t shared The personal details about shareholders and directors at BVI offshore companies are never passed to third parties.
If a company is incorporated in Europe, such information is easily obtainable because they are entered onto a public record. If a director or a shareholder wants to keep their association with a BVI offshore company a secret, they can.Zero taxation After the passing of the ‘BVI Business Companies Act’ in 2004, a domestic and overseas company in the British Virgin Islands have the same legal status.
Therefore, a 0% rate of taxation applies. Even when a large sum of money is deposited into the bank account which is used by an offshore company, the British Virgin Islands government will never apply the tax. If a company reports healthy profit margins in the country which its headquarters are in, a substantial portion of it is deducted as tax. However, this situation never happens in the British Virgin Islands and a company can save a lot of money which can be reinvested elsewhere, such as on upgrading equipment.
Stable currency there are many countries on the planet which have experienced economic turmoil. Governments have been overthrown by the public and these countries are viewed with suspicion by overseas investors because it is assumed that their capital won’t be safe. The BVI is a British overseas territory and the main currency is the US Dollar. It is highly unlikely that the British government will be overthrown by its citizens.
Although the value of the US Dollar does fluctuate slightly, it is trusted by investors across the world. The combination of these economic and political factors makes the British Virgin Islands a more attractive option for overseas investors. No auditing it can cost a lot of money to audit a company, in particular on hiring the individual who will be responsible for doing so.
A BVI company is never audited. As a result, the time and effort which is spent on an audit are not necessary at all. Employees do not have to prepare a company for an audit and can otherwise focus on boosting profits. Directors can be from any country by choosing BVI company registration, more interest can be generated by it.
There are no rules stating where a director can be from. If directors that are from the same country which a company’s head office is in want to be associated with a BVI offshore company, there is no need to check their nationality.
Therefore, a director can become involved with an offshore company no matter what country they are from. Author Bio For more advice and guidance on BVI company registration or how to go about setting up an offshore company formation then simply visit bvi.offshoreformations247 online for more details