Taking a business at an international level is one of the famous moves that the business owner can grab a larger audience. However, one of the crucial factors in the entire process is tax consideration that the business entity needs to bear. The offshore company formation concept has turned into one of the best moves for business investors to come forward and enjoy tax benefits.
The British Virgin Islands (BVI) is one of the widely selected offshore business jurisdiction that helps business owners to set up an offshore business unit in a much easier way with tax exemptions, which makes it a more lucrative offshore destination.
The British Virgin Islands (BVI) is considered one of the top tax-havens of the world, offering numerous tax-advantages to the non-residents or the foreigners to come forward and invest in the offshore segment.
In technical terms, an offshore jurisdiction is termed as a tax-haven because the region actively makes itself available to avoid any sort of tax. This principle helps the business investors to pay a minimal amount of tax for the company that gets incorporated. This flexibility makes the business professionals favourable for asset protection or any other kind of tax avoidance.
In general, the offshore companies established in the BVI are exempted from taxes. The IBCs in the region are even exempted from the tax paid on profits or capital gains.
Here’s a guide on the International Business Company (IBC) that will help you to grab the insights.
The offshore companies incorporated in the British Virgin Islands (BVI) follows the guidelines stated in the BVI Companies Act 2004 (“Exemption from tax”). Accordingly, it states that:
are entirely exempted from all the possible provisions of the income tax ordinance. The act has revamped the company’s legislation in the country and has incorporated more than 40% of the global offshore companies.
The process to incorporate an offshore company in the BVI involves the following steps:
The complete set of documents needs to be handed over to the business advisor, who will in-turn grab the legal permissions for you.
Stepping into a foreign nation and setting up an offshore business requires in-depth knowledge and the perfect channels to carry out the process at ease and in a hassle-free way. This turns out to be a tough job if you are proceeding alone, and thus, getting an expert’s advice turns out to be a suitable and smart move.
At Business Setup Worldwide, we have been taking the necessary steps to provide efficient and effortless business incorporation services to business investors and owners. Since our inception, we have been helping our clients by providing tailored solutions that have made us one of the top offshore business consultants in Dubai.
If you are looking forward to starting your offshore business in the BVI and want to understand the tax process further, feel free to discuss with our experts.
Contact us today-we’d be glad to assist!