Belize offshore company formation

Belize is a world-famous offshore jurisdiction, with all the advantages that entails:

• Tax free for profit, dividends, added value, interest
• No restrictions on company owners and directors’ residency
• No requirements for financial reporting & audit.
• Disclosure of information about owners and shareholders.
• In Belize, there is no currency control.
• The governing law is based on English law.
• Belize is one of the offshore jurisdictions on the 'white list’ as FATF and OECD do not impose sanctions on Belize.

Belize, in general, is a good jurisdiction to form an offshore company. Therefore, knowing how to register a business name in Belize is highly recommended by One IBC before starting doing business there.

For more information about business name registration in Belize, please contact us via Hotline +65 6591 9991 or email [email protected].

The Belize business tax rate varies depending on the type of income and is set forth in the principal act's ninth schedule (IBTA).

Furthermore, Belize business tax is not applicable in the following cases:

• Companies that engage in petroleum operations.
• If the revenue or income is derived outside of Belize, IBCs operating in a trade, business, or profession are exempt from Belize business tax.
• Companies operating under the Designated processing area (DPA).

In order to be qualified for business tax exemption, IBCs must provide documents and proof of their foreign-sourced revenue/income. For further guidance, please feel free to contact us via email [email protected].

See more: Belize offshore company formation

The applicable Belize income tax rates for IBCs are as follows:

• 1.75% of chargeable income for businesses with gross receipts of more than BZD 3 million.
• 3% of chargeable income for businesses with gross receipts of less than BZD 3 million.
• Remarkably, an offshore company is not obligated to pay Belize income tax if its income is derived from trading activities or business outside of Belize.

According to the IBTA amendment in December 2019, no income tax will be required on chargeable income effective from January 1, 2020; except for companies engaged in petroleum operations.

Since January 1, 2019, Belize international business companies (IBCs) are no longer automatically exempt from taxes. Like a domestic business, these IBCs are subject to the Belize Income and Business Tax Act (IBTA).

Under IBTA, Belize has a dual taxation system. Businesses are levied with two sorts of taxes:

• Belize business tax (equivalent to VAT) is computed on gross income or turnover;
• Belize corporate income tax (CIT) is computed on chargeable income.

The general Belize income tax rate is 25%.

The summary of Seychelles tax guide for offshore companies:

• A 1.5% tax rate applied to special license companies;
• The applicable business tax rates for companies are 25% for the first 1,000,000 SCR and 33% on any amount above it;
• Seychelles capital gains are exempted;
• No stamp duty;
• A reduced VAT rate of 0%.

In case you are looking for more Seychelles tax guides, you can visit our website or contact our specialists directly via email/hotline.

Based on Seychelles Business Tax Act 2009, the Seychelles company tax rate (i.e. Seychelles corporate tax or business tax) is 25% on the first SR 1,000,000 of taxable income and 33% on the remainder.

The Seychelles IBC tax rate is 0%, which means offshore companies in Seychelles can optimize their tax flow, and increase their profits. In addition, company income derived from services outside of Seychelles will not be taxed on dividends, interests, royalties, or other payments paid out to its stakeholders.

For more information about Seychelles company tax rate, please contact us via Hotline +65 6591 9991 or email [email protected].

There is no Seychelles capital gains tax; nor are interest - dividends and other payments received from abroad taxed.

When doing business in Belize, it is important to get the right business license for your company. Generally, there are two main types of Belize license that you must know:

Trade license in Belize

Businesses providing any kind of service or product in Belize have to obtain a trade license. You can register the license with the local city or town council. The fees for trade licenses in Belize are divided into sectors and charged based on the annual rental value of the property. For instance, supermarkets, grocery stores, furniture stores, and repair businesses are subject to a 3.5% fee. Hardware stores, gas stations, and dentistry offices are all subject to a 5% fee. For businesses engaging in gaming or monopolies, the highest rate is 25%.

Belize financial license

If your business operates in the international financial services industry in or from within Belize, you must carry a Belize financial license. The Belize Financial Service Commision (FSC) is in charge of granting the license. There are 13 types of Belize financial license, prominently including International asset protection and management, Money Transmission, Accounting, and Payment processing Services. The application fee is flat US$1,000 for each type, but the renewal fee is different ranging from US$5,000 to US$25,000.