The International Business Companies (IBC) Act of the British Virgin Islands was first passed in 1984. The Act itself was amended on several different occasions and subsequently was replaced with the BVI Business Company Act of 2004. The BVI Company came into full effect on January 2005. Although...

Tax Haven BVI

The British Virgin Islands (BVI) are a group of about 60 islands in the Caribbean Sea. As their name may suggest they are British Dependent Territory. Some of the bigger islands including, Tortola, Jost Van Dyke, Anegada and Virgin Gorda are inhabited. Most of the smaller Islands are not populated but are used for recreational activities such as sailing, diving and snorkeling. A few of the islands are privately owned. The Islands of the British Virgin Islands are surrounded by luxuriant beaches which are home to world class resorts and hotels. The mainstay of the economy is Tourism and the financial Services sector.

A number of alternatives have been made available to people and businesses internationally for saving on taxes and accessing more business friendly regimes. As offshore agents, we have worked with many clients who have sought to obtain a second citizenship. This we do by instructing them on how to apply and informing them about economic citizenship and second citizenship (Dominica Citizenship or St Kitts) programs

The Financial Services Sector has made the British Virgin Islands one of the most sought after offshore jurisdictions in the Caribbean. The government has revamped the offshore companies by abolishing the International Business Act of 1984 and introducing the BVI Companies Act of 2004. All these measures are to ensure that the services offered to clients are of highest quality and make the offshore sector of the British Virgin Islands competitive. Under the new act the jurisdiction moves away from incorporating one type of company to the registration of several types including companies limited by guarantee with restrictions issuing shares, Companies limited by shares, companies limited by guarantee but authorized to issue shares and unlimited companies authorized to issue shares. Other offshore services in the British Virgin Islands include offshore banking, offshore insurance, and sale of shelf companies and the registration of vessels, boats and yacht.

Tax haven BVI over the years have incorporated many offshore companies for the simple fact that the country had a zero tax policy offered to offshore companies. The introduction of the new act removed all differences between offshore and onshore companies making the BVI an even more favorable jurisdiction. This puts the British Virgin Islands in a somewhat unique position as not many tax havens can boast of such features. Companies incorporated in the BVI pay n corporate tax, income tax, inheritance tax, capital gains tax or any such taxes which applies to interest, capitals, asset, royalties, dividends, or debt obligation of the companies.

As part of Britain’s overseas territory client’s can rest assured that their wealth is invested in a jurisdiction who’s judicial and legal system is supported by that of unwavering systems of Great Britain. The country has legal and judicial and judicial system is based on the common law system of Great Britain. The country is stable politically and void of social and political uprisings.

In the tax haven of the BVI there are no exchange controls on currency. Therefore this means that there are no restrictions of the transfer of movement of currency and shares in the British Virgin Islands. The British Virgin Islands’ official currency is the United States Dollar (USD).

Clients in the tax haven of the British Virgin Islands are guaranteed confidentiality. When incorporating British Virgin Island companies the names of the rightful owners of the company along with any other personal information is not filed with the Registry therefore this in not public knowledge.

The British Virgin Islands possess all the characteristics of a tax haven. The country is stable and has zero taxation for companies which helps it establishing the British Virgin Islands status a top tax haven in the Caribbean.

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