Facts regrading Offshore (IBC)

What is a Tax Free Jurisdiction?

• 50 years ago special legal financial system created by Monaco, Luxembourg, Liechtenstein, Panama, Hong Kong and Switzerland.
• BVI joined.
• Allows wealthy individuals to move their wealth, or at least part of it, out-with their home country where they were being taxed.
• The wealthy benefited from low taxes and financial privacy.  Nowadays, anyone can use and benefit from this system.
• The term ‘offshore’ is now recognized widely in most sectors of the economy.
• Companies and individuals take advantage of the seclusion of wealth.
• Very low or no tax burdens are levied.
• International business can be less complicated allowing profitability to increase.

What is an Offshore IBC?

• IBC refers to International Business Company
• It is a company which does not conduct substantial business in its country of incorporation.
• It is formulated in a tax free jurisdiction.
• It legally minimizes any type of tax burdens.
• It improves one's wealth management. 

Why Offshore?

• Large numbers of high net worth Individuals and corporations are taking steps to incorporate overseas.
• Away from the area of their main business transactions.

To Save Tax

• An offshore company can form part of an overall taxation reduction strategy for certain individuals or entities.
• Combined with an offshore bank account or trust, for example, an offshore company can save an individual or company tax.
• If an offshore company is set up in a low/no tax area then profits can be realized in a tax efficient way increasing profitability.

Favorable Local Legislation Relating to Reporting

The amount of company information and accounting data that needs to be submitted and held on file is far reduced in the majority of offshore centers which goes hand in hand making an offshore company that much easier to manage and run.

Offshore Asset Protection

• An offshore company is the perfect entity for enabling individuals to achieve asset protection offshore.
• Assets can be owned by the company rather than directly by an individual, and the company can be placed in trust or foundation for example.

Achieve a higher level of anonymity

• A number of overseas centers offer the option of having nominee directors for the establishment of a company.
• Others also keep the names of directors and shareholders off public record. 
• Those who transact through such a company can keep their affairs private.

Greater Ease of Operation

• Many offshore centers make it very easy for companies to trade.
• The aviation, media and financial sectors require specific licenses and much greater regulation.
• An offshore company can be far easier to manage than an onshore one.