Why Go Offshore
Protect Wealth. Save Tax. Reduce Operating Costs.
Individuals and corporations go offshore for a number of reasons:
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Save tax
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Protect wealth
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Reduce risk
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Maintain privacy
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To avoid unnecessary regulations or bureaucracy
Use the information set out below to help you find an offshore solution that works for you.
International Trading - By interposing offshore companies into international trading transactions it may be possible to accumulate profits arising out of these transactions.
Holding portfolios of Stocks, Bonds and Cash - Cash assets are held offshore, and may earn deposit interest gross or be placed in collective cash funds.
Holding Investments in Subsidiary or Associated Companies - Capital gains arising from the disposal of particular investments can be made without taxation. In the case of dividend payments, reduced levels of withholding taxes can be achieved through the use of a company incorporated in a zero or low tax jurisdiction that has double tax agreements with the contracting state.
Utilising Double Taxation Treaties through Intermediary Holding Companies - Companies wishing to invest in countries where a double tax agreement does not exist between both countries can establish an intermediary company in a jurisdiction where there is a suitable treaty.
Privacy and Wealth Protection - High net worth individuals gain privacy and save on professional fees by using offshore companies as Personal Holding Companies. These entities may be suitable for inheritance planning and reducing the costs and time delays in probate.
Personal Service Companies - Individuals who provide professional services, such as contractors, entertainers, aviators, film executives etc., can realise considerable savings where fees earned are accumulated tax free in Personal Service Companies based offshore. Payments may also be structured to minimise income tax.
Property and Land Ownership - Offshore entities are regularly utilized to own property and real estate.
Employment Companies - Payroll costs and travel expenses may be reduced by paying employees working overseas from your offshore base. This may also provide tax relief and social security saving benefits for the employees.
Patent, Royalty and Copyright Holding - Intellectual property including computer software, technical knowledge, patents, trademarks and copyrights, can be owned by, or assigned to, an offshore company upon acquisition of the rights. The rights can then be franchised to companies around the world and the resultant income can be accumulated offshore. A carefully selected jurisdiction can withhold taxes on royalty payments with the commercial application of double tax treaties.
Financing - Offshore companies can be established to fulfil an inter-group treasury management function.
Ship Management and Yacht Ownership - Modern ship and pleasure craft registration locations provide low-cost registration fees and tax exemption income derived from shipping and chartering activities.
Stock Market Listings and Capital Raising Exercises - Many large corporations in economically and politically uncertain countries often diminish the perception of risk by moving ownership of assets and the base of their operations offshore.