Gibraltar

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Gibraltar

GENERAL INFORMATION ABOUT THE JURISDICTION

Gibraltar is a tiny British overseas territory that covers only 6.5 km2 in the south of the Iberian Peninsula. It is here that the NATO naval base is located.

Despite the fact that the country is the territory of the United Kingdom, it has its own state structure and tax system.

Gibraltars carry out tourism, ship repair, tobacco, development of the banking and financial sector, that bring them 20% of GDP.

It is beneficial for foreign investors to register their own business in Gibraltar since there are favourable conditions for companies, the same as in Hong Kong.

ADVANTAGES OF THE GIBRALTAR COMPANY:

- There is no taxation of dividends paid by a local company to another local company.

- No tax on dividends and interest that are paid to the non-resident recipient.

- The withhold tax requirement was canceled.

- No Capital Gains Tax or Inheritance Tax.

LEGISLATION

Companies Act regulates companies’ activities in Gibraltar.

COMPANY FORMATION IN GIBRALTAR

Types of companies

The Gibraltar legislation does not use the term «an offshore company», and use the term «a non-resident company» which is Limited Liability Company (Ltd, Limited).

LIMITED LIABILITY COMPANY:

  • The minimum authorized capital – not established. At last one share with nominal value of £1 must be issued and paid. 
  • Shares –bearer shares are allowed but not used (their certificates must be kept by the registered agent in Gibraltar).
  • Director – at least 1, individual or legal person, no residency required 
  • Members – at least 1, individual or legal person, no residency required. 
  • Secretary – is required, legal entity, resident of Gibraltar.
  • Confidential information: about beneficial owner. Information about the director, shareholder, secretary and legal address is publicly available.
  • The company is obliged to maintain and submit an annual financial report, also the company has to be audited. Small firms that meet 2 criteria from the list below are not required to undergo an audit, and can also submit an abbreviated report:

- annual turnover does not exceed £ 10.2 million,

- balance - up to £ 5.1 million,

- number of employees - up to 50 per year.

The firm is also required to maintain and submit Balance Sheets to the Registrar of Companies.

  • Registered office in Gibraltar is required. 
  • Annual meetings of shareholders may be hold in any place. 
  • The following activities are not permitted without a license: company registration, management services, sale or termination of companies, banking services, payment transactions and financial services, tax planning services for businesses or individuals, financial management services and accounting firms, legal services to individuals or legal entities.

TAXES

This company is a classic offshore, therefore it does not pay taxes on profits received from sources outside Gibraltar. If you decide to open an offshore, Gibraltar is a good place to implement your idea.

VAT is not charged.

All Gibraltar companies are automatically considered resident in Gibraltar for tax purposes and are issued with tax identification numbers.

If the company does not conduct any business with Gibraltarians, it will not be subject to local tax, provided it meets the criteria below:

- the beneficial owners are non-residents;

- the director and shareholders are non-residents or the corporate director and/or nominee shareholder are licensed to provide such services.

- the company operates exclusively outside Gibraltar, has no physical presence and income in this jurisdiction.

CURRENCY CONTROL

None.

AGREEMENTS ON AVOIDANCE OF DOUBLE TAXATION

Gibraltar has signed Treaty for the avoidance of double taxation with the UK only.

FEATURES

Gibraltar is recognized by Ukraine as an offshore zone, therefore it is included in the corresponding list by the Cabinet of Ministers of Ukraine.

If you need to open an offshore company in Gibraltar, please contact our lawyers for advice:

+38 (044) 383-48-88

+38 (044) 383-28-88

We will assist you with buying an offshore company in Gibraltar or in any other jurisdiction on the most favorable terms.