Open a company in Guernsey (Channel Islands)

Positive Invest offers individuals and legal entities to open an offshore company on the island of Guernsey - in the most attractive place for doing business - as part of the Channel Islands of Europe.

Guernsey: general information

The island of Guernsey is located in the English Channel, is a crown possession of the British Empire, but is not part of the UK. The official leader of the country is the King of England. Documentation is in French and English. Calculations are made using the English pound sterling. The country has not joined the EU, but is part of the European Customs Union. The constitution is based on common English law.

A significant part of the budget is formed by income from the banking sector, livestock and crop production.

Offshore registration in Guernsey: necessary information

Offshore companies can be registered in the country on very favorable terms. If the company operates only outside the island, does not enter into any agreements with residents of the country, taxes are not paid to the island's budget. In addition, it is important to know the following:

• the minimum amount of authorized capital is 10 thousand pounds sterling. It is necessary to pay 2 thousand pounds sterling by the time of registration. It is legally allowed not to pay the remaining part of the authorized capital;
• 2 or more shareholders, individuals and legal entities can equally establish a company. Business owners can be citizens of any country in the world. Meetings of shareholders are held annually. Documents, minutes of meetings should be kept at the registration office. It is allowed to attract nominal founders;
• the appointment of a director is mandatory. You can involve both individuals as managers and legal entities. The law does not require the residency of the director. The director may be nominee;
• having an office on the island is a must. The law prescribes the obligatory presence of a secretary - an individual;
• data on business owners, directors are freely available;
• offshore companies do not have the right to engage in banking, insurance, investment activities;
• for the right to register on the island annually no later than January 31, a state fee is paid.

Offshore companies in Guernsey: taxes, accounting

Offshore companies in Guernsey are completely exempt from the need to maintain accounting records, provide reports, and undergo an audit.

Offshore companies do not pay taxes, provided that all activities are carried out outside the island. Every year, by March 31, it is necessary to confirm that the company will operate only outside the jurisdiction. In this case, you must pay a fee of 600 euros. If the company breaks the rule and operates within the jurisdiction, the income tax rate will be 20%.

The income tax rate is 20%. If the owner of the business is a citizen of a country with which the island has signed an agreement on the avoidance of double taxation, then income tax is not paid.

The island does not pay taxes on property, inheritance, capital gains, etc.

Allowed company types

On the island, you can open a company of one of the following types:

1. international company. The income tax rate can vary from 0 to 30%. For such a company, it is necessary to obtain permission every 5 years for the right to work on the island;
2. limited liability partnership. This type of ownership implies the presence of at least one general partner who is liable for the company's debts with all his property. The remaining partners, at least one, are not liable for debts, but they cannot make decisions regarding the activities of the company;
3. branch of a company operating abroad. An important requirement: neither the branch nor the parent company should receive income from activities within the island;
4. trust company. Can be created for a period not exceeding 100 years. If the beneficiaries of the trust do not receive income from work within the island, then they pay only income tax.