Turks and Caicos Offshore Company
Turks & Caicos Offshore Company
Since the enactment of the Companies Ordinance in 1981, the Turks and Caicos Islands have emerged as a major corporate domicile and a provider of premium corporate and financial services. The Turks and Caicos offshore companies, like Seychelles company, and business entities legislation is highly innovative and often adopted by other jurisdictions. All Turks & Caicos exempt or offshore companies receive full tax exemption on capital gains, estates tax, and income tax on corporate tax on profits, gift tax, death tax and transfer tax. Additionally, the tax exemptions applied to Turks & Caicos offshore companies is extended to the company’s shareholders as well.
There are three main structural forms of exempt or offshore companies used for non-resident purposes. The Turks &Caicos exempt company appeals to incorporators for many reason including the company’s tax exempt status and the nominal disclosure and administrative requirements. Business companies vying for tax exempt status must lodge a declaration asserting to the fact that the business of the exempt company will be mainly carried on outside the Turks and Caicos Islands.
Prior to incorporation of a Turks &Caicos exempt corporation, the subscribers must appoint a resident agent mainly for the purpose of service of legal process. There are three forms of Turks &Caicos exempt offshore companies
- The Exempt Company (Limited by Guarantee, also known as the International Business Company)
- The Exempt Limited Life Company
- The Exempt Limited Liability Company (or Unlimited Liability)
The subscriber, who could be the agent, does not need to notify the Registrar of the identity of the beneficial owners.
Turks &Caicos Offshore Companies, can be companies limited by shares (liability of members is limited to the unpaid amount on their shares) or by guarantee (members are limited to specified contributions to the company’s assets in the event of the company’s dissolution), and is formed with just one shareholder, and just one director or subscriber. The corporate directors can be residents or non-residents. Though a secretary is required, the position is can be held by the director. The company secretary may be a natural person or body corporate, be of any nationality and need not resident in the Turks and Caicos Islands..
The corporate flexibility is seen in it reporting requirements, where there is no need for filing of accounts or auditing of accounts and the company is not required to hold meetings, though if held can be done so from any part of the world.
The Turks &Caicos Exempt company can be formed with bearer shares or shares of no par value are permitted., and the company is allowed to purchase or redeem its own shares. From a confidentiality standpoint, only the registered office and Articles of Association are on the public file. The Memorandum and Articles of Association should contain:
- The proposed name of the company
- The proposed registered office address
- The objects of the company
- A declaration that the liability of the members is limited
- A declaration confirming that the activities of the company will be undertaken outside the Turks and Caicos Islands
No records of the shareholders, directors, secretary, mortgages or charges has to be kept at the registered office either.
Unlike the naming restrictions in other jurisdictions, the T&C exempt company, or offshore company, does not have to include the word “limited” in its name, and the name of the company can be in a foreign language.
The standard authorized share capital is US5,000. The capital of the T&C offshore company can be registered in any foreign currency.
The fees for incorporation of a T&C Exempt company that is limited by guarantee depends on the level of authorized capital. While the annual filing fees are minimal and can be paid in advance at a discounted price.
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The companies registry offers same day clearance of names, same day registration and extremely competitive registration rates. .All exempt companies are exempt from taxes for a period of 20 years starting from the date of exemption and are subject to annual fees.