Offshore Company Formation
A few examples of using your offshore company
Using an Offshore Company you can legally avoid or minimize your taxes. Some countries (like Bahamas, Ireland etc.) do not tax their companies in case if they work and earn income outside of the country. In this case a company only pays fixed annual fees, has no obligations towards the tax authority of the country and therefore entirely free from bookkeeping.
Money in your Offshore Company’s account – is money in your pocket, you can use it as you see fit. How exactly to use your Offshore Company depends on the type and location of your business.
You sell your services directly under the name of your Offshore Company and receive the income onto its bank account.
You place your Offshore Company as a middle man between your vendor and your local tax paying company. For example, your Offshore Company buys some goods for US$100 and sell them to your local company for US$145. You local company sells the goods to your client for US$150 and officially pays tax from a 5 dollar profit. The lion’s share of the profit remains on your Offshore Company’s account.
You do all your business under the name of your local tax paying company and receive substantial profit of XXXXX US$. – Your Offshore Company sells some services* to your local company for XXXX US$. – Major part of your profit goes to your Offshore Company’s account and becomes tax free. – Your local company pays tax from the remaining profit of X US$.
Asset Protection and Offshore Corporations in Tax Havens
When thinking about asset protection and tax shelter, offshore companies and trusts are among the best ways of protecting wealth. Through our network of associates, located throughout the offshore world, KGN Consult can offer a very cost-effective yet efficient company formation service.
Our services are designed for the entrepreneurs to operate their business and/or personal financial matters in complete confidentiality. The entrepreneurs will be so able to run the business in a complete privacy while residing in the country of their choice. We can arrange for all the necessary administration services, banking, etc. Set-up and operating fees vary with the types and complexity of the entities. After discussing your goals and requirements, we’ll make the necessary recommendations.
Although we can supply companies incorporated in all major offshore jurisdictions of the world, we only show details of the most popular jurisdictions here. If you have requirements for a company to be incorporated in a particular jurisdiction not covered here please ask for details.
Due to the ever increasing governmental pressure, a growing number of business and professional people are considering offshore options as an exclusive tax matter. This is a mistake.
By trading or investing through an offshore company clients not only can realise substantial tax, exchange control and reduction of overhead-cost advantages. Also, if correctly structured, assets held by such companies are normally protected from legal, confiscatory.
Offshore companies are beneficial for many purposes including at least some of the following:
1. Consultancy, Professional Services, Agency
Professionals, consultants, artists and many self-employed individuals can gain substantial advantages by working as employees or as external consultants of offshore companies, of which they may be the sole shareholders and, if they want to, the sole directors.
2. Employment of Expatriate Staff
Expatriates working overseas can frequently benefit from being employed through an offshore employment/consultancy company. This can avoid tax being deducted at source. By not remitting the full salary it can minimise tax and avoid exchange control difficulties in the country of temporary residence. This arrangement will be particularly attractive to expatriates working in politically unstable countries.
3. Property Owning Companies
There are often significant advantages in using an offshore holding company for the purpose of holding property. The advantages of such an arrangement include the avoidance of inheritance tax, capital gains tax and the ease of sale which can be achieved by transferring the property owned by the company and reduction of property purchase costs to the onward purchasers.
4. Investment Companies
Funds accumulated through investment companies set up in offshore areas can be invested or deposited throughout the world and whilst generally returns or interest payable in respect of these funds will be subject to local taxation, there are a number of offshore areas in which funds may be placed as bank deposits where the interest and/or the capital gains are paid and kept gross. To invest in global securities including mutual funds not available to “local” citizens. Offshore jurisdictions are typically less invasive allowing for aggressive and unrestrained Free Enterprise.
5. Copyrights, Patents and Trademarks
Offshore companies can purchase or be assigned the right to use copyright, patent or trademark. Royalties can then be accumulated offshore although often royalties may suffer withholding taxes at source. An interposing holding company in some cases may allow a reduction in the rate of tax withheld at source.
6. Privacy
A high net-worth individual can save professional fees and unwanted publicity by owning property or other assets through an offshore company. CPS can provide a wide range of services in the field of privacy protection.
7. Protection
To file first position liens against assets and property closing the door to predatory litigation before it begins.
To segregate high-risk investments from other more secure holdings.
To protect retirement funds from possible bankruptcy.
To provide for the transfer of assets for the next generation in an efficient and discreet fashion.
Nominee directors and officers can allow you to conduct business transactions for your benefit while you remain anonymous.
To access your funds with corporate debit or credit cards thereby maintaining absolute confidentiality.
We welcome your order or inquiry by phone, fax or e-mail and mail.
Email kgn@kgnconsult.com
Using an Offshore Company You Can Legally Avoid or Minimize Your Taxes !