If you want to incorporate in Belize, you have to know about taxation for an IBC which is the most common company structure in Belize.
International Business Companies (IBCs) in Belize are entitled to conduct business outside the country. They may have restrictions to trade with residents and own real estate within the territory. A Belize IBC is tax exempted. This means that income earned offshore, from our research, and these things do change, is not subject to taxation. Belize ranks 1st overall in terms of CIT globally.
IBCs may be formed by one or more shareholders and one or more directors, which may be corporate bodies or individuals. Nominee shareholders are allowed. A licensed company agent may be required. The minimum Capital required is $1, and it may be in any currency. Non-par value and bearer shares may be allowed.
Details of shareholders, beneficiaries and directors are not publicly disclosed. IBCs may have to maintain accounting records. There is no requirement to prepare financial statements and to file annual returns or tax returns.
Dividends received are not taxable. Dividends are distributions of an earnings of the legal entity, passed by by the board of directors, to a class of its shareholders. Dividends can be one of the following stock, cash, or property. Capital Gains are tax-exempt. A capital gains tax is levied on the profits that a corporation or natural person realizes when they sell sells a capital asset for a price that is higher than the purchase price.
IBCs are not subject to withholding taxes. This means that payments made by an IBC on dividends, interests, royalties or fees to non-residents are not subject to taxation.
The VAT rate in Belize is 12.50%, that ranks Belize as 69th when compared to VAT taxation rate internationally.
There is no known tax on wealth in Belize. There are no known inheritance taxes in BZ. There are real property and transfer taxes in Belize.
The above is not tax or legal advice for your company circumstances. We can to refer you to an accountant in Belize who can give you the proper advice and help you need. Ready to get started? Ready to get started? Click incorporate now if you are in a hurry, or press the free consultation button above.
It takes approximately - hours to file and prepare documents for a Belize Common law.
The corporate tax is approximately 0% which is 1 in the world.
Owners of a company in Belize are not allowed to carry back a loss .
The vat rate in Belize is 12.5% which ranks 69 in the world.
When looking for a jurisdiction in which to incorporate, the first thing to look at is the legal code. The body of law in Belize is common law law. Common law is a good legal foundation for your company. One is permitted to electronically sign documents.
The country code BZ is for Belize and the most common company structure in Belize is an IBC .
You should expect a wait time of 1 Day to incorporate an IBC in BZ. The types of cash you can use to capitalize your legal entity is most commonly any legal tender.
Yes, one is allowed to re-domicile an IBC from BZ. You are usually allowed to change the jurisdiction of the company, pending certain procedures.
There must be at least 1 shareholder. This makes it possible for you to own an IBC in BZ by yourself. Corporate Shareholders are encouraged, which means you can have a corporate shareholder. Foreign ownership is permitted, up to 100% of the total equity of the company.
A legal entity is only required to have one director. Moreover, corporate directors are permitted. Directors can have some expectation of privacy, as they are not disclosed publicly.
A registered legal firm must be retained for an address, paid by the company on an annual basis, for an address which can receive any lawsuit papers on behalf of the registered legal entity. Moreover, a company secretary is not required in BZ, which can save the company money if you can perform basic corporate governance internally.
There is a no requirement to file annual returns. This does not preclude the company or shareholders from additional tax or reporting obligations elsewhere and you should pay for personal advice on their unique obligation. On that note, there is usually not a requirement to have an audited set of accounts.
Thin capitalization rules are in effect. A company is thinly capitalised when there is a greater proportion of debt than equity. The minimum capitalization for a Belize Common law is 2.
A corporate director is permitted, meaning this country is a good option if you are setting up a structure where you want to protect director liability.
The directors are not disclosed in the public registry of Belize, International Financial Services Comission. Shareholders are not disclosed in the International Financial Services Comission.
Typically companies take 1 day to setup and there are 1 director(s) required and 1 shareholder(s) required at the time of incorporation.
Overall we think Belize is a good option and have given it a score of 88 as an IO score, using the Incorporations.IO proprietary formula.
We can help you form a company in Belize. Click the button above for a no-obligation quote. We will provide you with all the necessary documents to open a bank account as well as a registered office in Belize, which is required by law.
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