The Isle of Man – where you can
So goes the catchphrase for the government-led initiative to drive business and commercial enterprise to the Island. And the Isle of Man has benefitted from the positive attitude of the Government as the Isle of Man has a number of key sectors within International business including the Aircraft and Ship Registry, E-Gaming, Financial services and even makes an impact in the Space sector with a number of global satellite companies based on the Island.
The Isle of Man has close links with the United Kingdom but is a legally separate Crown Dependency and has powers to create its own laws and taxation. The island is politically stable, has good Standard & Poor’s accreditation ratings, and there are no exchange controls or similar limitations on financial transactions.
The Island is a well-regulated jurisdiction with a highly compliant attitude towards the ongoing company activity, and a fully managed company offering is encouraged by the Isle of Man Financial Services Authority. In practice, this requires the company to be managed and controlled by Gecko, who provide the Directors on the Company and conform to International standards of due diligence and common reporting.
The Isle of Man has a customs agreement with the UK which allows for VAT registration of Isle of Man Companies. This makes an Isle of Man company a perfect vehicle for market penetration into Europe – allowing a business to test the interest of their products with the Isle of Man Company as a sales agent.
The Isle of Man also holds excellent Intellectual Property (IP) protection and is a signatory to the Paris Convention on patents and trademarks, allowing for profits to be received on IP to accumulate in the Company.
These are just two of the unique ways an Isle of Man Company can assist your clients. The general benefits and tax advantages for the Isle of Man Company are:
- 0% corporate income tax dependent on certain circumstances
- Dividends made to non-residents are taxed at 0%
- No capital gains tax
- No stamp duty
- No inheritance tax
- No withholding tax
- No thin capitalization rules
- Losses can be carried forward indefinitely provided a continuity of business test is satisfied.
If you have a client who is interested in an Isle of Man company, or if you have a question regarding the types of Company or Foundation that can be incorporated on the Isle of Man – then please do not hesitate to contact our Office in Isle of Man.