Anguilla
Business Company (Company limited by shares)
Anguilla is an offshore incorporation center and tax neutral jurisdiction that enjoys high reputation and stability as a British Overseas Territory.
As other British Overseas Territories, Anguilla has well-regulated corporate and financial services industry. However, unlike other offshore centers, Anguilla has avoided excessive attention by international regulatory agencies.
Anguilla does not levy direct taxes, there are no income, capital gains, estate, profit taxation either on resident/non-resident individuals or juristic entities.
Anguilla International Business Companies (IBC) limited by shares are restricted to do business with residents and are conceived to do business internationally.
They can be incorporated with a single shareholder and director, who may be from any nationality, may be the same person and who may be a corporation or a natural person.
Unlike other jurisdictions, an Anguilla IBC does not have to face mandatory audits, and corporate compliance is low.
Requirements for an IBC are minimal. No minimum paid-up capital required and appointment of secretary is optional. It can be administered from Anguilla or from any part of the world, and its books and records may be kept outside the country.
However, IBCs conducting the following activities are required to have certain physical presence requirements and conduct their core income-generating activities within Anguilla:
Banking, Insurance, Fund Management, Financing and Leasing, Distribution and Service Center (purchasing goods from or providing services to affiliates), Shipping, Intellectual Property, Headquarters, and Holdings.
Companies required to meet the economic substance test will need to be controlled and managed from Anguilla and have adequate premises, amount of expenditures and number of employees in Antigua, according to its business activity and size. Companies deemed to be conducting a high-risk intellectual property business will be subject to enhanced substance requirements.
High-risk IP businesses are those that have acquired the IP from an affiliate and are licensing the IP to an affiliate or generating income derived from the IP in consequence of business performed by an affiliate company. For its part, holdings will be subject to a reduced economic substance test.
Companies subjected to have economic substance will be required to file an annual return reporting certain information for the regulator to assess if it has met the prescribed requirements. An Anguilla company will be exempted from economic substance if it proves its tax residency and substance in another jurisdiction.
Anguilla IBCs do not face any reporting requirements. Startup costs and ongoing government fees are relatively low.
Legal
Country code – AI
Legal Basis – Common law
Legal framework – Business Companies Act
Company form – Business Company (Company limited by shares)
Liability - The liability of the shareholders is limited up to the amount of the shares they hold.
Economic Substance – Business Companies conducting the following activities are required to have certain physical presence requirements and conduct their core income-generating activities within Anguilla:
Banking, Insurance, Fund Management, Financing and Leasing, Distribution and Service Center (purchasing goods from or providing services to affiliates), Shipping, Intellectual Property, Headquarters, and Holding Companies.
Companies required to meet the economic substance test will need to be controlled and managed from Anguilla and have adequate premises, amount of expenditures and number of employees in Antigua, according to its business activity and size. Companies deemed to be conducting a high-risk intellectual property business will be subject to enhanced substance requirements.
Companies subjected to have economic substance will be required to file an annual return reporting certain information for the regulator to assess if it has met the prescribed requirements. An Anguilla company will be exempted from economic substance if it proves its tax residency and substance in another jurisdiction.
Share capital – There is no minimum share capital. There is no statutory requirement for capital to be fully or partly paid on incorporation.
Shareholders – Business companies may be formed by one or more shareholders, who can be either natural or legal persons, residents or non-residents. Details of shareholders are not publicly disclosed.
Directors – At least one director is required, who may be a natural person or a legal entity, resident or non-resident. Directors’ details are not available to the public.
Secretary – The appointment of a secretary is not required.
Registered Address – An Business Company must have a registered address in Anguilla, provided by a licensed registered agent.
General Meeting – Annual general meetings are not mandatory, can be held anywhere, and may be conducted by telephone or other electronic means. Alternatively, directors and shareholders may vote by proxy.
Electronic Signature – Permitted.
Re-domiciliation – A foreign entity can be re-domiciled as an Anguilla BC, and vice versa.
Compliance – Business Companies are required to keep accounting records and underlying documentation, but its location can be freely determined. There is no requirement to file financial statements, or a tax annual return.
- Shareholders not disclosed
- Directors not disclosed
- Corporate shareholders permitted
- Corporate directors permitted
- Local director required
- Secretary required
- Local secretary required
- Annual general meetings required
- Redomiciliation permitted
- Electronic signature
- Annual return
- Audited accounts
- Audited accounts exemption
- Exchange controls
- Common law Legal basis
- 1 Minimum shareholders
- 1 Minimum directors
- - Minimum issued capital
- - Minimum paid up capital
- USDAny Capital currency
- Anywhere Location of annual general meeting
- 2017 AEOI
Taxes
Corporate income tax – Anguilla does not levy corporate income tax on both resident and non-resident companies. There are no taxes on capital gains and investment income. All dividends, compensations, rents and royalties are also exempted from taxation.
No withholding tax is levied on dividend, interest and royalty payments to non-residents.
Other taxes - There are no personal income, capital gains and profit taxes in Anguilla.
There is a stamp duty from 0.01% to 5% charged on any contractual relationship document. Property tax is levied at a flat rate of 0.75% on the annual land value determined by the Land and Surveys Department. However, non-built up land is exempted from property tax. There is also a 5% transfer tax imposed on the transfer of real property. Nonresident purchasers of property may need to obtain a landholding license and pay stamp duty of up to 12.5% of the value of the property.
- Offshore Income Tax Exemption
- Offshore capital gains tax exemption
- Offshore dividends tax exemption
- CFC Rules
- Thin Capitalisation Rules
- Patent Box
- Tax Incentives & Credits
- Property Tax
- Wealth tax
- Estate inheritance tax
- Transfer tax
- Capital duties
- 0% Offshore Income Tax Rate
- 0% Corporate Tax Rate
- 0% Capital Gains Tax Rate
- 0% Dividends Received
- 0% Dividends Withholding Tax Rate
- 0% Interests Withholding Tax Rate
- 0% Royalties Withholding Tax Rate
- 0% Personal Income Tax Rate
- 0% VAT Rate
- 0 Tax Treaties
Country details
Anguilla is a British overseas territory located in the Caribbean, specifically in the north of the Windward Islands, in the Lesser Antilles.
It is one of the 17 Non-Self-Governing Territories under the supervision of the United Nations Decolonization Committee, in order to eliminate colonialism. Its capital is The Valley.
The archipelago comprises the island of Anguilla and some nearby islets and has maritime borders with the island of San Martin to the southeast. To the west are the British Virgin Islands.
In recent years Anguilla has become one of the most popular offshore financial centers internationally, as the State does not levy any kind of taxes or commissions to individuals and corporations.
The Head of State is the Queen of the United Kingdom Queen Elizabeth II of England, represented by Governor Alan Huckle, who is appointed by the Queen. The Head of Government is the Chief Minister Osbourne Fleming, who is appointed by the Governor within the majority block of the Assembly, who must form an Executive Council approved by the chamber.
Anguilla has few natural resources, and the economy depends a lot on tourism, corporate and financial services, lobster fishing and remittances from emigrants. Its currency is the Eastern Caribbean Dollar (XCD).
The main products that it produces and exports are salts, fish, lobsters, concrete blocks, cattle, tobacco, and rum.
The issuance of postage stamps intended primarily for philatelic collecting is also a source of income for its economy.
The Offshore financial services sector consists of banks, money services businesses, company managers, insurers, brokers, captive intermediaries, mutual funds and trust companies.
The captive industry plays an ever-increasing and important part of Anguilla's financial services industry. Anguilla is the fifth-largest jurisdiction for captive insurance, behind Bermuda, Cayman, Vermont, and Guernsey.