Offshore Companies are described as companies that conduct an insubstantial or zero volume of business within their jurisdiction of incorporation. The Offshore Company also known as IBC Company. The International Business Company (IBC) or Offshore Company registry allows foreign investers to register offshore companies under any Offshore authority, work over there as a division of Investment authority without the need to establish a physical presence in that country. an offshore company has a restriction to do business inside the country where it is formed. this is also work as a vertual company, you can open bank account and operate international business.
To form an offshore company you have to take the services of an Authorized Offshore Agent. We are authorized agent for Ajman Offshore authority, we provides our consultancy to Setup an offshore company in Ajman Offshore Authority, RAK Free Zone & JAFZA Free Zone. we prepare complete documentation like MOA, Application form and document submission. we assist you to open a bank account within UAE.
Defination : A "Registered Agent" means a person or body corporate who is in the business of engaging in any of the following service activities and which requires specialised knowledge or expertise that is either registered with or accredited by an Accredited Body, where such a body has been established to maintain professional standards within the industry, or with whom the Authority is satisfied as to the nature and scope of its specialised knowledge or expertise in respect of any of the following service activities: (a) legal services; (b) chartered accountant firms, (c) company administration and management services; and (d)corporate advisory services.
A Registered Agent is mandatory to ensure that the offshore company has an assigned representative at a known address to receive all service of process (legal notices) on its behalf. The Registered Agent act as intermediate between offshore authority and the offshore company.
The Ajman Offshore Authority is considered is one of the best for offshore company incorporation in UAE, An Ajman offshore company is liable for zero taxation, and maintain strict privacy and 100% repatriation on profit to offshore companies in Ajman Free Zone. The Ajman offshore company cost is cheapest in compare to other offshore incorporation in UAE.
We are authorized agent for Ajman Offshore, for an offshore company registration in UAE, you must hire an offshore agent for the office address and document processing will be done by a authorized agent only. we are well recognized agent since 2014 and have successfully registered several company under Ajman Offshore authority.
By utilising an offshore company, it may be possible to secure a number of advantages. In the following notes we outline some of the structures which are available and give examples of uses which may be made of offshore companies. This is not intended as an exhaustive demonstration of offshore possibilities and we would always remind clients that the tax and other benefits which can be obtained by use of offshore entities usually depend upon the country of residence of the beneficial owner and its anti-avoidance legislation and regard has to be had, too, for the requirements of any other country with which the offshore entity might carry on its business. we will be pleased to advise you on all aspects. Typical uses to which an offshore company might be put :
An importing or exporting company might establish itself in an offshore area. The offshore company would take orders directly from the customer, but have the goods delivered directly to that customer from the manufacturer or place of purchase. The profits arising out of the difference between purchase price and sales price would then be accumulated in either a tax free or low tax area. With such trading companies, it is important to choose an offshore area which has good communications as shipping and other documentation may be critical to the scheme.
Use may be made of an offshore holding company which would fund the operation of subsidiaries in various countries so that the subsidiaries obtain the benefit of tax deductions on interest paid. If the holding company is situated in an offshore area where there are no income or corporation taxes and no requirement that dividends must be paid, then the profits which are accumulated in the tax free climate can be used to fund the requirement of subsidiaries or reinvested as business convenience suggests.
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 either in tax free bonds or as bank deposits where interest is paid gross. Similarly, in many offshore areas no capital gains taxes are applicable. Use of an offshore company incorporated in a suitable country allows the possibility of investing tax efficiently in a high tax country where there is a concessionary tax treaty in respect of investments made by companies incorporated in the offshore country.
A high net worth individual with properties or other assets in a number of countries may wish to hold these through the medium of a personal holding company so that upon his demise probate would be applied for in the country in which his company was incorporated rather than in each of the countries in which he might hold assets. This saves legal fees and avoids publicity. Again, not everybody wishes to advertise wealth and an individual may wish to hold property through an offshore entity simply because of the privacy which the offshore arrangement gives.
There are often great advantages in using an offshore property holding company for the purpose of holding an overseas property. Advantages of offshore property ownership include avoidance of inheritance tax, avoidance of capital gains tax, ease of sale which is achieved by transferring the shares in the company rather than transferring the property owned by the company and reduction of property purchase costs to the onward purchasers. Taking the example of investment in property in the United Kingdom by an offshore company, use of an appropriate offshore vehicle can offer relief from income tax, capital gains tax and inheritance tax. It should be remembered, in particular, that when a non resident company disposes of a property investment, no capital gains tax is charged and holding through an offshore company removes the application of inheritance tax which would apply if a non-domiciled investor held a UK property in his personal name.
Individuals who receive substantial fees in respect of their professional services in capacities such as designers, consultants, authors or entertainers, may assign or contract with an offshore company the right to receive those fees. The offshore employment company may not have to pay tax on its profits which can be reinvested in a tax free climate to generate further income from the offshore company. Payments to the individuals concerned can be structured in such a way as to minimise their tax liabilities. One example in this regard in respect of an overseas employment is to increase subsistence expenses as against fees as such which would be paid to the individual.
The use of offshore shipping companies can eliminate direct or indirect taxation on shipping. Shipping companies may own or charter ships, the profits from which activities can be accumulated tax free. Tax and legal requirements generally dictate that the offshore company wning a shipping vessel should be incorporated in the jurisdiction whose flag the ship flies. The historic havens for these purposes have been Panama and Liberia. Latterly, the registries of other nations have expanded and consideration might be given to registrations at British Ports of Registry such as those in the Isle of Man and Gibraltar. A certain prestige attaches to the registration of a ship or indeed a yacht at a British port of registry and the vessel can be surveyed at most ports throughout the world by a surveyor recognised by the UK Department of Trade and Industry. The British flag has always been regarded as one of the world's most dependable.
An offshore company can purchase or be assigned the right to use a copyright, patent, trademark or know-how by its original holders with a power to sublicence. Upon acquisition of the intellectual property right the offshore company can then enter into agreement with licensees around the world who would be able to exploit the intellectual property right in various countries. It is thought preferable to acquire, for example, a patent at the patent pending stage before it becomes very valuable so that the capital payment for the acquisition of the patent can be set at a lower amount. Often royalties paid out of a high tax area attract withholding taxes at source. In many cases an interposing holding company may allow a reduction in the rate of tax withheld at source.