22.17 CYPRUS

Cyprus has a sophisticated network of double taxation treaties available for use by non-resident companies and a very professional infrastructure. Documentation presented to the companies registry must be in Greek and bank reference and copies of passports must be forwarded to the central Bank of Cyprus before offshore status is granted to a company. Cyprus is one of the most favored jurisdictions for those seeking a residency permit at competitive rates. In effect, Cypriot legislation allows an investor establishing either a genuine offshore branch or an indigeous Cypriot company the ability to be granted an authentic Cypriot residency permit. To qualify, it is necessary to prove management and control will physically take place in Cyprus. Once office facilities have been set-up it is then possible to arrange residency permits for the beneficial owner and his family/dependents within a short time span. The company itself will be subject to a 4.25% tax rate on its world-wide profits which will be assessed at the end of the financial year based upon submitted audited accounts. It is essential to remember that a Cypriot non-resident company must only conduct trade outside of Cyprus and that whilst the company itself is only subject to a 4.25% tax rate any on money withdrawn for the use of the beneficial owner will be subject to 50% of the normal individual tax rate (this assumes that the beneficial owner plays an active role in company affairs). In effect, this equates to a maximum tax rate of 20% but normally considerably lower. Cyprus is a popular tax haven for public and trading companies which can find significant advantages in the double taxation treaties network available to offshore companies. It is otherwise expensive and subject to significant disclosure requirements.
(Courtesy of the Baltic Banking Group).

Find the contact names, addresses, numbers and information for local government offices, banks, accountants, company formation services, investment and management companies, advisors, experts, maildrops, real estate agents and other useful local contacts in the THE OFFSHORE MANUAL & DIRECTORY .

22.18 DELAWARE, U. S. A.

Starting with the early 1980 the U.S.A. was made into the largest tax and regulatory haven in the world for foreign nationals not resident in the U.S.A. Today a foreigner can buy the newly issued Reg. S stock of a U.S.A. company at a discount because the company does not have to register those shares with the Securities Exchange Commission. Foreigners can sell those shares bach into the U.S.A. forty days later without paying any tax on the trading profits to the U.S.A. government. They can open bank accounts or buy the debt instruments of government and private borrowers and earn interest in the U.S.A. tax free. Delaware is home to half of the New York and American stock exchange listed companies because its business friendly environment. Delaware has the lowest cost and least disclosure requirements of any of the 50 states. Companies may be registered within 48 hours and shelf companies are available. Corporations must end with the word "Limited", "Corporation", "Incorporated" or similar abbreviations of such words. Corporations are subject to a minimum annual tax of US$50 if they have minimum capital. There is no state income tax but all U.S.A. companies are subject to federal tax return requirements. Companies must have a Delaware registered office and director, a secretary and one director. However, the director may be a corporation and meetings may be held anywhere. The public file need only contain the name of the company, incorporation number, date of incorporation and details of registered agent. No records of the companies business need be kept in Delaware. The U.S.A. has numerous tax treaties. If more than US$10,000 is taken into or out of the U.S.A., outside of normal banking channels, a report must be filed with the customs authorities. In addition there is what is called a Limited Liability Company (LLC) which has members rather than shareholders, pays a US$100 annual tax and is otherwise tax free if no business activity is carried on in the U.S.A., most of its members are not U.S.A. citizens or residents and does not invest in U.S.A. companies. The combination of double taxation treaties and the fact that foreign tax authorities do not generally consider the U.S.A. a tax haven can, in the right circumstances and with good tax planning, result in a very good overall situation.
(Courtesy of the Baltic Banking Group).

Find the contact names, addresses, numbers and information for local government offices, banks, accountants, company formation services, investment and management companies, advisors, experts, maildrops, real estate agents and other useful local contacts in the THE OFFSHORE MANUAL & DIRECTORY ..