• About Gibraltar
• Company Formation
  Company Formation Why Gibraltar
• Accounting and Audit
• Domicile vs Residency

Gibraltar is one of the British Overseas Territories we recommend for an offshore company. Gibraltar is located on the southern end of the Iberian Peninsula on the Mediterranean. Gibraltar is known for its rock with a densely populated city area on the foot of the rock. Official language of Gibraltar is English, but Spanish and Llanito are also widely spoken.

There are many reasons why is registering a Gibraltar company an excellent business opportunity. Gibraltar's many financial incentives make the territory a strategic destination for businesses seeking a tax-friendly environment. The jurisdiction offers low corporate tax rates and no capital gains tax, allowing businesses to engage in efficient financial planning and significantly improve profitability. Furthermore, Gibraltar's economic growth showcases its success at diversifying its economy, reducing dependence on traditional sectors and positioning itself as an innovative business hub.

Gibraltar is exempt from EU legislation on VAT and enjoys full autonomy on all tax issues. However, Gibraltar’s swift legislative turnaround means the jurisdiction is fully up to date with EU laws and directives, where applicable, such as the General Data Protection Regulation (GDPR), and will continue to maintain this harmonisation for the foreseeable future.

Company information

The type of company is Non Resident, meaning that the director of the company doesn't need to be local, the board meetings and shareholder meetings must be held within Gibraltar. The key corporate features in Gibraltar:

-Company formation (registration process in Gibraltar takes around 5-8 days
-Minimal share capital of 1.21 EUR, and usual authorised share capital of 2,420 EUR
-At least one director and one shareholder are required
-A local qualified company secretary is required.
-Filed accounts are not publicly available
-An office must be maintained within Gibraltar


TIN – Tax Identification Number

All companies incorporated in Gibraltar must have a Tax Identification Number, whether Resident or non-Resident.

Without a TIN, accounts cannot be filed. We will obtain this as part of our service to you.

Company formation

To maintain a Non Resident company in Gibraltar the following is required:

-filing annual returns
-preparing and filing accounts
-a minimum annual license fee of 55 EUR

Tax system

Gibraltar does not have Double Taxation Treaties with any country and has no corporate tax. Only the annual license fee has to be paid. Also there is no wealth tax, Capital Gains Tax, gift tax or Value Added Tax in Gibraltar.

Registering a company in Gibraltar can offer several tax benefits, especially for non-resident controlled companies (NRCCs). Here are some key tax advantages:

1. Non-Resident Controlled Company (NRCC) Status

- Zero Corporate Tax: NRCCs in Gibraltar are not subject to corporate tax on their worldwide income, provided the company is controlled and managed from outside Gibraltar.
- This means that if the management and control of the company are exercised outside Gibraltar, the company can enjoy a tax-exempt status on its profits.

2. VAT Benefits

- Gibraltar has a competitive VAT regime with a standard rate of 0%, which can be advantageous for companies involved in international trade or providing services to customers outside of Gibraltar.

3. Other Tax Incentives

- No Capital Gains Tax: Gibraltar does not impose capital gains tax on the sale of shares, securities, or real estate (unless the real estate is in Gibraltar).
- No Wealth Tax or Estate Duty: There are no taxes on wealth or estate duty in Gibraltar, making it attractive for asset holding and inheritance planning.

4. Private Wealth Management

- Gibraltar is a well-established jurisdiction for private wealth management, offering various structures such as trusts and foundations, with favorable tax treatments.

5. Double Taxation Treaties

- Gibraltar has signed double taxation treaties with several countries, providing further opportunities to mitigate tax liabilities and avoid double taxation for companies operating internationally.

Considerations:

- Substance Requirements: To qualify for tax benefits, especially as an NRCC, the company must demonstrate sufficient substance in Gibraltar, which typically involves having adequate local presence, staff, and decision-making capabilities.

- Compliance: While Gibraltar offers favorable tax benefits, it's crucial to adhere to local compliance requirements and ensure that the company is structured and operated in accordance with Gibraltar's laws and regulations.

Establishing a business requires careful planning. Working with our experts can help streamline this process, providing valuable insights and tailored strategies to ensure successful outcome. Don’t hesitate any longer. Apply to become a client today to work with our experts on legal strategies to overcome barriers.
 

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