The British Virgin Islands (BVI), located in the Caribbean region, is an overseas territory of Great Britain. The BVI is one of the first jurisdictions where the special rules for offshore company registration were applied.
British Virgin Islands company formation advantages
Companies registered in the BVI are very popular due to their simple administration and tax-free status; moreover, they are known and recognised by many in the international business field.
This is why the BVI is widely known as a fixed taxation location as companies only need to pay a small amount of tax every year specified in advance, which does not depend upon the profit they make. Apart from this fixed tax, companies have no other tax liabilities. Since companies registered in the BVI do not need to pay taxes on their profits, they do not need to submit an annual report or a tax return to the local authorities either. Companies are required to keep records of business events but the records need not be stored in the BVI.
Company formation requirements in The British Virgin Islands
The equity must be at least USD 1 at the time of registration of the offshore company, which must be paid up by the shareholders. The company is only required to have one manager and one shareholder, who can also be foreign persons. There are no restrictions on whether they should be legal entities or natural persons. The company must have a local address, which qualifies as its official address. The company is entitled to transfer its official address to another country at any time.