Offshore Company Formation – Nevis

Nevis is a small island in the Caribbean Sea with population of 12,000 inhabitants which has been a British colony for a long time. Therefore, its legislation is based on English Common law. Delaware and New York corporate legislation is also applicable. The principal corporate act is Nevis LLC Ordinance, 1984 as amended. Offshore companies are incorporated in the form of an International Business Company (IBC).

Basic Information and Calculation of Expenses

Offshore companies in Nevis should carry out their activity outside the country. The registered office and Corporate Secretary are obligatory and provided upon registration. No local presence of shareholders is required. Note, that the minimum number of Directors is three. Directors and shareholders may be of any nationality, both individuals and legal entities. Corporate meetings may be held in any part of the world. For a certain spheres of activity like banking, insurance or education companies must obtain a license.

Incorporation package costs 500-1200 USD depending on a number of services rendered and documents included. Nominee services are 300-500 USD per year. Virtual office with fax and mailing services is 350 USD per year.

Multicurrency bank account in Nevis costs 750 USD. Some companies offer free brokerage or deposit accounts to their clients.

Optional services include additional set of documents (100 USD), courier services (USD 100), Power of Attorney (USD 150), corporate seal (95 USD), trademark registration (950 USD), banking or insurance licenses (from 1,000 USD).

Setup Procedure

The registration procedure takes 1-2 business days (notary certification takes 3-4 business days, and 3-5 days for delivery of documents).

Incorporation procedure consists of the following steps:

  • Selecting a corporate name for a new company, its checking and confirmation with the Register. A company’s name is written in the Latin alphabet and cannot be similar to existing names or include such words as “government”, “Nevis”, “bank”, etc.
  • Considering corporate structure (number of directors and shareholders, nominee services), the share capital, class and types of shares.
  • Preparation of the documents.
  • Payment of registration fee in the amount of 220 USD.
  • Filing the documents to the Registrar of Companies.
  • Notary certification and Apostille.
  • Delivery of the documents to the client by courier. Translation services if necessary.

Taxation in Nevis

IBCs in Nevis are fully exempted from income, corporate, stamp, withholding or any other taxes provided that the income has been obtained outside the territory of Nevis. Annual return is not submitted either. The Government entered into double tax treaties with a few countries, but they are not applicable to offshore companies.

Accounting Requirements

Offshore companies are not required to file accounts to the tax authorities or carry out audit. Accounts are not publicly accessible. However, enterprises prepare financial statements and keep accounting for external purposes and reflecting their financial status.

Advantages of Offshore Companies in Nevis

  • No income, estate, capital gain and other taxes including stamp duties and extra fees.
  • Stable jurisdiction with developed infrastructure.
  • Flexible corporate structure.
  • High level of confidentiality and protection of assets. Beneficial ownership is not disclosed.
  • Investor citizenship programs.
  • Nominee services.
  • Absence of exchange restrictions.
  • The legal system is based on English Common Law with transparent and clear principles.
  • No requirements in respect of minimum capital.
  • Simple registration procedure.