Offshore Company

Offshore Company

A company which is located in a so called offshore jurisdiction is called an offshore company; a offshore jurisdiction is a country or island which has some corporate tax advantageous in form of no tax at all or a very low corporate tax. Most often those countries are also called tax havens because they are used by companies to avoid paying any tax or only little tax.

When is my company a offshore company?
Your company is considered as an offshore company if it is located in an offshore jurisdiction / tax haven as like Seychelles, BVI, Bahamas, Belize, Panama, St. Kits, Belize and such. The reason for this is as mentioned above that the mentioned countries don’t have any corporate tax, means profits earned in companies who are incorporated there will not pay any tax at all, a offshore company is a common tool to be used for activities in tax planning and asset protection.