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Seychelles Offshore Company Formation

The offshore tax haven of Seychelles has made a mark for itself in the offshore world. Seychelles is a group of islands found in the Indian Ocean. Offshore company formation in Seychelles began in 1994 when the offshore legislation or incorporating International Business Companies (IBC) was successfully passed in the offshore jurisdiction. Today the tax haven of Seychelles has developed a well regulated and established offshore financial center with services such as offshore company offshore banking, Seychelles offshore insurance, Seychelles invest fund management fund, Seychelles offshore trust formation and the incorporation of offshore companies.

For the formation of an offshore company in the offshore tax haven of Seychelles the expert help of a registered agent must be employed this is according to offshore companies regulations.. Registered agents are person in Seychelles who are certified or authorized by the Seychelles International Business Authority (SIBA). For offshore company formation in Seychelles the registered agent has to put together a complete Memorandum of Association and Articles of Association must be submitted to the Registrar of Companies. The information which to be filed is the following:

  • The name of the company
  • The name and address of the registered agent
  • The purpose for forming the company
  • The registered address of the company in Seychelles
  • The currency in which shares will be issued
  • The authorized share capital of the company
  • The number of shares the company will issue
  • The company should state if bearer shares can be exchanged for registered shares and vice versa.
  • The number of bearer shares and numbered shares the company will be issued which has to be declared in a statement by the corporation
  • The privileges, powers, rights and restrictions awarded to each class of shares
  • The duration of the company( Seychelles International Business companies have a lifespan of fifty( 50) years
  • The by- laws of the corporation

The Registrar of companies in the offshore jurisdiction of Seychelles will award the offshore company with a Certificate of Incorporation if all the requirements are met. This means that the Seychelles offshore company is a legal entity with the rights of a legal person. An offshore corporation formed in tax haven Seychelles can sue and can also be sued.

For offshore company registration in the Republic of Seychelles the number of shareholders required is one and only one director is needed. Offshore company director in the Seychelles can be an individual, corporation or trust company. The persons wishing to do offshore business formation in the tax haven of Seychelles can be of any nationality. For offshore company formation in Seychelles a company secretary may also be appointed. Company Secretaries in Seychelles can be corporations and individuals.

When doing Seychelles company formation offshore attention must be given to the name of the proposed offshore company. According to offshore company regulations in the jurisdiction an offshore company formation will be denied if the company name is identical or similar to that of a company already incorporated in the jurisdiction. The names of offshore companies in Seychelles must not imply any connections with political parties, government agencies and departments in the jurisdiction. Similarly the words Royal, Imperial, or government cannot be added to the name of an offshore corporation in Seychelles. When forming offshore companies in Seychelles offshore companies need special license to use the following words as part of the company name and to be able to provide these services as a company; bank, investment fund, insurance, reinsurance, assurance among others. For offshore company registration the name fo the company can be written in any language but must be registration must be completed with a translated copy in French or English.

There are many benefits to offshore company formation in the Republic of Seychelles. Seychelles is a tax haven and this therefore means that companies incorporated in the jurisdiction will pay no taxes. Taxes are not levied on capital gained outside of Seychelles. Offshore companies incorporated in Seychelles are not permitted by legislation to conduct business in the territory therefore no income and corporate taxes are paid. Seychelles offshore companies also benefits from no capital gains tax, no estate tax, inheritance tax, withholding tax or gift tax. Offshore companies formed in Seychelles must pay an annual license fee to the government.

The privacy of offshore companies in guaranteed in the offshore jurisdiction of Seychelles. Seychelles companies have no obligation to prepare or present financial records, shareholders directory or directors directories for inspection by a government authority in the territory. The names of the true owners of Seychelles offshore companies is not disclosed to the relevant authorities but remains private and known only to the registered agent. Offshore companies in Seychelles for more privacy can use nominee shareholders and directors for incorporation.

The offshore jurisdiction of Seychelles also allows for the formation of offshore trusts in the jurisdictions. Offshore trusts haven been incorporated in Seychelles form 1994 when the relevant legislation for the regulation of such offshore entities was passed. The offshore registration of a Seychelles trust can be done with the Seychelles International Business Authority (SIBA). An international trust can be fashioned in the form of a will or in writing, form of a willing or orally. A Seychelles offshore trust must have a settlor, trustee, beneficiaries. In order to be registered a trust deed must be prepared and sent to the SIBA. A Seychelles trust can be registered in two (2) days. The Trustee for a Seychelles Trust must be a registered trustee in the jurisdiction.

A Seychelles trust has many benefits including tax exemptions. Seychelles trusts are exempted from Stamp Duty, estate tax, inheritance tax, gift tax and capital gains tax. Seychelles trusts are not taxed in the offshore jurisdiction. A Seychelles trust provides asset protection and is generally used to prevent forced hiership and help in planning how family assets will be used and distributed. There is no need to make public the identity of the beneficiaries of a Seychelles International Trust.

The Republic of Seychelles is an important tax haven and offshore jurisdiction. As a tax haven Seychelles have many condition in place which are favorable for the growth of offshore companies and international trusts incorporated in the jurisdiction. Offshore banking is also available for offshore business companies and trusts.