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Tax Haven Bermuda

The offshore jurisdiction of Bermuda is situated in the North Atlantic Ocean. Bermuda is part of British Overseas territory. Bermuda is made up of one hundred and thirty eight (138) small islands but the biggest and most inhabited island is Bermuda. The island of Bermuda itself is divided into different parishes. The capital of Bermuda is Hamilton and the current population of the island is estimated to be at 67,000 inhabitants. The official language is English and the currency is the Bermudian Dollar.

The tax haven of Bermuda has long depended on tourism as one of the major earners to its economy. Bermuda is one of few islands which can boast of pink sand beaches. The coastline of Bermuda is lined with public beaches which are not overcrowded. There are also private beaches on the island which are mainly reserved for the guests of hotels and resorts on the island. Activities to be enjoyed in and around the beaches of Bermuda are; diving, snorkeling, sailing, sunbathing, kayaking, swimming and boat cruises.

The tropical climate of the offshore jurisdiction of Bermuda makes it easy for plants and animals to adapt. It has been said that Bermuda enjoys some of the best weather and climate conditions in the world. The hillsides of Bermuda are covered with lush green vegetation along with blooming colorful plants which adds color and life. Colorful gardens are very popular in the towns and parishes on the island. The forests of Bermuda are home to many different species of wild life including frogs and birds. The ocean surrounding the island makes a great habitat for at least five (5) of the world’s seven (7) species of sea turtles, tropical fish, crabs and other

underwater life forms.
The tax haven of Bermuda has one of the most prosperous economies in the Caribbean region. Finance and international business make up the largest sector in Bermuda’s economy. Bermuda has been an offshore jurisdiction for many years. In fact offshore legislation of Bermuda has been copied and used as models for many of the world’s offshore jurisdictions. Bermuda offshore services include the incorporation of offshore companies, offshore banking, offshore insurance, investment fund management and the registration of vessels and ships. The majority of offshore clients to Bermuda come from the United States of America.

Bermuda is a tax haven which means that there is no local taxation for companies who do no business in the jurisdiction. International Business companies or offshore companies incorporated in Bermuda pays no capital gains tax, income tax, estate tax, inheritance tax, capital gains tax and withholding tax. The Bermuda exempt company or offshore company is not permitted to do business in the offshore jurisdiction hence is not entitled to pay local taxes. Such companies are only entitled to pay an annual duty which serves as a license fee to the government. This fee is based on the assessable assets of the exempt company.

One of the main factors which draw clients to the offshore tax haven of Bermuda is the ability of the tax haven to provide privacy for its clients. The names of the beneficial owners of Bermuda exempt companies are protected by laws which are in place to prevent the public from knowing who the owners of offshore companies incorporated in Bermuda are. Offshore corporations incorporated in Bermuda are not obligated to makes it annual financials statement known to anybody outside of the company and this includes government agencies. Offshore companies incorporated in the tax haven can keep their financial statements private at any location in the world. The information in offshore bank accounts is protected by banking laws. In the tax haven of Bermuda Customer –banker confidentiality and relationship is highly regarded.

Bermudas’ offshore financial center is very important to the economy of the tax haven. The offshore sector provides employment for many residents and contributes over half of the country’s Gross National Product and for these reasons the government of the tax haven is dedicated to maintaining the offshore sector. Improvements have been made to the offshore sector in Bermuda. The various offshore legislations have been amended to make offshore corporations and other offshore entities registered in the tax haven more modern and effective.

The tax haven of Bermuda is not an independent country but has operated with its own constitution for many years now. The laws of the country are based on the English Common Law System. Bermuda is stable both politically and economically which is another reason why clients choose the offshore jurisdiction for offshore incorporation.

The offshore tax haven of Bermuda as a jurisdiction with many years of experience in offshore has lots of great and sophisticated services. The tax haven of Bermuda gives clients an opportunity to protect assets and reduce on their taxes in manners which are 100% legal.