Some factors to consider when incorporating offshore include i) what image is portrayed to your customers, suppliers and investors by incorporating offshore and ii) what business do you wish to carry out through the company after setting up your offshore corporate structure?

Other reasons to consider when incorporating offshore include i) are you incorporating a company offshore purely to minimise tax? ii) are you incorporating offshore due to privacy concerns? iii) are you setting up an offshore corporate structure to use as a holding company for your global business? iv) are you incorporating a company offshore to conduct international trade?

Some common features of incorporating offshore include:

• When engineering an offshore corporate structure in Singapore, the company must have at least one Singapore-resident director. There is also a public register of shareholders and directors. For more information on incorporating a company offshore in Singapore, follow this link.
• When engineering an offshore corporate structure in Hong Kong, annual accounts must be submitted for audit. However, if properly-structured a Hong Kong offshore company is tax-free but is not perceived as a tax avoidance mechanism. For more information on incorporating a company offshore in Hong Kong, follow this link.
• When engineering an offshore corporate structure in Dubai, the company cannot trade products or provide services within the UAE. Although it is tax-free, a Dubai offshore company is required to submit audited financial statements annually to the Dubai government. For more information on incorporating a company offshore in Dubai, follow this link.
• When setting up an offshore corporate structure in the Marshall Islands, the company is a private entity with no public register of shareholders or directors. The Marshall Islands government has strong client confidentiality laws and is refusing to exchange customer information with OECD members. For more information on incorporating a company offshore in the Marshall Islands, follow this link.

While there are a wide range of jurisdictions to choose from when incorporating offshore, many are bowing to pressure from the Organisation for Economic Cooperation and Development (OECD) to exchange confidential client information. This is part of the OECD's efforts to minimise tax evasion, target money laundering and track terrorist financing. When incorporating a company offshore and engineering an offshore corporate structure, it is critical to consider global trends (see also point 7 below).

When incorporating offshore, be aware of changing regulations and global developments. For example, daily experience with our clients confirms the growing trend for the migration of corporate structures from traditional offshore tax havens like the British Virgin Islands (BVI) and the Bahamas towards more transparent, legitimate, tax efficient trading jurisdictions like Singapore, Hong Kong, Dubai, Ireland and New Zealand. For more information on this trend and its implications for incorporating a company offshore, follow this link.

Incorporating a company offshore is straightforward, thanks to Healy Consultants' efficient engagement procedures and experience of the optimum offshore corporate structure. That said, it is always advisable to be aware of the company law and accounting requirements prior to incorporating a company offshore.

While incorporating offshore is an excellent way to legally minimise international tax liabilities, our clients should note that when incorporating a company offshore taxes should be paid on all profits or income received and used for personal living. Please contact us for more information on engineering the correct offshore corporate structure for your circumstances.

For more information on incorporating offshore or for assistance in building an offshore corporate structure, email email@healyconsultants.com or telephone us at (+65) 6735 0120.