BVI client case studies in 2021
BVI business set up
Background
Our Client engages Healy Consultants Group PLC to register a BVI company. The company plans to provide mileage integration services and provide advertisement services.
Engagement planning
While Healy Consultants Group PLC is happy to assist with BVI company registration, our Firm believes that tax haven companies are not long term solutions for our Clients, because they are negatively perceived by international banks, Governments, investors and customers. As such, Healy Consultants Group PLC recommend alternative legally tax exempt offshore solutions such as Singapore and Hong Kong. After discussing internally, our Client decided to proceed with BVI company registration.
BVI company registration
Healy Consultants Group PLC provides our Client a list of KYC documents required prior to company registration. Once our Firm receives the documents, we provided our Client with pre-filled incorporation forms. Upon confirmation, Healy Consultants Group PLC submits the same to the Registry of Corporate Affairs of BVI. Within 7 working days, the company is successfully incorporated. Healy Consultants Group PLC sent a courier comprising of i) certificate of incorporation ii) Memorandum & Articles of Association iii) Shares certificate and iv) company seal to our Client’s preferred address;
Challenges and Solutions
Effective 1 January 2020, BVI requires new and existing companies with relevant activities (trading companies, holding companies, fund management companies, financing and leasing companies, IP holding companies, shipping companies and banking and insurance companies) to state whether they are tax resident in the BVI.
If the company decides to be tax resident, such business required to have i) active directors / or ii) staff and physical office in BVI, and iii) submit an annual financial report to the BVI Government re local turnover, profits and expenses incurred within the BVI. If not tax resident, the company will need to confirm jurisdiction of tax residency and provide supporting documents including i) tax registration certificate and ii) tax return confirmation;
Conclusion
Within 1 week upon receiving required KYC documents, Healy Consultants Group PLC successfully registered our Client’s BVI company. We wished our Client all the best in his future endeavors and business expansions!
