Top Tax Jurisdictions For Doing Business
By Space Coast Daily // November 30, 2020
Doing business in a foreign country is an intriguing thought for many entrepreneurs. There are various reasons why would someone set up a business in an offshore destination, but paying very low tax or no tax is the number one reason for most of them.
Today, many destinations are known for their low taxes, good banking solutions, and favorable economic and political climate. Countries like Aruba, Seychelles, Cayman Islands, Barbados, Switzerland, and Costa Rica are just a few of them.
All of these are popular places for companies that want to do smooth business with very few restrictions and low taxes. In any case, if someone plans to do business abroad, it is advisable to seek professional Offshore Tax advice from experts.
Countries To Consider For Setting An Offshore Business
More and more countries are added to the list of top jurisdictions for running a business. For example, Cyprus has been a long-time favorite of many businessmen.
This relatively small island in the southern part of Europe has worked hard in recent years to attract individuals and companies to set up their businesses in the country.
Cyprus is also a member of the European Union, so people have an open path to other markets as well. The income tax is low and the climate is favorable for those that wish to do business in this country.
Going a bit further away, Mauritius is an interesting country located between Asia, Africa, and India. During the 90s of the previous century, Mauritius had a zero tax on International companies.
In recent years, the taxes are very low and banking solutions are solid, which are a couple of reasons why some companies have chosen to set up branches in this country. Also, Mauritius has tax treaties with dozens of countries in the world, making things easier for businessmen to relocate.
The British Virgin Islands also belong to the group of tax havens due to its flexible legislation and modern laws. Located near Puerto Rico, the British Virgin Islands have a very favorable location from where people can expand their businesses to other territories.
The British Virgin Islands have significantly lower taxes than any other place in the Caribbean which makes them one of the top tax jurisdictions for doing business. Although named “The British Virgin Islands”, the official currency in the country is the United States Dollar.
In the Middle East, Dubai is a pretty good option for those that seek a country with low taxes. Dubai has a fantastic location with great connections to many countries in the world.
There is no income tax, capital tax, or withholding tax in Dubai. Being the largest free trade zone and having top banking solutions make Dubai an ideal destination for doing offshore business in the United Arab Emirates.
There are many more good tax jurisdictions around to world that offer a favorable business climate. Explore their advantages and disadvantages and pick a country that you believe is best for running your specific type of business.