Guernsey

Not applicable

Statutory Regulatory Requirements:
All Guernsey companies are required to have (as a minimum) a local registered office and resident agent or resident director

Economic Substance Requirements:
Should a company carry out a relevant activity it will need to meet the Economic Substance Test

This will usually be passed if:
1. it is directed and managed in Guernsey, at an adequate frequency with a majority of board members physically present at those meetings, records are kept of the strategic decisions at those meetings and passed by members who have the necessary knowledge and expertise to do so, and all records are kept in Guernsey;
2. has adequate levels of people, expenditure and assets in Guernsey; and
3. all core income-generating activities are carried out in Guernsey (and to the extent outsourced to another person in Guernsey the company is able to monitor and control those activities)

Guernsey does not levy any withholding tax on interest, royalties or service fees

Dividends paid by Guernsey companies to non-residents are free of withholding tax

Guernsey companies paying dividends to Guernsey resident individuals must deduct withholding tax of 20%, although lower rates are applicable in certain circumstances

Tax exemption of foreign dividend income

This is not applicable. As detailed above there a is zero rate of corporate tax, no capital gains tax and no withholding taxes

Guernsey has tax information exchange agreements (TIEAs) in force with 61 jurisdictions and full double taxation agreements (DTAs) with Cyprus, Estonia, Hong Kong, Isle of Man, Jersey, Liechtenstein, Luxembourg, Malta, Mauritius, Monaco, Qatar, Seychelles, Singapore, and the United Kingdom

24 Hours from submission of documents to the Guernsey Registry

All Guernsey companies are required by law to have their accounts audited

However, the members of a company may pass a waiver resolution exempting the company from the requirement to have their accounts audited. The waiver resolution must be passed in the financial year before the financial year to which it relates. The waiver may be for one year, several years or indefinitely

Statutory Returns: an annual validation return is required to be submitted to the Guernsey Registry

Financial Statements: There is no requirement under the Law to file a company’s accounts with the Guernsey Registry

Tax Returns: an annual tax submission is required to be submitted to the Guernsey Revenue Services with latest accounts available attached

Data Protection: an annual declaration of compliance to the Guernsey Office of Data Protection is required

Apart from transfer of Guernsey Real Property, there are no other stamp or transfer taxes in Guernsey

Shareholder information is not kept by the Guernsey Registry

Basic company information (such as registered office address, registration date, company status and economic activity code) is available free of charge

Details of the directors is available by ordering a ‘Statement of the Register’

Taxes:

• No Value Added Tax (VAT)
• No Goods and Services Tax (GST)
• No Inheritance Tax

Types of structures available:

Company:

• Companies limited by shares
• Companies limited by guarantee
• Unlimited liability companies
• Mixed liability companies
• Protected cell companies
• Incorporated cell companies

Partnerships:

• Limited Partnerships
• Limited Liability Partnerships

Trusts:

• Discretionary trusts
• Life interest Trusts
• Purpose Trusts:
• Employee Ownership Trusts
• Employee Benefit Trusts
• Pre-IPO and Listing Trusts

Foundations