Why is the Isle of Man a Preferred Jurisdiction for Corporate Structuring?
There are several advantages for using corporate structures, especially those registered in financial hubs such as the Isle of Man.
They can be used to help mitigate taxes, hold luxury assets, hold investment portfolios, or as part of appropriate succession planning (something Covid-19 has been a particular catalyst of).
Isle of Man companies benefit from a 0% standard rate of corporate income tax, 0% stamp duty, 0% capital gains tax and no annual filing of accounts for private companies.
What can you do with an Isle of Man Corporate Structure?
- Own assets such as ships, aircraft and works of art.
- Hold UK or foreign property.
- Hold investment portfolios and participations in other companies. This is due to the zero rate of tax on such activities and where withholding taxes on dividend income from such companies may not apply.
- Hold intellectual property.
- Act as an employer for international workers.
- Receive international income, commissions, and royalties.
- Be part of business structuring and re-structuring.
- Convert immovable assets, such as land, into movable assets, such as shares.
- Incorporate as part of succession planning and asset protection.
- Incorporate as part of tax planning.
- Isle of Man companies wishing to borrow money from banks benefit from being in a well-regulated jurisdiction with a public register of mortgages and other charges.
Formation of Companies in the Isle of Man
Isle of Man companies can be formed and regulated under two separate Acts: the Isle of Man Companies Act 1931 and the Isle of Man Companies Act 2006. More information can be provided on request.
Dixcart in the Isle of Man can provide full management and control of companies, as well as offering advice regarding the statutory obligations for companies incorporated in the Isle of Man and compliance with substance rules requirements.
The Isle of Man is home to businesses operating in a wide variety of sectors. The Manx Government has actively encouraged the financial sector. Consequently, the island is extremely well served by international service providers, fully licensed and regulated banks, and insurance companies.
Dixcart provides a comprehensive incorporation service in the Isle of Man. We initiate the organisation and incorporation of companies in many locations around the world and can provide ongoing management and secretarial services to those companies. Dixcart managed companies are established with a complete corporate organisation. This includes the maintenance of statutory records, preparation and completion of financial statements and full documentation relative to the operation of the company. Dixcart can also assist with serviced office and support facilities for clients requiring a physical presence on the island.
We have a strong network of contacts within the wider professional and commercial sectors, both on and off the island, and can introduce businesses to relevant individuals where appropriate.
If you require additional information regarding this subject, please contact David Walsh in the Isle of Man office: advice.iom@dixcart.com.
Dixcart Management (IOM) Limited is licensed by the Isle of Man Financial Services Authority
