Belize Offshore Company (IBC) FAQ’S
Note: The terms Belize IBC and Belize Offshore Company are used interchangeably and are referring to the same entity.
- What are the main purposes a Belize offshore company?
The main purposes of getting an Offshore Company are asset protection, tax reduction and confidentiality.
- What are some of the advantages of utilizing a Belize offshore company?
The main advantages to acquiring an Offshore company are:
- No taxation
- Strict confidentiality – No public filing required
- Asset Protection
- 1 Director
- What section of the IBC Laws it states that Belize Offshore Companies are not subject to taxes?
IBC Act Cap 270 Clause 130 – Title “Exemption from Tax”
It maintains under the provisions of this section:- that “all income of a company incorporated under this Act; all dividends or other distributions paid by the company to persons who are not resident in Belize; all interest, rent, royalties, compensations and other amounts paid by the company to persons who are not persons resident in Belize; and capital gains realized with respect to any shares, debt obligations or other securities of a company incorporated under this Act by persons who are not persons resident in Belize, are exempt from all provisions of the Income and Business Tax Act.
- What is the currency capital of a Belize offshore company?
The share capital of a Belize Offshore Company can be reflected in any value and currency. However, the US currency is readily accepted as the government IBC license fees are calculated.
- Define Nominee Director?
It is an individual or professional corporation that acts on behalf of the company as Director, being subject to director obligations and fiduciary responsibilities and need not be related to the beneficial owner.
- Can I purchase a Belize offshore company anonymously with disclosing my identity?
By law all service providers/registered agent are required to obtain records and proper due diligence on all their clients. This information is not made public but is retained for the registered agent’s record and statutory responsibilities.
- Are the owners required to sign the incorporation documents?
No, the prospective client/owner is only required to sign the formal IBC application forms. The actual incorporation documents will be signed by the initial subscriber represented by the registered agent.
- What are the necessary requirements to establish a Belize offshore company?
As legally prescribed by our Regulator, Service Providers are required to maintain adequate due diligence or information pertaining to “Know Your Customer - KYC”. In addition, a duly completed application form is needed together with notarized photo ID (passport/drivers license) and references on all beneficial owners and signatory(ies) of the offshore company.
- What means of payment are accepted?
Terms of payment include: Wire transfers and Cash.
- What are referred to as “ready-made or shelf companies”?
These are pre-existing but unused/ non trading companies that are waiting "on shelf" to be owned by a potential client. This process is done to speed up the incorporation process.
- Can I purchase a shelf company and change its name?
Yes. Interested client(s) will only incur minimal government cost and professional fees for services provided.
- What is the difference between a Shareholder and Beneficial Owner of a Belize offshore Company?
A Shareholder is an individual or corporate body to which the name of shares are issued in or registered on behalf of another individual or entity. The Beneficial Owner on the other hand isn’t the holder but the actual owner of the shares of the company held.
- Does a Belize Offshore Company come with a bank account?
No, upon incorporation of a Belize Offshore Company a bank account is not required. However, this is an optional service provided by service providers upon request.
- Is a refund given for a bank introduction, if the bank account is declined?
No, the bank introduction is a service offered by service providers whereby a service fee is levied and does not guarantee bank account approval. Hence the bank account approval rest solely on the bank's discretion and a refund is not given if the application for a bank account is declined.
- What is the time frame for opening an offshore bank account?
Each banking institution has set requirements which are necessary to establish an account. The acquisition of the necessary documentation and forwarding to the bank outlines the time frame which varies from bank to bank. Most average between 1 -2 weeks.
- What are some of the services offered by Offshore Banks?
Debit and credit cards, loans, online banking, online trading are some of the services offered by offshore Banks including different types of accounts such as Fixed Term deposit and Merchant accounts.
- Does the bank disclose information pertaining to my account with any governmental authority or other entities?
Under the Laws of Belize all offshore account information is kept in strict confidence and will not be disclosed to any foreign authority or entities. However, a Bank or Registered Agent/Service Providers must adhere to the Laws of Belize to disclose information. This is only capable of being requested, on proof of illegal activity, by the Belize Financial Intelligence Unit (FIU), IFSC or an order of the Supreme Court. Apart from the aforesaid, no information is disclosed to any other party and at no time to any foreign entity or government.
Still have questions? Contact us today for more information about forming a Belize Offshore Company.