Question 1

What is a BVI Business Company?

Accepted Answer

A BVI Business Company (BC) is the most popular offshore corporate structure in the world, with over 400,000 active companies. It offers 0% tax on all income, no requirement for local directors, full privacy with no public register of shareholders, and can be formed in 1-3 days.

Question 2

How much does it cost to set up a BVI company?

Accepted Answer

A BVI Business Company costs USD 1,500-3,000 to set up with annual renewal fees of approximately USD 1,100. A holding company structure costs USD 2,000-4,000, and a BVI trust costs USD 3,000-5,000.

Question 3

Are BVI companies taxed?

Accepted Answer

No. BVI companies pay 0% corporate tax on all income, 0% capital gains tax, and 0% withholding tax on dividends, interest, or royalties. There is no stamp duty on share transfers and no annual audit requirement for most BCs.

Question 4

What are BVI economic substance requirements?

Accepted Answer

Since 2019, BVI companies conducting certain activities (banking, insurance, fund management, shipping, IP, distribution, service centres, holding, and headquarters) must demonstrate adequate economic substance in the BVI.

Question 5

Can I use a BVI company for holding assets?

Accepted Answer

Yes. BVI holding companies are ideal for holding IP, real estate, or investments. There is no withholding tax on dividends or royalties, no capital gains tax on disposal of shares, and the structure is compatible with major tax treaty jurisdictions.

British Virgin Islands

Corporate Structures

BVI Business Company (BC)

BVI Holding Company

BVI Trust

The Tax Reality

Ready to set up in the BVI?