Guernsey Island is one of the Chanel Islands, which was part of the Duchy of Normandy, which significantly influenced the history of development of Europe in general, and especially Britain and France. Guernsey was one of four British islands, which during World War II was occupied by Nazi troops.
Dramatic history ended and island officially remained under the British crown, but at the same time, according to the constitution, the United Kingdom provides a protective function and international representation. Guernsey is sufficiently independent and autonomous part of the world that is not a part of the United Kingdom, not a member of the European Union.
Since sixties of the last century the government has been making efforts to improve the legal framework, in the result flow of tourists and later residents increased. Low tax rate and rapid financial sector development seemed attractive to them. Particularly rapid growth of financial sector started since the mid-eighties of twentieth century. The banking sector developed as well. All the above has made the island of Guernsey famous international offshore center.
The most common business entities
Guernsey Corporate Legislation allows creating different business structures, among which the most interesting are:
• Limited partnership (LP)
• Company with limited liability for the shares (CLBs)
• Branch of foreign company (BoFC)
The main features
Free tax system. There is no VAT and capital gain tax. An additional advantage that there is no copyright and dividend charges for non-residents. There are no information disclosure requirements.
Legislative system of the island is based on the law of Normandy, largely supplemented with English law. Company interactions are governed by a special law on Companies of 2008.
Companies registered in Guernsey have large freedom of capital requirements, it can be in any of the world currencies, and the number of shares is not limited, there may be one share. There are authorized shares without par value. The only restriction is prohibition of bearer shares.
The main requirements for directors and shareholders
The company which is registered in Guernsey must have at least one director without any restrictions on residency, legal or natural person. The company must have at least one shareholder. Restrictions are not imposed on shareholders.
Disclosure of the company's beneficial to government bodies
This information is stored at a local special agent, and may only be disclosed to the competent authorities for a tax audit or by court order.
Companies must keep financial statements for six years. Financial statements are drawn up every year, but submission of it is not required.
Company registration in Guernsey takes from one day.