Corporate Tax Rates

June 29th 2016

When choosing to establish an offshore company a lot of emphasis is usually placed on tax.  This is not always the case however.  Offshore jurisdictions can offer quite a broad spectrum of advantages.  This becomes clear when we look at the Corporate Tax Rates for some of the most popular jurisdictions and see that this includes not only the lowest tax rate (0%), but also the highest (35%).
Please see below a list of the Corporate Tax Rates for 2015.

 British Virgin Islands
 Cayman Islands
 Isle of Man
 United Arab Emirates  0%
 0% & 10%
 0%, 10% & 20%
 Hong Kong
 United Kingdom
 United States

United Arab Emirates is the only country that is not a small island with 0% corporate tax.  In recent years the growth and unprecedented influx of capital income have led this to be an increasingly popular jurisdiction due in part to its affluent reputation.

Cyprus and Ireland share the lowest corporation tax in Europe this makes them very appealing when looking for a jurisdiction with a strong and stable reputation in order to conduct business in and around Europe, particularly if the company is required to be VAT registered.

Mauritius is a very popular jurisdiction when conducting business with South Africa.

The United Kingdom is one of Europe’s big powers despite never having adopted the Euro.  It’s corporation tax of 20%, whilst not the lowest in Europe is certainly one of the more competitive rates.  As a central hub business orientates towards it facilitating the need to establish companies, especially in recent years with investment in property seeing such an extreme growth by overseas investors.

The United States has the highest Corporation Tax Rate and yet remains a popular place to do business.  This is generally because of its global position, investment into property or business ventures continue to provide a requirement for US incorporations.