ICS TRUST (Asia) Limited - Anguilla Offshore Jurisdiction Company Incorporations

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Jurisdictions - Anguilla

BASIC JURISDICTION INFORMATION

Official Name: Anguilla
Capital: The Valley
Population: 12,871 (2001 estimate)
Location: Caribbean Sea, 150 miles east of Puerto Rico
Sovereign Status: British Overseas Territory
Legal System: English common law
Language(s): English
Time Zones: GMT minus 4 hours, EST plus 1 hour

HISTORY

Anguilla was originally an important home island for the Arawaks, an Amerindian culture with roots in Venezuela. The British took control of Anguilla in the mid-1600s.

GEOGRAPHY

Anguilla is located in the northern Leeward Islands, approximately 950 miles southeast of Miami, Florida, and 150 miles east of Puerto Rico. Anguilla has a landmass of 35 square miles, and supports an estimated population of 12,871 (2001 estimate).

GOVERNMENT

In 1969, Anguilla left Associated Statehood with St. Kitts and Nevis, opting for direct rule from the UK. Anguilla remains a British Overseas Territory (BOT) and is governed by an Executive Council of ministers appointed from the elected members of the House of Assembly. A British-appointed governor presides over the administration.

In the early 1990s, Anguilla embarked on a program to establish itself as an up-market, well-regulated and exclusive financial service center. As a result of the reforms implemented, the island’s financial sector is currently growing by 25 to 35 per cent a year, and is attracting new business from companies previously registered in other jurisdictions, proving its ease and efficiency. Anguilla’s banking system is recognized by many of the world’s leading banking systems, including that of Hong Kong.

MONETARY SYSTEM

The main currency in circulation in Anguilla is the Eastern Caribbean Dollar (EC$), though the American Dollar (US$) is also widely accepted. Anguilla has no foreign exchange controls.

RELATIONSHIP WITH THE EUROPEAN UNION

British legislation and the UK’s agreements with various European countries govern Anguilla’s relationships with its European Counterparts.

COMMON LAW SYSTEM BASED ON ENGLISH LAW

As a BOT,Anguilla boasts English as its official language. Its legal system is based on British common law, supplemented by local statutes enacted by the House of Assembly.

BUSINESS ENVIRONMENT

Anguilla possesses an excellent communications system and a well-developed professional infrastructure to support international financial activities.

STATUS WITH INTERNATIONAL AUTHORITIES

Anguilla has filed a letter with the Organisation for Economic Cooperation and Development indicating its commitment to comply with OECD initiatives. It has never been mentioned in any list of non-cooperative countries by the Financial Action Task Force, nor does it currently have a Tax Information Exchange Agreement with the United States.

TAX SYSTEM

Anguilla is a truly tax-neutral jurisdiction. As a result, it has no double taxation treaty with any country. Details are as follows:

A. Personal Tax
Anguilla does not impose tax on the income of individuals.

B. Corporate Tax
Anguilla does not impose tax on corporate profits.

C. Withholding Tax
Anguilla does not impose withholding tax on dividends, interest or other fixed or determinable income.

D. Capital Gains Tax
Anguilla does not impose capital gains tax.

E. Estate Tax
Anguilla does not impose estate tax.

F. Transfer Tax at Death and on Gifts
Anguilla does not impose transfer tax.

COMPANY REGISTRATION

Anguilla’s Company Online Registration Network (ACORN) provides an innovative and convenient mechanism for instant incorporation of Anguillan corporate entities (see Box).

Because Anguilla is a relatively new jurisdiction, a wide variety of company names is still available. The ACORN system includes a real-time, online company name check, with immediate name reservation. The system also allows for names to be registered in languages other than English, including Chinese.

TYPES OF COMPANIES

All companies registered in Anguilla enjoy the benefits of the jurisdiction’s zero-tax environment, regardless of residency. The companies most commonly formed by principals domiciled outside of Anguilla for international business are the Ordinary Company and the International Business Company (IBC).

Under the Companies Act, 2000, a registered Ordinary Company is exempt from all auditing and accounting requirements. It is designed to be a closely held private entity. It may not have more than 11 shareholders, nor may it publish a prospectus to offer shares to the public.

A registered Anguillan IBC, under the International Business Companies Act, 2000, is less expensive to incorporate and offers greater confidentiality. The identities of its shareholders and directors need not be disclosed on any public registry.

	Ordinary Companies	International Business Companies (IBCs)
Minimum Capital Requirements	Ordinary Companies have no minimum capital requirements, and no additional government fees are required for companies with larger authorized capital.	IBCs have no minimum share capital requirements, and no additional government fees are required for companies with larger authorized capital.
Shares	Only shares of no par value may be issued, but they may be issued for any consideration and may be transferred in any manner. Ordinary Companies may be limited by shares, by guarantee or by a combination of shares and guarantee. Bearer shares may not be issued.	Shares may be issued for any value or consideration, may be transferred in any manner, may be either par value, or no par value, or a combination of par value and no par value. Bearer shares may also be issued, and are transferable by simple delivery.
Transfer Of Domicile	Domicile may be relocated into or out of Anguilla.	Domicile may be relocated into or out of Anguilla.
Members (Shareholders)/ Directors	The directors must be named at the time of incorporation, so their identity is a matter of public record. This record must be updated each year on the anniversary date of incorporation.	The IBC Law imposes very few restrictions on members and directors. An IBC must have at least one of each, which may be either persons or corporate entities. The same person or entity may act simultaneously as the sole member and sole director. There are no residency requirements or nationality restrictions on either directors or members and their identity need not appear on any public record.
Restrictions	The Ordinary Company is the standard corporate vehicle for Anguillan business people, and as such is subject to very few restrictions. The number of shareholders may not exceed 11, and the company may not invite the public to subscribe to shares or debentures.	An IBC is restricted from conducting business with persons resident in Anguilla. It is also prohibited from conducting banking or trust business, insurance or reinsurance business or the business of providing company management services.
Reporting Requirements	Every Ordinary Company must file a basic, two-page form each year on the anniversary date of its incorporation. This filing requires disclosure of the names of the company’s current shareholders, directors and officers.	IBCs are not required to file any kind of annual report, nor are they required to submit the names of shareholders, directors or officers. However, government fees are due each year on the anniversary date of incorporation. The IBC must have a Registered Office in Anguilla, which maintains certain basic records.

Other types of business vehicles available in Anguilla include Limited Liability Companies and Limited Partnerships.

Limited Liability Companies (LLC)

The Limited Liability Company Act, 2000, permits the formation of LLCs in Anguilla. LLCs are generally subject to the same restrictions and requirements as IBCs, though they have limited duration. Unlike in some other jurisdictions, the establishment of an Anguillan LLC creates an economic interest that can be transferred separate and apart from the membership interest.

Limited Partnership (LP)

Limited Partnerships in Anguilla are governed by the Limited Partnership Act, 2000. Under this law, partners may be individuals, corporations or other partnerships. The only restriction on the identity of partners is that the partnership must have at least one general partner, and at least one of its general partners must be an Anguillan resident or company. To identify its structure, a Limited Partnership’s name must end with the words “Limited Partnership” or the initials “LP”. Otherwise, Limited Partnerships are generally subject to the same restrictions and requirements as IBCs.

TRUSTS

The Trust Ordinance, 1994, does not require a trust to be registered or publicly recorded, which helps to ensure confidentiality. Additional provisions allow for the appointment of a Trust Protector, who can remove or appoint trustees and who can include or exclude any beneficiary. The Ordinance also allows for various types of trusts. These are defined as types of trust recognized by the laws or rules of the settlor’s religion or nationality. The Fraudulent Dispositions Ordinance clarifies insolvency rules and strengthens a trustee’s ability to avoid creditors’ claims against the settlor of an Asset Protection Trust.

BANKING FACILITIES

There are currently four domestic banks in Anguilla: Barclays Bank PLC/First Caribbean; Caribbean Commercial Bank (Anguilla) Ltd.; National Bank of Anguilla Ltd.; and Scotiabank (Anguilla) Ltd.

WHY ICS TRUST?

ICS TRUST was one of the first companies in Hong Kong to become a registered agent for the Anguilla Companies Registry, and has been instrumental in promoting Anguilla as an offshore financial center. ICS TRUST was also one of the first Hong Kong companies to receive a company trust license to carry out Company Management business from and within Anguilla. ICS Trust (Anguilla) Limited was formed to address the specific needs of our clients and business partners who wish to incorporate offshore companies in this well-regulated jurisdiction quickly, efficiently and cost-effectively.

Based in Hong Kong, ICS Trust (Asia) Limited incorporates companies in Hong Kong and most offshore jurisdictions including Anguilla (Caribbean), where one of our affiliates is a registered agent. ICS TRUST is an independently owned, Hong Kong-registered trust company, also licensed as an Investment Advisor by The Hong Kong Securities and Futures Commission. With more than twenty years experience, we are a market leader in helping Entrepreneurs and Multinationals establish and grow their businesses in Asia as well as providing comprehensive TAX, TRUSTS and TRADE services.