Jurisdictions offering IBC as a business structure

IBC or International Business Company, or as it is also called International Business Corporation, is basically an offshore company which, according to the laws of some jurisdictions worldwide, is usually founded as a tax-neutral company, i.e. not subject to tax in the country of incorporation. It is also limited to the direct business activity that it may carry out during its activity in the context of the jurisdiction in which it is incorporated.

Importance and main functions of IBC
IBC characteristics can often vary by jurisdiction, however, they usually include business confidentiality, the ability to issue stocks, the provision of a local registered agent or branch office, and local corporate tax exemption as the majority of offshore jurisdictions do Removing IBCs from local taxation while reducing corporate tax to zero to avoid harming the entire offshore finance industry.

Such companies are generally formed for offshore banking, international investment, asset protection, real estate and intellectual property ownership, and other business activities related to international trade.

A list of jurisdictions that offer IBC as a business structure



As it says in Streber Weekly, there are many jurisdictions that offer IBC as a business structure. The list of such jurisdictions is quite long: Antigua and Barbuda, Anguilla, Barbados, Bahamas, Belize, Brunei, British Virgin Islands or BVI, Cook Islands, Comoros, Dominica, Grenada, Gambia, Mauritius, Marshall Islands, Monster Council, Nauru, Saint Lucia, Samoa, St. Kitts and Nevis, St. Vincent and the Grenadines, Seychelles and Vanuatu. This list includes most jurisdictions without considering their worldwide reputation. Some popular offshore jurisdictions, not mentioned earlier, offer territorial taxation and other tax incentives in place of IBCs. These business structures can operate as exempt companies, free zone companies or non-resident companies etc. without the ease of IBC companies: Panama, Hong Kong, Cayman Islands, Turks and Caicos Islands (TCI), United Arab Emirates (UAE), Bermuda.

For example, the Panama jurisdiction generally lends itself to International Foundation or IBC in terms of asset protection. The Hong Kong jurisdiction in general is also suitable for international trade due to the favorable tax system, as withholding tax, capital gains tax, capital gains tax, VAT and other types of taxes are not levied.

Most reputable IBC jurisdictions
British Virgin Islands (BVI) are identified as the world's leading offshore business hub with more than 450,000 operating companies registered in their territory. It is often referred to as the grandfather of all IBCs. International international business corporations have a fairly good reputation in other jurisdictions of this type for the ability to transfer the domicile and confidentiality of property rights for assets collected within the company. In general, BVI offers flexible, inexpensive and fast services for setting up international offshore companies.

The Seychelles can be alternatives to BVI offshore companies as this jurisdiction also offers ease of administration, simplicity and privacy. In addition, with more than 175,000 companies registered there, IBC is the most common type of company on islands. The IBCs of this jurisdiction are commonly used as a consulting and personnel services company, as well as holding company stocks, real estate and stocks.

Bahamas is one of the oldest offshore jurisdictions, considered to be a classic one as the BVI mentioned before as it is an independent and politically stable which has an improving reputation and is gambling friendly.

St. Kitts and Nevis has decent reputation while being also politically stable and having average to low costs. However, this jurisdiction is more popular for its Limited Liability Companies (LLC).

Saint Vincent and the Grenadines has merely low costs. It is quite politically stable with good reputation which has improved in recent years because of the gaining popularity due to financial operations carried out by Euro Pacific Bank and Loyal Bank.

Belize is also a great place for IBC formation. In frames of this jurisdiction IBC can be used with the purpose of international trade, asset protection, offshore banking, owning real estate, e-business or any other financial services.

Such IBCs are suitable for business transactions globally as well as making deposits and managing offshore investments such as bonds, mutual funds, stocks and other types of business services, while providing consulting and such professional services as management, corporate credit cards ownership, covering legitimate expenses etc.