Page 60 - Caribbean-Central America Profile 2018

BRITISH VIRGIN ISLANDS

CARIBBEAN-CENTRAL AMERICA PROFILE 2018

Official Name: British Virgin Islands
Capital: Road Town (Tortola)
Nationality: British Virgin Islander(s)
Official Language: English
Population Total (millions): 0.031(2016 est.)
BRITISH VIRGIN ISLANDS Size: 59 square miles (60 islands)
Currency: U.S. Dollar (USD)
TORTOLA Internet Domain: .vg
International Dialling Code: +1 284
Electricity: 110/220v

COUNTRY OVERVIEW INVESTMENT INCENTIVES
The Government of the BVI offers generous incentives under the following laws to encourage
q The British Virgin Islands (BVI) is foreign investments:
a British overseas territory.
Pioneer Services And Enterprise Ordinance
q The islands make up part of the A ten-year tax exemption and duty-free entry of equipment necessary for the operation of business is
Virgin Islands archipelago. granted to new operations that are expected to provide benefits to the BVI.
q “The Baths” on Virgin Gorda Hotel Aid Ordinance
provide a lure for tourists. Building materials and equipment for the construction or expansion of hotels are permitted duty-free
entry in the British Virgin Islands for a period of 10 years, and in some cases, up to 20 years. Income
q The capital Road Town is located tax exemption is also granted for 10 or 20 years, as warranted.
in Tortola the largest of the BVI’s
islands. Repatriation Of Profits
Earnings and capital may be repatriated freely in U.S. dollars and other convertible currencies.
The British Virgin Islands is a popular
jurisdiction to incorporate private Double Taxation Relief
and holding companies, as well as Double Taxation agreements are in effect between the British Virgin Islands and Denmark, Japan,
public companies prior to admission Norway, Sweden and Switzerland. The BVI is generally regarded as the premier offshore corporate
to international stock exchanges. domicile. It is the Government’s policy to create a climate characterized by the absence of restrictive
Companies incorporated in the BVI fiscal measures; an open environment in which private enterprise can thrive and flourish. In addition,
can list on the London Stock Exchange the collaboration between the public and private sectors is quite close. Professionals have known for
(LSE), LSE’s AIM, the New York some time that the BVI is hardly an “overnight success”. The Government has worked hard for many
Stock Exchange, NASDAQ, the Hong years to establish and protect an image that is untainted by allegations of scandal, money laundering
Kong Stock Exchange, the International and narcotics trafficking. The Territory has several advantages, many of which are common to other
Securities Exchange and the Toronto jurisdictions:
Stock Exchange.
• The legal system is based upon English Common Law, (with legislation protecting trusts, corp
This is due to the familiarity and stability rate and banking operations).
of the BVI’s English common law based • The official currency is the United States dollar.
legal system, tax neutral treatment and • There is an absence of currency exchange controls.
the business-friendly flexibility of its • There are excellent state-of-the art telecommunications facilities.
regulatory and judicial regime. • There are no minimum issued share capital requirements.
• Both registered and bearer shares can be issued, (and converted from one another); and an IBC
may acquire and hold its own shares.
• There is no requirement for directors to be resident in the Territory or for meetings to be held
there.
• Most companies are not required to produce audited accounts.
• A foreign company has the right to change its domicile to the BVI or from the BVI to another
jurisdiction.
• There are competent banking, legal, accounting and trust and company management services.

B-24 Caribbean-Central American Action