Business in the United Kingdom – Business of Excellence.
September 27, 2016
The Internet contains a wealth of information about the United Kingdom’s jurisdiction. However, most of this information is not consolidated and concerns quite different aspects. We are going to offer a brief overview of jurisdiction for business purposes.
Should pay attention to …
United Kingdom – is the country with a rich history, as it was the world’s first industrially developed state. On the other hand, the country’s economy is based on the service sector rather than on manufacturing.
According to the latest statistical data, 2/3 of the UK population works in the sphere of financial and related services.
The United Kingdom is not an offshore and is not “blacklisted” and at the same time, entities registered within the jurisdiction, could exempt from paying taxes, under certain circumstances. The United Kingdom occupies an honored place among the most popular jurisdictions due to its flexibility and range of “offshore” benefits. For instance, Companies House registers more than 600 000 companies within the UK.
Why is the United Kingdom is preferable?
The following features often cause the choice in favor of the company in UK:
- possibility to apply the offshore schemes and to use the nominee service
- lack of residency requirements for directors of the company
- exemption from the tax burden under the condition of doing business outside the country
- the stability of political and economic situations
There are several types of entities to be proposed in UK, but Limited Companies(LLC or Ltd) and Limited Liability Partnerships(LLP) are the most appropriate for non-residents.
The reasons for this are the possibility to use an Ltd as agent for the offshore companies, as well as absence of legal requirements for an LLP to be taxed as a single separate entity, while each partner is taxed according to the percentage of his participation. These circumstances make it possible to take advantage of international tax planning for each member of the partnership. For example, if non-resident members of a partnership lead an activity outside of the UK and generate their income from abroad, they will be exempt from taxation in the UK.
For more detailed information about business opportunities in the United Kingdom please visit the website of Offshore Express Company or follow the new series of brochures about this jurisdiction. These brochures are regularly published and available for download free of charge.