Saint Vincent Will Abolish Tax-free Regime in 2021

Starting June 30, 2021, preferential rules for foreign companies are abolished in the jurisdiction of Saint Vincent. Now all organizations that have been registered as non-residents (IBCs) will be equated with commercial firms (BCs), and accordingly, they must pay income tax in the amount of 30%. They will have to pay tax on income received in any country.

Companies will have to provide information about the shareholders, as well as about the directors. They need to report to the St. Vincent Financial Services Authority (FSA). All legal entities are required to store all information in their own office in the jurisdiction. Large businesses need to submit financial statements, and small organizations need to submit a financial viability statement. St. Vincent will also prohibit the issue of bearer securities.

The jurisdiction changes the rules due to the risk of being blacklisted in the European Union. Saint Vincent also plans to join the OECD Plan. The business negatively perceived these innovations. Experts are sure that the country is bowing to global trends, and its decisions can have a negative impact on state GDP.

Law&Trust company offers services to companies operating in the jurisdiction of Saint Vincent. Our experts will help you find another country and re-register the company in an offshore jurisdiction with more attractive conditions.