News: Registration of Company on the Seychelles islands

Registration of companies in Seychelles

Lawyers of Law & Trust International offer service regarding company registration in Seychelles. Offshore companies are completely exempt from taxation, and the only type of payments necessary to be contributed is fixed annual fee. The amount of the contribution does not depend on the level of the declared authorized capital of the company and is equal to 100 US dollars.

The company in Seychelles is not obliged to transfer to the state fund any payments other than the abovementioned. The fee shall be transferred prior to registration of the company on the islands. If business is registered by resident of the jurisdiction, it is subject to taxation at the rate of 1.5%. The tax is calculated only from the amount that can be considered as net profit of the businessman.

Registration of companies in Seychelles: Legal details

1. Offshore activities are not subject to currency control. Despite the fact that the official monetary unit in the territory of the islands is the Seychellois rupee, it is possible to use euro, dollar, rubles and other types of currencies for settlements with partners.
2. Registration of offshore companies in Seychelles implies the establishment of the most cost-efficient organizational and legal form, that is the international business company (IBC). In addition to the abovementioned, the jurisdiction of the islands is suitable for the establishment of banks, investment funds and insurance companies.
3. High level of confidentiality is guaranteed to all the businessmen. The register of companies discloses data on shareholders, founders, directors and beneficial owners to wide audience, but is responsible for their safety.

Business in Seychelles: Requirements and Restrictions

1. Regulation of the activities of all non-resident entities is conducted on the basis of the International Business Company Act. The bill was drafted in 2004, and the latest amendments to the regulation were introduced in 2017. According to the regulatory act, the international business company is not entitled to:

• Attract local target audience to purchase its goods or acquire services. The company can only interact with non-residents of the Seychelles from any region.
• Acquire ownership of real estate or any other business in Seychelles. The concept of "real estate" includes: land, industrial and residential buildings, garages, warehouses, etc.
• IBC can not carry out banking or insurance activities, so in order to do business in these areas, registration in another organizational and legal form, as well as additional licensing are required.

2. In order to register company in Seychelles, it is necessary to prepare and submit unique name for consideration. The name should not be consonant with the already existing names of other companies, and it should not contain references to the local government, as well as extremist appeals or insults of any social groups. Such abbreviations as LTD, INC, Corp and others indicating the form of the company being registered are used as the end of the name.

3. French, English and Seychelles Creole languages are used in the territory of the state. If the name is formed in foreign language, its translation and constant accompaniment by interpretation in all documents are mandatory.

4. The establishment of the company requires the presence of one director and one shareholder.

Detailed information regarding the stages of company registration in Seychelles is available on the website of Law & Trust. The initial consultation is free, and it is carried out at the office or by phone. Registration of business in Seychelles gives opportunity to extend the company to the territory of the African continent.

With the help of our lawyers, the registration process will take place within a short time and under the supervision of professionals. The latter will make it possible to avoid legal mistakes when collecting package of documents and submitting it. You can contact the expert through the website and by other means convenient for you.

There are no annual reporting requirements in Seychelles, however, in accordance with the amendments to the International Commercial Companies Act, if companies receive income taxable (“Assessable Income”) in the Seychelles, companies will be required to submit annual financial and audit reports to the Seychelles Registry (in accordance with the Companies Act 1972).

The new edition of the Companies Act abolishes the income tax benefit in the amount of 1.5% and the exemption from withholding tax. However, companies operating under a special license (CSLs) registered before October 16, 2017, may still enjoy these tax benefits and are exempt from tax until June 30, 2021 (other restrictions apply).