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Offshore company Incorporation- foreign ownership of uk property

Discussion in 'Legal' started by alex1223, Jan 30, 2009.

  1. alex1223

    alex1223 UKBF Newcomer Free Member

    Posts: 1 Likes: 0
    Hello, i've recently incorporated a Seychelles company and BVI offshore company with a company called SFM Offshore sfm-offshore.com, who are based in Geneva.

    My plan is to transfer the ownership of 2 properties to these companies, which according to SFM is possible, but rental income becomes tax liable.

    Has anybody any advice or knows a law firm who can help me with the transfer of ownership?

    Thanks
    Alan
    Oxford
     
    Posted: Jan 30, 2009 By: alex1223 Member since: Jan 30, 2009
    #1
  2. mahutchinson

    mahutchinson UKBF Newcomer Free Member

    Posts: 1,058 Likes: 110
    Any decent law firm will have someone who should be able to help with this but it doesn't sound as if you have got detailed tax advice on the matter yet. I wouldn't go ahead without that first.
     
    Posted: Feb 10, 2009 By: mahutchinson Member since: Mar 17, 2008
    #2
  3. marshmallow

    marshmallow UKBF Newcomer Free Member

    Posts: 5 Likes: 0
    I am surprised SFM Offshore havent been able to provide you with a full tax report on this; I am also one of their client and they advised me properly in terms of tax and estate planning; ask for Raffaella there; she is my account manager and will be able to advise you correctly;
    Tom A,Paris
     
    Posted: Sep 29, 2012 By: marshmallow Member since: Sep 29, 2012
    #3
  4. MikeJ

    MikeJ UKBF Big Shot Free Member

    Posts: 5,105 Likes: 1,454
    Three and a half years late. Well done.
     
    Posted: Sep 30, 2012 By: MikeJ Member since: Jan 15, 2008
    #4
  5. teddys

    teddys UKBF Enthusiast Free Member

    Posts: 855 Likes: 198
    There are tax consequences that you need to check before go down this route. If you're tax resident and/or domiciled in the UK do ensure that the following don't apply:

    a) Corporation tax: the risk that the offshore companies owned by you may be brought to charge within the UK corporation tax laws

    b) CGT:Transfer of property ownership to your own company ('connected person') may be held to be a 'disposal' at market value

    c) CGT: Capital gains made by the overseas companies may be apportioned to you if you owned more 10% of the overseas companies

    d) SDLT: may become payable when you transfer the property to your own (connected) company.

    e) Overseas companies owning UK property worth more than £2m are subject to increased stamp duty land tax, and will be subject to a new proposed flat rate annual charge from 2013

    f) Possible applicability of CGT on disposal of UK property by non-resident companies from 2013.

    Finally, overseas companies (with no PE in the UK) owning UK property will need to file income tax return and pay tax @20% on property income earned in the UK.
     
    Posted: Sep 30, 2012 By: teddys Member since: Apr 30, 2011
    #5
  6. teddys

    teddys UKBF Enthusiast Free Member

    Posts: 855 Likes: 198
    Didn't read the comments: mine too is 3.5 year late!! Hope this helps the new visitors!!
     
    Posted: Sep 30, 2012 By: teddys Member since: Apr 30, 2011
    #6
  7. marshmallow

    marshmallow UKBF Newcomer Free Member

    Posts: 5 Likes: 0
    LOL you are right my answer was 3 years late...probably alex 1223 wont read it anyways. well am new in this forum, so apologies for misreading dates...will pay more attention in the future
     
    Posted: Sep 30, 2012 By: marshmallow Member since: Sep 29, 2012
    #7
  8. Rumpole56

    Rumpole56 UKBF Newcomer Free Member

    Posts: 13 Likes: 4
    No need to apologise, Gents. Some of us found the information useful. teddys' reply was particularly informative.
     
    Last edited: Oct 2, 2012
    Posted: Oct 2, 2012 By: Rumpole56 Member since: Sep 29, 2011
    #8
  9. iangoulds

    iangoulds UKBF Newcomer Free Member

    Posts: 2 Likes: 0
    I Am Trying To Find Othe Eu Equivalents Of The French Property Structure - Societe Civile Immobiliere - Which Allows The Above.
     
    Posted: Oct 16, 2012 By: iangoulds Member since: Oct 16, 2012
    #9
  10. frank.vanherden

    frank.vanherden UKBF Newcomer Free Member

    Posts: 3 Likes: 0
    I am planning to form a company and have been incontact with sfm offshore too , among others

    Can someone help me chose in whcih country to incorporaet? the scheme is pretty simple to understand, i've got clients in Saudi Arabia, pay me for IT consultancy work, would like to be paid abroad. what about Dubai ?

    i live in the Uk most of the year

    Fletcher suggested ST Vincent to me but sfm offshore Dubai or RAK and turner suggested Belize. what's the most secure, confidential and fast in your opinion please. thanks

    also about these 3 companies. Sfm offshore that you mention have a lot of public reviews on Feefo .com and it looks pretty good - fletcher and turner dont have public testimonials audited so wondering if anybody has used them so far or know where i can find some testimonials about them too, to help me make an educated choice.
    Frank V . H,
     
    Posted: Dec 2, 2014 By: frank.vanherden Member since: Dec 2, 2014
    #10
  11. iangoulds

    iangoulds UKBF Newcomer Free Member

    Posts: 2 Likes: 0
    Frank, If you are a UK resident and domiciled here what you are planning is illegal and subject to HMRC reporting. From Jan 2015, all EU banks must disclose their foreign account holders and the proscribed list includes most jurisdictions. Dubai is the one exception. They will not adhere to this disclosure requirement next year.
     
    Posted: Dec 2, 2014 By: iangoulds Member since: Oct 16, 2012
    #11
  12. gad.cowen

    gad.cowen UKBF Newcomer Free Member

    Posts: 3 Likes: 0
    I would agree with Iangoulds however his dates are wrong. Automatic Exchange of Info based on the OCDE Task Force solutions will start Setpember 2017, not 2015. so all in all this will probably start on exchanging infos reallistically in 2018, not before

    Talking about SFM Offshore i know them very well as I am one of their client . They do not give tax advices as this is not their role but service is good. i dont know Raffaella to which marshmallow refers, i dealt with Alexis and I would recommend.
     
    Posted: Dec 3, 2014 By: gad.cowen Member since: Dec 3, 2014
    #12
  13. BusinessRoy

    BusinessRoy UKBF Newcomer Free Member

    Posts: 1 Likes: 0
    I have a few properties. Is it safe to transfer ownership to an offshore company to save on taxes? Is this legal to do?
     
    Posted: Nov 26, 2015 By: BusinessRoy Member since: Nov 26, 2015
    #13