Setting up a company abroad

[Psyurmh]

Hi everyone. I'm new to the forum and I'm hoping for some advice.

I'm considering going into partnership with my father in law which would involve buying land, building property and renting. The activity would all take place in the Turks and Caicos islands where my father in law resides. I reside in the UK and also have full time employment. Is it better to set up a company abroad instead of a UK company? Would it be better to set up in Turks and Caicos or maybe somewhere else such as the British Virgin Islands for tax breaks?

Thank you for reading.

 

[Scalloway]

I presume your speaking about a limited company.

 

[Psyurmh]

Yep. I presume a limited company is the way to go.

 

[Psyurmh]

But where?

 

[Scalloway]

The Turks and Caicos islands seem to have a very favourable tax regimen so it would appear that would be the best place. You should consult an accountant with knowledge of the area and UK tax to get the best deal for yourself.

 

[Psyurmh]

I thought that setting up in T&C would mean the activity isn't tax exempt as one of the directors is a resident?

 

[Navitasmu]

It is better to get the advices of a Tax Adviser before moving on so you have the right information to compare which will be more profitable. Also, the market is different in both countries and you'll need to make sure that the area you are choosing will attract enough customers and be profitable.

 

[dollarfx25]

It is always better to start the company in a partnership basis to avoid the risks of the new business.

 

[r. kumler]

Most offshore jurisdictions have very different tax rules for business conducted external to the jurisdiction compared to that which is internal. First off issue is size of business, how much expense is justified on structure issues ( for example using third country as a location for a holding company could be an option). Getting proper advice form company that deals with offshore matters is vial- and make sure that they are clear not only on set up fees, but annual maintenance fees.