The foreign investors can open a joint stock company in Seychelles, even if this term is not used to describe business entities established there. Instead, in Seychelles there is International Business Company (IBC), which is a common type of business entity used for international business activities. An IBC can be structured in different ways, including as a company limited by shares. Our specialists in company formation in Seychelles will guide you through the process of opening such a company.
Requirements for a joint stock company in Seychelles
The primary legislation governing Seychelles IBCs is the International Business Companies Act, of 2016. According to this, shareholders in a joint stock company in Seychelles have limited liability, meaning their assets are generally protected, and their liability is restricted to the value of their respective shareholdings. You can open a joint stock company in Seychelles with a single shareholder, who can be an individual or a legal entity, resident or non-resident. The details of shareholders are not publicly disclosed, ensuring privacy.
Seychelles IBCs do not have a minimum requirement for subscribed and paid-up capital. The authorized capital can be freely determined at the time of incorporation and can be in any currency.
At least one director is required, and he/she can be a natural or a legal person, resident or non-resident. A director can also be the sole shareholder, and his/her details are not publicly available. Holding an annual general meeting of shareholders is not mandatory, and meetings can be conducted anywhere or via electronic means. Proxy voting is also allowed.
Every Seychelles IBC must have a registered office in Seychelles, which is provided by an authorized registered agent. This address is used for official communications.
While Seychelles joint stock companies have minimal reporting requirements, if they conduct business with Seychelles residents, they must adhere to additional compliance obligations, including the submission of audited annual accounts and tax returns.
Our team can explain more about how to open a company in Seychelles.
Taxes for joint-stock companies in Seychelles
If your joint stock company in Seychelles doesn’t receive income within the country, it doesn’t pay taxes on its income or profits in Seychelles. A Seychelles IBC is also exempt from stamp duties on all transactions related to its business, including property transfers and transactions involving shares, debt obligations, or other securities of the IBC. These tax benefits are also of interest to investors looking to open a Seychelles offshore company.
However, to maintain the tax-free status, the company must follow these regulations:
- It may not conduct business within Seychelles.
- It owns no real estate in the country.
- It needs special licenses for certain businesses like banking or insurance.
- It may not conduct securities business in Seychelles unless licensed to do so.
- It can’t operate gambling businesses in Seychelles without licenses.
Our specialists in company formation in Seychelles can give you more details about taxation.
Why open a company in Seychelles
Opening a company in Seychelles offers tax advantages and a favorable offshore business environment. The country remains a top choice for investors seeking to establish their Seychelles offshore business operations. Additionally, here are a few interesting data about the country:
- In 2020, Seychelles scored 62 points on the ease of doing business index by the World Bank;
- It received high scores of 85 index points for paying taxes;
- It also scored 79 index points for starting a business.
We can also help you in matters such as immigrating to Seychelles.
Please contact our team if you need assistance in opening a joint stock company in Seychelles.