Today, the registration of a company in Liechtenstein attracted the attention of many businessmen from different countries. The tiny European state has corporate legislation with a 100-year history and offers flexible taxation of non-resident firms.
The state is called a premium offshore, although it belongs to mid-shores, that is, low-tax jurisdictions. Companies in Liechtenstein must pay a minimum of CHF 1,800 in tax per year.
The conferment of the title of offshore to Liechtenstein is associated with the possibility of opening the world-famous German organizational and legal structures AG and GmbH – a joint-stock company (public company), a limited liability company, and payment of significantly lower tax deductions.
The neighboring state in the Alps with Switzerland has a population of 33,000. Manufacturing and precision instrumentation are the backbones of the local economy. The financial services and offshore company registration services sectors in Liechtenstein do not have a high impact on the country’s GDP.
- Registration of assets in the jurisdiction, protection from the encroachment of third parties.
- Creation of a holding structure. Registration of a company in Liechtenstein, the main activity of which is the ownership, management of shares of other foreign corporations.
- Implementation of savings and foreign investments.
- The stable political environment for many decades.
- Member of the Schengen Agreement and the European Economic Area without joining the European Union.
- Possibility of travel on a Schengen visa.
- There is no foreign exchange control.
- Providing high confidentiality to the beneficiaries of the Liechtenstein company.
- No tax on income repatriation.
- Not included in the blacklists of offshore zones.
- A cost of registering a business, renewing an activity permit.
- Income tax is paid by all companies operating in Liechtenstein.
- Obligation to undergo an audit and submit financial statements.
- Management of a public corporation with at least one director with local registration – resident.
- Exchange banking information according to the CRS standard.
- A private limited company – GmbH or LLC – is a rare choice.
- Public Joint Stock Company – AG is the choice for a business that needs immense authorized capital, a solid reputation.
- Anstalt (translated as an institution) is a unique organizational and legal structure in the form of trust with trust management.
- Stiftung is a fund for charitable purposes, preservation, and augmentation of family capital with high confidentiality of information about the owner.
- Trust – allows you to transfer a business for an unlimited period in trust with the transfer of the acquired income to third persons.
The legislation enshrines the rule of at least two founders of a business in a jurisdiction. It is possible to register a company as a sole owner. The structure is defined as a sole proprietorship limited liability company. The second option is to provide a nominee service. A declaration of trust from a nominee shareholder allows you to combine shares in the possession of a sole founder, who can also be a legal entity.
At least one director of the company must have resident status – registration in the country. Hiring a secretary is optional.
Regardless of the direction and pace of activity, the amount of income, companies in Liechtenstein pay an annual compulsory tax of CHF 1800. The standard income tax rate is 12.5%.
The following types of profits are not taxed:
- Profit of a foreign representative office of a non-resident company.
- Rent payments from renting out own real estate abroad proceed from the sale.
- Dividends from local or foreign firms received after 2011.
- Investment income from the sale of shares, corporate rights.
After receiving the first consultation, the client makes the final decision. Having signed a contract for the provision of services, having paid the bill, a businessman receives from experts comprehensive support for the procedure for setting up a business.
- Determination of the organizational and legal structure
After consultation with experts, based on the needs of the client, the most suitable organizational and legal structure is determined.
- Selection of the original name
When choosing the name of a new company in Liechtenstein, originality is checked in the public register. It is allowed to use personal names, except for geographical names and phrases associated with banks, insurance companies, investments.
For a joint-stock company, it is mandatory to use the abbreviations AG, SA at the end of the name.
- Collecting documentation
To apply for registration of a company in Liechtenstein, an individual-founder must add:
- Internal passport of a citizen of the country, foreign passport, copies of passports with notary certification and apostille.
- Confirm the address of residence by submitting a receipt for utilities, an account statement from the bank.
- Certificate from the police department of the country of residence, confirming the absence of a criminal record.
The following documents are added:
- Company charter.
- Extract from an open corporate account on the contribution of the founding capital.
- Declaration of recognition.
- Form with specimen signatures of directors.
- Application form to the State Register.
- Opening a corporate account
According to the corporate law of the state, the capital of the company must be deposited before registration actions. To do this, you need to register an account with a local or foreign bank.
- Registration in the state register
With the help of a general power of attorney, partners acting as trustees submit an application to the State Register for the registration of a new company in Liechtenstein.