Belize IBC - Belize International Business Corporation

The Companies Act of 1990 is law based in modern legislation which provides IBC Companies with extended privileges and guarantees absolute confidentiality. The Act was patterned after the best features of legislation adopted in other "Offshore" jurisdictions.

A Belize IBC, incorporated in Belize must have a registered office and agent in Belize. An IBC may not actively engage in business or trade in Belize. It can maintain a staff and facilities and conduct business incidental to its existence.

The features of the IBC make it an excellent vehicle. It is designed for international flow of capital, tax planning, real estate holdings, international financing, asset protection and investment.

Benefits of IBC's in Belize

• Exemption from taxes on all income of an IBC
• Exemption from taxes on all dividends paid by an IBC
• Exemption from taxes on all interests, rent, royalties, compensations and other amounts paid by an IBC
• Exemption from taxes on capital gains on shares, debt obligations or other securities of an IBC by non-residents
• No currency restrictions
• Meetings of shareholders and/or directors may be held in any country and may be attended by proxy
• No citizenship or residency requirements for directors, officers or shareholders
  

Significant features of Belize IBCs

• Liability is limited to the amount of the nominal value of the shares. Shareholders are not liable for any amount over the nominal value of their shares.
• An IBC is exempt from any tax to the Belizean Government.
• It is acceptable to have a low authorized and paid-in capital in relation to the value of the asset or the extent of the liabilities of the corporation.
• The requirement of at least one shareholder. Another company (or trust) can be the shareholder.
• Meetings of Directors can be held anywhere.
• There are no limitations or conditions on nationalities.
• Shares may be issued in bearer form, transferable by delivery (which adds to the confidentiality feature.)
• There are no requirements for annual reports setting out the number of shares issued or the names of shareholder or directors.
• No information relative to the company will be disclosed by the Companies Registry except that it exists, the location of its registered office and the identity of the resident agent.
• Changes of shareholders or directors need not be filed with the Registrar of Companies.
• The company can conduct any business not expressly excluded by the Law or by the Company's Charter.
• There is no requirement to maintain a register of shareholders or directors.
• Any company can buy back its own shares from shareholders. That is, there may be treasury stock.
• Flexible Structure.
• Bookkeeping and annual accounts are not mandatory.
• The nominal value of shares may be determined upon date of issue.
• Incorporation and shareholders need not be the same person or entities.
• Meetings of shareholders may be held any where in the world, provided the articles of incorporation make that possible.
• Minutes of shareholders meetings are not mandatory.
• There are easy procedures for liquidation of the corporation.
• Company files and records may be held anywhere in the world.
• No foreign exchange license is needed.
• No business and directors licenses are needed.

Limited Life Company

Furthermore, an IBC can be formed as a limited life company with the term of its existence specified in the articles of incorporation.

Public Investment Company

The Companies Act of 1990 makes provisions for a Public Investment Company, this Company is allowed to do business in Belize while simultaneously enjoying the benefits of complete exemption from taxes and duties for a period up to thirty years.

This type of Company requires very high capitalization and its shares must be traded on one of the major stock exchanges.

Who qualifies?

Any person may singly or jointly with others incorporate a company under the International Business Companies Act. Every IBC must have a registered office and registered agent in Belize. An IBC in Belize is considered to be a company that does not:

1. Carry on business with Belizean Residents
2. Own real estate in Belize
3. Carry on a banking or insurance business in Belize
4. Act as a Registered Agent for another Belizean IBC.

See the International Business Companies Act.

Belize also has two other innovative options, the Limited Liability Partnership and the Protected Cell Company.