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Turks and Caicos: Types of Company

Exempt Company

The attraction of the Exempt Company lies in a combination of its tax exempt status and minimal disclosure and administrative requirements. In order to obtain tax exempt status the subscribers must at the time of incorporation lodge at the Companies Registry a signed declaration stating that the business of the company will be mainly carried on outside the Turks and Caicos Islands.

The subscribers are not required to inform the Registrar of the identity of the beneficial owners. An exempt company must nominate a representative resident in the Islands for the purpose of service of legal process. There are more than 13,000 International Business Companies registered in the Turks and Caicos Islands (2012).

  • Bearer shares or shares of no par value are permitted;
  • A sole shareholder, director or subscriber: is permitted;
  • Resident or non-resident corporate directors, shareholders or secretary are permitted;
  • Only the registered office and articles of association are available on the public file; the only other reporting is an annual declaration of compliance with Exempt company conditions;
  • The company must keep its corporate seal at its registered office but need not maintain there any record of the shareholders, directors, secretary, mortgages or charges;
  • The company need not hold any annual meetings and such as are held need not be held in the Turks and Caicos Islands;
  • Subject to certain solvency requirements the company may purchase or redeem its own shares;
  • The company can use a foreign name and need not use or include the word limited in its name;
  • The company's capital may be registered in a foreign currency;
  • Accounts need not be filed or audited.

Fees on incorporation depend on the level of authorised capital:

  • For capital up to US$5,000 the fee is US$150;
  • For capital up to US$50,000 the fee is US$150 plus 1% of the excess of capital over US$5,000;
  • For capital over US$50,000 and up to US$100,000 the fee is US$600 plus 0.5% of the excess of capital over US$50,000;
  • For capital over US$100,000 and up to US$1m the fee is US$850 plus 0.1% of the excess of capital over US$100,000;
  • Capital over US$1m is charged at US$2,000.

The annual filing fee to accompany the annual return is US$350; these fees can be paid in advance at a discounted rate.

 

 

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