Key benefits

Costa Rica is located in Central America between Panama and Nicaragua. Dubbed “the Switzerland of the Americas” Costa Rica offers many advantages and favorable tax conditions. The high degree of privacy is one of the biggest advantages Costa Rica holds however in March 2012 Costa Rica signed the Convention on Mutual Assistance in Tax Matters with the Organisation for Economic Co-operation and Development (OECD). This could in effect change the privacy provisions Costa Rica is famous for however the required legislation has not been passed into Law at the current time.

Although the official language of Costa Rica is Spanish English is also widely spoken. Company names can be recorded in either Spanish or English.

Costa Rica’s economy was originally agriculturally based however recent diversification has taken place and Costa Rica has become a member of the World Trade Organisation in addition to developing numerous incentives to promote business and trade.

The most common form of company used in Costa Rica is the “Sociedad Anonima” as shareholders are not liable for the actions of the company. The main advantages of the S.A. are listed below:

Key benefits of a Costa Rica S.A:

  • A S.A. offers a high degree of privacy and anonymity.
  • 4 Members are required for a S.A – President, Secretary, Treasurer & Controller. Board Directors appear on public record.
  • Shareholders do not appear on public record.
  • Costa Rica is not a member of the Hague Convention therefore if a bank account is planned to be opened outside of Costa Rica then the corporate documents have to be legalized. Legalisation costs depend on the specific countries Consulates rates.
  • Timescale of Incorporation – between 20-40 working days.
  • An S.A operates a territorial taxation principle; the company only pays taxes according to the income generated in Costa Rica.
  • There are no reporting or accounting requirements.
  • Costa Rica is not considered an offshore entity and has a number of Free Trade Agreements in place (US, Canada, Mexico, Chile, Dominican Republic and the Caribbean). There are also negotiations underway with China and the EU.

Take the next step, we are here to help.

Register a Costa Rica company.
Open a Costa Rica bank account.

  Resources:

Russian citizens can gain Cyprus tax residency by staying only 60 days on island, whats the catch?

Russian citizens can gain Cyprus tax residency by staying only 60 days on island, whats the catch?

Cyprus is once again working to improve its economic desirability and will be able to increase its alternative business base for Russians with good creditworthiness.

Cyprus tax department releases new guidance on CRS deadlines and the online portal

Cyprus tax department releases new guidance on CRS deadlines and the online portal

The Cyprus Tax Department has released a notification to all Cyprus based Financial Institutions & Service Providers of the new guidance notes on the Automatic Exchange of Financial Account Information and other information relating to the Common Reporting Standard (CRS).

Hong Kong establishes AEOI agreement with Indonesia

Hong Kong establishes AEOI agreement with Indonesia

Last week, Hong Kong finalised and signed an agreement with Indonesia to allow for the automatic exchange of financial information (AEOI) regarding all tax matters.

 

New requirement for Scottish LPs to disclose all PSC information to the Companies House

The legislation for Scottish Limited Partnerships have changed regarding the disclosure of information. Going forward, Scottish LPs will have to register all information about PSCs and Business Owners with the UK Companies House from July 24th 2017.

 

Key amendments to the Singapore Companies Act

Significant changes to the commercial and company law in Singapore have come into effect. The changes to the Singapore Companies Act will hopefully make business entities more transparent as well as mitigating the risks of money laundering and terrorist financing.

Panama Law 52: Updated legislation for all legal entities

Panama Law 52: Updated legislation for all legal entities

Last month the Government in Panama officially approved Law Number 52; legislation which creates the regulatory framework for the implementation regarding automatically exchanging tax information, in a further attempt to comply with global regulations for tax transparency, and to be fully in line with all supervisory and compliance matters.

Important 2016 reporting deadlines for BVI Financial Institutions

Important 2016 reporting deadlines for BVI Financial Institutions

Officials from the British Virgin Islands have come together to clarify various filing deadlines as per the automatic exchange of information systems in a press release.

Thinking of relocating your business to Singapore? Let us help you!

Thinking of relocating your business to Singapore? Let us help you!

Singapore has quickly become one of the world's most prosperous countries with strong international trading links and per capita GDP equal to that of the leading nations in Western Europe, making it an ideal destination and potential location for Business Owners to relocate and start a new business and lifestyle.