Dominica, officially known as the Commonwealth of Dominica, is located in the Lesser Antilles region of the Caribbean. Formally a British colony Dominica’s official language is English and the legal system in the Commonwealth of Dominica is based upon English Common Law.
Dominica is an excellent offshore jurisdiction with a progressive legal framework that ensures that Dominica’s offshore sector is well developed and regulated.
Key benefits of Dominica:
- Lifetime tax-exempt status of an IBC – The government of Dominica guarantees 20 years of tax exemption for an IBC.
- High degree of confidentiality / privacy – It is an offence to reveal any information regarding a Dominica corporation, except by a court order solely relating to criminal activities. The punishment for this is a fine of 25,000 USD and two years’ imprisonment for anyone (including an auditor or liquidator) who reveals information. In addition there is no public register of directors, shareholders or beneficial owners therefore preserving client confidentiality.
- No Annual Reporting required – no requirement to file annual reports or financial statements.
CJEU: Defines Key Definitions for Tax & Beneficial Ownership Purposes
Last month, the Court of Justice of the European Union (CJEU) issued a series of important judgments dealing with tax avoidance and beneficial ownership in the context of the EU Parent-Subsidiary Directive (PSD) and the Interest and Royalties Directive (IRD).