Tax and Accounting Regulations

Gibraltar Non-resident Company will not be liable to Gibraltar taxation, including income tax and estate duty.

Non-resident status:

  • Company should be owned by non-residents
  • Company should be controlled by directors who reside and hold board meetings outside Gibraltar
  • No trading and business activities in Gibraltar

Filing of accounts

Annual accounts must be drawn up in accordance with the Companies Act 1999 and must give a true and fair view of the Companies assets, liabilities, financial position and profit or loss. The Act prescribes the accounting principles to be observed in preparing the annual accounts, the layout of the balance sheet and profit and loss account and the content of the notes to the accounts.

Filing of accounts ‐ companies are classified as small, medium-sized or large. Documents to be filed at the Companies Registry vary according to their classification:

  • Large companies ‐ to file full accounts including the balance sheet, profit and loss account, notes, directors’ report and auditors’ report
  • Medium-sized companies ‐ filing as for large companies except that the profit and loss account may be in abridged format
  • Small companies – required to file abridged balance sheet only

Definitions

Companies are classified by size according to the following parameters

 SmallMedium-sizedLarge
Net Turnover (pro-rated if more than or less than a year) up to £6.5 million up to £25.9 mill over £25.9 mill
Balance sheet total up to £3.26 million up to £12.9 mill over £ 12.9 mill (total assets)
Average number of persons employed up to 50 up to 250 over 250

Basically a company must fall within two out of three parameters in the financial year in question and the preceding year in order to be classified as small or medium‐sized. However, if a company exceeds or ceases to exceed the limits of more than one of the parameters it will continue to qualify for the relevant year unless it occurs in two consecutive years. For a newly incorporated company the conditions need only be met in its first financial year.

Filing due dates

The relevant documents must be filed within 13 months of the financial year end in the case of a private company and 10 month of the financial year in the case of a public company.

If the financial year‐end is the company’s first then the period allowed is the greater of 18 months from the first anniversary of the incorporation of the company or 13 months from the end of that financial year.

If a company chooses the 31st of March 2001 as the beginning of its financial year, its financial year ends on the 30th March 2002 and it then has 13 months to file the accounts. It has till the end of April 2003 to file accounts.

If company fails to file accounts it may be subjected to penalties.

If company doesn’t pay penalties, it may be proceeded against for the offence of failure to comply with a requirements of Company Act.

Take the next step, we are here to help.

Register a Gibraltar company.
Open a Gibraltar bank account.

  Resources:

Cyprus Regulatory Update: Shell Company Definition & Exceptions

Cyprus Regulatory Update: Shell Company Definition & Exceptions

The Central Bank of Cyprus has released new guidance for all credit institutions on the island, refining the definition for shell companies and subsidiary entities; coming into effect from November 2018, which are detailed as follows:

Singapore Variable Capital Company VCC: New Features & Benefits

Singapore Variable Capital Company VCC: New Features & Benefits

The introduction of the VCC is a significant positive for the Singapore funds industry. Its aim is to retain Singapore as an attractive business destination and to keep investors wishing to domicile locally.

Consolidated Accounts for Hong Kong Companies: Subsidiary Requirements

Consolidated Accounts for Hong Kong Companies: Subsidiary Requirements

As per Hong Kong company’s ordinance subdivision 3 section 379 subsection 1, a Company Director will have to prepare year-end financial accounts that comply with sections 380 and 383.

Challenges of Our Time: Cryptocurrencies & Their Regulation

Challenges of Our Time: Cryptocurrencies & Their Regulation

The very concept of cryptocurrencies derives from technologies and the creation of alternatives to existing payment systems, which for the most part is caused by the negative consequences of financial crises and the injustice within the sphere of financial and legal regulation. Many people are convinced that the cryptocurrency is likely to become an alternative to the established global financial system and open new opportunities to those segments of the population and citizens of those countries that are deprived of the opportunity to work with the banking financial system.

The Tax System in Poland: Benefits & Overview

The Tax System in Poland: Benefits & Overview

The tax system in Poland is one of the most loyal for both large and small businesses in the country. There are two levels in the system that relate not only to residents of Poland, but also to foreigners. The Polish tax system consists of administrative taxes (duties are paid directly to state bodies) and local taxes (the process is similar to the previous type). Therefore, Poland is one of the European countries with a stable economic position, whose attractive system attracts citizens from neighbouring countries to conduct business within the country. It is the Polish taxation system that is advantageous for businessmen willing to enter the international market.

The reasons of abolition of the Company Secretary in UK Private Companies

The reasons of abolition of the Company Secretary in UK Private Companies

The role of Corporate Secretary can be a position in a private sector company or within the public sector organisation. In large, publicly-listed corporations, a Company Secretary is typically named a Corporate Secretary or just a Secretary. The Company Secretary is responsible for the efficient administration of a company, particularly with regards to ensuring compliance with statutory and regulatory requirements and also for ensuring that decisions of the board of directors are implemented.

The Dematerialisation of Shares in the UK: Current Update & Assessment

The Dematerialisation of Shares in the UK: Current Update & Assessment

Business is an area that is continuously developing. An integral part of both business and economics are companies. It is possible to say that companies dictate the conditions of the market to a certain extent. Any public or private company has its own shares; a share is a security that provides a portion of ownership of the company and gives the holder the right to a part of the profits.

Current Information on the Payment of Cyprus Taxes for Pensions & Rental Income

Current Information on the Payment of Cyprus Taxes for Pensions & Rental Income

Cyprus employees who are considered to have tax resident status, pay tax on their global income. Employees not considered to be tax resident are only charged for specific types of income that are originating from Cyprus-based sources.