In Gibraltar there is no capital gains tax, inheritance tax, wealth tax, gift tax, VAT, withholding tax and no tax on interest or gains made on monetary investments. In addition, there is no taxation on dividends and interest paid by a Gibraltar Company to a non-resident recipient which includes investors in a fund. There is also no withholding tax on dividends.
Gibraltar has a territorial basis of taxation. Under the Gibraltar Income Tax Act, income tax is only payable upon income which accrues in or is derived from Gibraltar.
On the above basis, many Gibraltar companies are not liable to pay tax in Gibraltar as they do not do business inside the Gibraltar economy. Further advice can be provided by our firm as to whether a Gibraltar company is liable to pay tax in Gibraltar. It is also possible to obtain a tax ruling from the Gibraltar Commissioner of Income Tax which will confirm whether or not a Gibraltar company is liable to pay tax in Gibraltar.
As from 1st January 2011, all real presence Gibraltar companies will move to the 10% corporate tax rate. This will not affect companies with no income accruing in, derived from or received in Gibraltar which will continue not to be liable to pay tax in Gibraltar.
The new 10% company provides real opportunities for companies to establish their holdings companies in Gibraltar and take advantage of this low rate of tax. Also, companies with activities which can sensibly be performed outside their country of origin, can operate through a real presence company in Gibraltar. For example, marketin
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Tel: +350 200 70921
Fax: +350 200 74969