Open an Offshore Company in Nevis

Nevis Offshore Company and Trust Formation and Management

Why form an Offshore Company in Nevis

Highlights: Nevis separates itself from other jurisdictions as it does not only offer a 0% tax regime, but it also offers, great asset protection, high level of privacy, protection from lawsuits, favorable Illegal Conveyance of Assets Statutory Limit, no recognition of foreign judgments, a US$100,000 bond requirement to Creditors in case they want to sue a company formed in Nevis, etc.

EU Status: As of December 2023, Nevis is not a blacklisted jurisdiction by the European Union.

Nevis offers two types of offshore entities: IBC and LLC. Both type of entities have the same benefits when it comes to taxation, privacy, asset protection, etc., but they differ basically on their corporate structure.

The above, among other things, makes Nevis a unique jurisdiction as it has several features that are unique to these type of entities.

NEVIS LIMITED LIABILITY COMPANY

Company type: LLC

Tax rate: 0% on non-residents companies (companies not managed in Nevis)

Tax Residency: depends on where the company is managed.

One member minimum.

Minimum initial deposit: none

Formation timeframe: 3 - 5 business days.

Nevis LLC Legal Framework:

A Nevis LLC is regulated by the Nevis Limited Liability Company Ordinance of 2017 (hereianfter reffered to as the NLLCO) , which repeals the The Nevis Limited Liability Company Ordinance, No. 1 of 1995.

Taxation in Nevis

0% tax rate for companies not managed in Nevis: Corporate Tax residency in Nevis will depend on the place of management. Companies formed in Nevis that are not managed from Nevis will not be a tax resident of Nevis, hence foreign-sourced income will not be subject to taxes.

Tax resident companies are subject to tax on their worldwide income.

Nevis LLC for Asset Protection

A Nevis LLC is a great vehicle for asset protection, as Nevis's legal framework make it difficult for creditors to bring a suit against the LLC.

No Recognition of Foreign Judgments.

Courts in Nevis do not recognize foreign judgments, so a creditor would have to bring a new suit in Nevis Courts, and submit to Nevis legal framework, which protects LLC owners.

US$100,000 bond to bring a suit.

If a creditor wants to bring a lawsuit against the Nevis LLC, the creditor must post a bond to the Permanent Secretary in the Ministry of Finance of about US$100,000 (Section 62, NLLCO)

Fraudulent Transfer

Section 61 NLLCO

Fraudulent Conveyance of Asset statute of limitation is 2 years.

Charging Order

Charging Orders are regulated in Section 60 of the NLLCO
In Nevis, a charging order on the LLC distributions is the only remedy for a creditor. This charging order does not grant the Creditor to right to manage or take over / influence the LLC operations.
A Charging order will expire in 3 years, and it will not be renewable - Section 60(15) NLLC

Yearly Maintenance of a Nevis LLC

Nevis LLCs yearly maintenance are:

Renewal of Registered Agent and Address.
Keeping company accounts.
Filling out form CIT 101.

CIT 101.

LLCs formed in Nevis under the NLLCO have to fill Form CIT 101, wether they are tax resident or non-resident in Nevis. If the company is a non-resident, it would just only provide the company information, and information where the company is a tax resident in (where it is managed).

Nevis LLC Articles of Organization

A Nevis LLC is formed by filling its Articles of Organization.

Content of a Nevis LLC Articles of Organization:

(a) the name of the limited liability company;

(b) the authenticated translation of the name of the limited liability company, if it is so registered;

(d) the latest date on which the limited liability company is to dissolve, or if the limited liability company shall have unlimited duration;

(e) the name of the registered agent of the limited liability company;

(f) the address of the registered office of the limited liability company in Nevis which shall be the physical place of business of its registered agent;

(g) whether the limited liability company is managed by managers exclusive of the members or by all of the members in their capacity as members;

(h) the purposes for which the limited liability company is formed and it shall be sufficient to state, either alone or with other businesses or purposes, that the purpose of the limited liability company is to engage in any lawful act or activity for which limited liability company may be formed under this Ordinance, and by such statement all lawful acts and activities shall be within the purposes of the limited liability

company, except for express limitations, if any;

(i) the name and address of each organiser of the limited liability company; and

(j) any provision, which is not inconsistent with the Ordinance, which the organisers elect to set forth in the Articles of Organisation for the regulation of the affairs of the limited liability company, and any provision which under this Ordinance is required or permitted to be set forth in the ope rating agreement.

What is needed to open an offshore company in Nevis?

The requirements to open an LLC in Nevis will depend on wether the owner or manager of the company is an individual or a legal entity.

Certified proof of address.

Certified Passport Copy

Professional Reference Letter

Bank Reference Letter. (3 years relationship)

Offshore Bank Account for a Nevis Company

A Company formed in Nevis can open bank accounts in Nevis, and/or in other jurisdictions.

Having a Nevis Company plus a Nevis Bank account can grant a owner a higher level of privacy than having the bank account in another jurisdiction.

Similarly, offshore companies (companies not formed in Nevis) can open a bank account in Nevis.

Privacy of a Nevis Company

The Confidential Relationships Act - Chap 21.02 Revised 2017 applies to all companies incorporated in Nevis, including IBCs and LLCs.
The Limited Liability Companies Act of 2017 does not require LLCs to disclose information about their directors, shareholders, or beneficial owners to the public.
The government of Nevis does not maintain a public register of companies or their directors, shareholders, or beneficial owners. The only entities that have access to this information are the Nevis authorities, the company's registered agent, and the company's directors and shareholders.