Isle of Man – New Manx Vehicle

The Isle of Man New Manx Vehicle (“NMV”) was introduced in 2006 to provide a structure that was similar in many ways to companies being offered in other jurisdictions. The NMV introduced a simpler and more streamlined company for ease of use with both international business and wealth management.

Attractive characteristics of the NMV include:

  • Minimum of one Director (and this may be a Corporate Director)
  • Simpler filing requirements
  • Relaxed accounting requirements for the distribution of dividends

This allows the Isle of Man NMV a greater flexibility for International trade and allows for a simple accounting test for the distribution of profits to the owners of the company.

The benefits of an Isle of Man NMV include:

Zero corporation tax – profits on a company are taxed at 0% (banking and insurance business are taxed at 10%).

Zero capital gains tax – on the sale of the holdings no tax will be paid on the capital gain.

Zero inheritance tax – property held within an Isle of Man company will not pay any inheritance tax in the estate of the ultimate owner.

Zero stamp duty – in certain cases stamp duties on the transfer of the property/holdings can also be mitigated.

VAT registration – an Isle of Man company can register for VAT for EU trade and sales.

The identity of the beneficial owner may remain confidential through the use of a corporate shareholder which holds the shares under declaration of Trust for the beneficial owner. There is no withholding tax on payment of dividends to shareholders.

The Isle of Man has a first class reputation as a well regulated international business and finance centre and is easily accessible from London and Dublin.

Isle of Man Limited Company (2006 Act)
– Company requirements

General company information
  • Type of law – Common
  • Type of entity – Limited
  • Time of incorporate – 2 days
  • Corporate taxation – 0% (Banking & Insurance companies – 10%)
  • Minimum government fees – £360
Directors
  • Minimum number – One (and can be Corporate)
  • Local Directors required? – No
  • Public records – Yes
  • Location of meetings – Worldwide
Company Secretary
  • Required – No
Share capital
  • The act removes the requirement for authorised share capital.
  • The NMV has a very flexible regime for shares.
Annual accounts
  • Requirement to prepare – Yes
  • Requirement to audit – No, some exceptions
  • Requirement to file – No, save in relation to taxation
  • Public access – No
Members
  • Minimum number – One
  • Location of meetings – Worldwide
  • Publicly accessible records – Optional
General information
  • Transfer of Domicile permitted – Yes
  • Annual Return required – Yes
For further information, please contact one of our agents and we would be pleased to discuss your requirements further.

Advantages of Isle of Man

Benefits to set up your business in the Isle of Man

The Isle of Man is a jurisdiction located geographically in the British Isles but with a separate government and identity. The island has a customs agreement with the UK which facilitates trade but it is legally separate from the UK and from the European Union. This gives some definite advantages to a company formed in the Isle of Man when it comes to trading in other jurisdictions or holding investments.
The Isle of Man is a low tax jurisdiction that has a zero-corporation tax rate except for banks that pay tax at 10% on their profits.
There is no withholding tax on dividends paid to shareholders resident outside the island and no withholding tax is imposed on any other payment to people overseas.
There is no capital gains tax, stamp duty or inheritance tax.

IOM holding and investment company

Commercial and intellectual property

A company incorporated in the Isle of Man can be highly advantageous for holding investment portfolios including commercial property. The Island has signed the Paris Convention on Patents and Trademarks and an Isle of Man company is therefore also suitable for holding intellectual property.

Lately and due to the recent legislation, the Isle of Man is an excellent jurisdiction for those wishing to get engaged in Cryptocurrency Business.

The IOM and UK

The Isle of Man includes a well-established legal system, a sophisticated banking system, political stability and an absence of any exchange controls or similar limitations on financial transactions.

The Isle of Man has a customs and excise agreement with the UK under which the two territories are effectively treated as one territory for customs duties, most excise duties and value-added tax.

Advantages Isle of Man – the IOM and EU trade

If a company incorporated in the Isle of Man is to trade with the UK or countries of the European Union it will therefore need to be registered for VAT, subject to reaching the registration threshold.
TBA can also help you set up an Isle of Man Foundation or assist you with the formation and registration of an Isle of Man Trust.
Established in 2009, TBA Associates has a dedicated Business Development Team fully specialised in tailor-made solutions for wealth preservation and enhancement. This expert team provides tax-efficient structures to facilitate cross-border transactions.

The TBA Associates experts will enable you to make the right decisions, while you receive constant guidance as you need it, during the process while helping you understand the advantages of Isle of Man.

The team will assist you in planning and implementing strategies that will enable you to conduct your financial affairs with absolute confidentiality in an environment free from adverse tax laws.

Our company licensing services

— What we do and do not do

Our company is EXCLUSIVELY engaged in assisting worldwide clients, either individuals or corporate entities, to get duly and properly licensed with local Regulators and Financial Authorities to get respective official licenses to legally carry out their cryptocurrency or financial related business activities.

TBA & Associates Tax Business Advisors does not provide or carry out any sort of Cryptocurrency or Financial services!

Disclaimer: While TBA & Associates strives to make the information on this website as timely and accurate as possible, the information itself is for reference purposes only. You should not substitute the information provided in this article for competent legal advice. Feel free to contact TBA Customer Services for advice on your specific cases.

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