In Gibraltar, however, the distinction between the duties of barristers and solicitors, is less rigid. An EIF can be established as a Gibraltar limited company, a Gibraltar unit trust, a Gibraltar limited partnership, a Gibraltar protected cell company or any other form recognised in Gibraltar (which may include foreign structures where the management and control is in Gibraltar) and which is approved by the GFSC. These regulations, based on a set of nine key principles, strike the perfect balance between regulatory caution and the need for flexibility so as not to stifle innovation in such a rapidly-advancing field. 0000003566 00000 n As a member of the Commonwealth of Nations, Gibraltar also belongs to a close, international community which, in 2016, saw intra-member trade worth $560 billion. 0000043827 00000 n Business language. It enjoys a solid global reputation for stability and efficiency with robust infrastructure and prudent regulation. Trustees, however, can be resident in Gibraltar. 0000006909 00000 n Gibraltar’s forward-thinking approach to crypto has been mirrored by its banking industry; at the time of writing both Turicum Private Bank and Gibraltar International Bank have announced their readiness to provide banking services to crypto businesses and individuals. Sotomarket, oficina 8 for construction and allied trades, real estate) and/or special manufacturing and importation licences. Stamp Duty There is no stamp duty payable on the transfer of shares in a Gibraltar company, unless that Gibraltar company owns real property situated in Gibraltar. Gibraltar is a British overseas territory located on the southern tip of Spain with a population of 33,573. There are, however, restrictions on specific industries which require special licensing. Gibraltar is not part of the UK, but contrary to all other British Overseas Territories was a … Brexit also adds an additional dimension to the perennial issue of relations with Spain, whose government continues to claim sovereignty over the territory. In addition to Gibraltar’s bars, restaurants and casinos, visitors can also enjoy VAT-free shopping while soaking in the unique atmosphere. Benefits of Doing Business in Gibraltar. FOREIGN INVESTMENT RESTRICTIONS AND CONDITIONS Businessmen and women are expected to dress smartly in Gibraltar, with most men wearing suits to the office. This type of company structure is particularly beneficial for finance and insurance companies, who may, for example, utilise different cells for different investment schemes or different insurance policies with varying degrees of risk. Additionally, Gibraltar also plays host to numerous gaming software providers including Playtech, Microgaming and IGT. Gibraltar is also a popular jurisdiction for ship registration. Gibraltar has a small population, and therefore needs to import labour. While Brexit continues to dominate the headlines, the mood in Gibraltar remains one of cautious optimism. Foundation The Private Foundations Act 2017 came into force in April 2017 allowing for the establishment of foundations in Gibraltar. Spanish may be used in dealing with companies from that country that operate in Gibraltar. Online Gaming Tax Online Gaming operators (e.g. • Solid global reputation, strong regulation and full compliance with key European and international treaties. Under the Gambling Act 2005, all gaming operators in Gibraltar require a special gaming licence. 0000063031 00000 n The GFSB is a non-profit organisation that exists to help small businesses in Gibraltar to start, grow and thrive. The leading activities in Gibraltar are Financial Services and E-Commerce, Insurance, Bunkering, Property, Tourism and Transport as well as maritime related services given Gibraltar’s location. Registering a place of business is generally more appropriate for non-trading entities with no selling activity in Gibraltar. Spanish may be used in dealing with companies from that country that operate in Gibraltar. Of course there is so much more to Gibraltar than just business opportunities and low taxes. 0000003603 00000 n Source: Spotlight, Gibraltar Residential Market 2016, Savills. A regular stream of foreign capital, strong economic growth and the steady influx of people that entails, equals rising property values and rapid sale times. ... Our framework identifies nine areas businesses can address to build a structured and comprehensive approach to crisis management and business resilience. Review of Data Irregularities: Report prepared by Management of the Development Economics (DEC) Vice-Presidency, the World Bank Group. Gibraltar’s economy is almost entirely service-based. Limited Liability Partnership 0000037626 00000 n Mon-Fri 0900-1700; 0800-1400 in summer. A short distance from the stadium is Gibraltar’s World Trade Center, which officially opened on 15th February 2017. BUSINESS PRESENCE Gibraltar is an excellent hub for the establishment of international business. 0000043556 00000 n 0000063616 00000 n Withholding Tax There is no withholding tax on dividends, royalties or interest in Gibraltar. Legal 500 Doing Business in Gibraltar. Indeed there is a strong case for cooperation; a total of 11,069 frontier workers commute back and forth over the border, according to statistics from the Gibraltar government. A company is considered resident if its administration and operation is controlled from inside Gibraltar. 0000039506 00000 n • Highly attractive tax regime with a 10% corporate tax rate, no inheritance, wealth, capital gains or withholding taxes and stamp duty levied only on Gibraltar-based property sales. 0000007231 00000 n Gibraltar is exempt from EU legislation on VAT and enjoys full autonomy on all tax issues. A foundation is established by a Founder, who then provides a permanently binding transfer of an asset, or assets, to the foundation. Investors in Gibraltar are entitled to support through the European Regional Development Fund (ERDF), for business development, tourism, technology-transfer and infrastructure projects and the European Social Fund (ESF), for training and retraining projects. Such individuals must have a minimum net worth of £2 million and must purchase a qualifying residential property in Gibraltar. Reputation, regulation and credibility are at the forefront of Gibraltar’s priorities. Gibraltar has the largest bunkering port in the Mediterranean Similarly, any Beneficiaries who are resident in Gibraltar will also be taxed on income or assets received through the foundation. Gibraltar companies may also undertake court-sanctioned cross-border mergers, schemes of arrangement, amalgamations and reconstructions. Private funds are funds offered to a restricted class of up to 50 investors. The tiny peninsula, a mere 6.8 km2 (4.2 square miles) in area, separates the entrance of the Mediterranean Sea from the Atlantic Ocean. 0000006253 00000 n The Port of Gibraltar is the largest bunkering port in the entire Mediterranean Sea. Ships registered in Gibraltar are designated as British, and therefore fly a local variant of the Red Ensign flag. Setting up a business in Gibraltar. EY Doing Business in Gibraltar 2016 - 2017 Published on Dec 12, 2016 Published annually by #EY #Gibraltar a comprehensive summary of the areas and benefits of doing business in #Gibraltar • Consistent economic growth, scores high across key indicators with GDP per capital of £56,612 and an unemployment rate of just 1%. Interest Loan interest is only taxable at the rate of 10% to the extent that it is received or receivable by a Gibraltar registered company from another company and exceeds £100,000 per annum or, constitutes a trading receipt. Gibraltar weathered the financial crisis with barely a blemish and enjoyed steady growth, year on year, with a GDP of £1.9 billion from 2016 and 2017. This status is based on strict criteria; Category 2 individuals cannot ordinarily engage in a trade, business or employment in Gibraltar. In addition to background facts about Gibraltar, it includes relevant information on business operations and taxation matters. Gibraltar is also fully compliant with the information disclosure obligations contained in the Mutual Assistance Directive applicable to all EU Member States. If you run or are starting a business in Gibraltar you should consider joining us. treaties. Gibraltar’s business-friendly environment, prudent regulation and unblemished global standing has proven particularly inviting to the finance and insurance industry. Gibraltar shares a single land border with Spain, with Morocco situated 14.3 kilometres (8.9 miles) away, across the Straits of Gibraltar. Doing business in Gibraltar A selection of articles, books and online resources to help you explore the key issues for doing business in Gibraltar. The Gibraltar Tax Commissioner accepts the definition of PE set out in Article 5 of the Organisation for Economic Co-operation and Development (OECD) Model Convention. Doing Business and Investing in Gibraltar. Gibraltar’s Victoria Stadium, meanwhile, has a capacity of 2,000 and hosts regular sporting and entertainment events, including MTV’s “Gibraltar Calling” Music Festival. It enjoys a solid global reputation for stability and efficiency with robust infrastructure and prudent regulation. In 2016 a full 84% of the electorate (compared to the British average of 72.2%) turned out to vote on June 24th, with 95.91% (the highest majority in all of Britain) voting to remain within the EU. The primary characteristic of a Foundation is that it exists and operates as a separate legal personality, with the ability to hold and manage property in its own name. No tax is payable on a Gibraltar trust, provided the trust does not earn income locally and/or the Beneficiary is not a Gibraltar resident. As a result the jurisdiction hosts some of the most prominent industry names including PwC, Deloitte, KPMG, Lloyds, Barclays and Royal Bank of Scotland. Whatever the outcome, Gibraltar has a proven track record of maintaining stability in the face of crises spanning millennia. Not surprisingly, the iconic Rock is one of Gibraltar’s most popular destinations, with tourists being particularly fond of its most famous residents, the Barbary macaque apes. The Port of Gibraltar, meanwhile, caters for a wide variety of vessels including cruise liners, cargo ships and British naval craft. A Foundation Charter and Foundation Rules arethen written up detailing every aspect of the funds purpose, duties, operation and beneficiaries. In Gibraltar there are two types of companies: resident and non-resident. In 2015 the Gibraltar Stock Exchange began trading and the University of Gibraltar had its official opening. Foundation. Its most prominent feature is the Rock of Gibraltar, a towering monolith of limestone some 426 m (1,398 ft) in height. In order to do so they must first become sanctioned to do so by the GFSC and pay them an annual fee of £3,000 (plus an additional £1,000 for each cell). An Experienced Investor Fund (“EIF”) is a regulated collective investment scheme exclusively for investment by experienced investors and is established under the EIF Regulations 2012, and registered with the GFSC. Forming a company in Gibraltar is relatively simple and has quite a few advantages compared to other EU jurisdictions. Foreign Companies doing business in Gibraltar or from Gibraltar-Part XII and Part XIV (Branch) Registration Updated January 2018 1 A Foreign Company can carry on business in Gibraltar or from Gibraltar, provided that it registers under Part XII or Part XIV of the Companies Act. Part of maintaining this reputation involves compliance with international laws, including anti-money laundering legislation. A director of a Gibraltar company is not required to be resident in Gibraltar, though residence substantiates management and control of the Gibraltar company, which is a basis upon which tax residency is determined in Gibraltar and many other jurisdictions. (The exception being a specific sector of utility companies, who instead pay 20%.) Invest Gibraltar. DOING BUSINESS IN GIBRALTAR GIBRALTAR Duke of Kent House, Cathedral Square, Gibraltar Tel: +350 20074950 Fax: +350 20074943 Email: LONDON 150 Strand, London WC2R 1JA Tel: +44 (0)20 7836 0777 Fax: +44 (0)20 7240 6612 Email: MADRID Gibraltar has also entered into arrangements with the US in respect of FATCA and with a separate Intergovernmental Agreement in respect of the automatic exchange of tax information with the United Kingdom. 0000001033 00000 n There is no restriction on the maximum number of shareholders that Gibraltar registered private or public companies may have. The move was welcomed by investors, widely applauded by others within the crypto community and resulted in a surge of licence applications to the Gibraltar government. Trust Gibraltar’s country code is +350 and its domain extension is .gi. 0000037326 00000 n British embassy or high commission Includes contact details for the Office of the Governor. Gibraltar’s GDP per capita during the same period was £56,612. Every entity with a non-trading office in Gibraltar must establish a place of business. Gaming operators are regulated by the Gibraltar Gambling Commissioner with strict guidelines on advertising, data protection, accountancy and payments. GFSB MEMBERS BENEFIT FROM: There are two main types, Public Limited Companies (PLC), whereby shares are available to the public, and Private Companies (Ltd), which are limited by shares or guarantees. If all their combined conversations could be summed up in one word, that would be “opportunity”. PCCs allow specific assets and liabilities to be cordoned off into specific cells, which operate as part of the same core company, but are also distinct and separate from each other cell. (See chapter on Setting up a business in Gibraltar.). There is also a strong regulatory emphasis on responsible gambling and anti money laundering legislation. 0000042997 00000 n Stamp duty Stamp duty is payable only on real estate and capital transactions at the following rates: yShare capital £10 (flat rate) yLoan capital £10 (flat rate) It is payable on purchase of real estate as follows: First and second-time buyers Making decisions about foreign operations is Gibraltar has its own international airport (GIB) with regular UK commercial flights to London, Manchester and Bristol, plus additional flights to Casablanca via Tangier with Royal Air Maroc. 0000006581 00000 n The jurisdiction continually updates its financial regulation, supervisory legislation and anti-money laundering legislation to comply with UK standards, the most stringent standards in Europe. Therefore it employs a legal system closely based on English Common Law and uses the Gibraltar Pound as currency, though shares the CET timezone (UTC+1) and, as with the rest of mainland Europe, traffic drives on the right. The airport also caters to charter/private flights, as well as cargo planes and military aviation. Hassans blazed a trail in December 2017, by advising on the set-up, El pasado día 4 de marzo España y el Reino Unido firmaron, Doing Business in Gibraltar Gibraltar combines strong economic growth and a favourable, Edf. This Guide is intended to assist Doing Business and Investing in Gibraltar 4 The firms of the Pricewaterhouse Coopers global network ( provide industry focused assurance, tax and advisory services to build public trust and enhance value for its clients and their stakeholders It is expected that more banks will soon follow suit. Sovereignty referendums of 2002 and 1967 when 98.48 % and 99.64 % of Gibraltarian who... 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