is an insular state with attributes of a reliable offshore jurisdiction
. The tax regime attracts foreigners in setting up all sorts of companies and businesses in complete privacy and with the guarantee that their assets are protected. There are though a few business structures where a corporate tax
is imposed, but if you would like to know information in this sense and in matters of company registration
, you may talk to our company formation consultants in Seychelles
If you need information about Seychelles and the corporate tax rate applicable on a case-to-case basis, our agents are at your service.
Taxation in Seychelles
The Seychelles taxation system
is made of direct and indirect levies just like in the case of most countries in the world. It implies the imposition of taxes on natural persons and companies on the incomes they make, but also on the goods and services purchased.
The following taxes need to be considered in Seychelles:
the personal income tax which imposed on the earnings obtained by natural persons,
the corporate which is the most important levy applied to companies,
the branch tax which is imposed to foreign companies with operations carried out through branch offices in Seychelles,
the value added tax which is imposed just like in other countries on the sale of goods and services,
the trade tax which is an import duty applied to the goods entering the country,
the immovable tax which is levied on property ownership in Seychelles and is paid by both natural and corporate persons.
No matter the type of taxes to be paid in Seychelles, these will be levied based on the residence of a natural person or company.
Out of all these, for companies in Seychelles, the corporate tax rate is the most important.
For questions about the taxation of companies
, you can rely on the support of our company formation advisors in Seychelles
Corporate taxation based on residency in Seychelles
If we are to consider Seychelles and the corporate tax rates, given the fact that branch offices of foreign enterprises are levied at different rates, residency is one of the most important aspects when it comes to taxation in the insular state.
In order to be deemed a resident company, a business entity must have a legal address or a management place in Seychelles in order to be deemed a domestic company. Then, there is the case of offshore companies
that are registered in the insular state but offer their services exclusively outside it.
When it comes to the corporate tax rate in Seychelles, domestic businesses are imposed on their worldwide profits, while those registered in other countries but with operations here will be taxed on the profits they generate in Seychelles.
Should you need details on the taxation of companies in Seychelles and the corporate tax rate applied to them, the standard one ranges between 25% and 33%.
Corporate tax for Seychelles limited liability company
Limited liability in Seychelles
are known as proprietary companies
and can be established by any nonresident investor who provides a minimum share capital of 1 USD. This type of structure can operate in any field in Seychelles as long as it respects the rules and regulations imposed in the chosen business. As for the corporate tax
for a proprietary company in Seychelles
, this is set at 33%.
Branches and the corporate tax in Seychelles
If you are looking for a fast incorporation and business development, you can direct your attention to a branch set up in Seychelles
. Besides the formation process of a branch for which two registered agents are necessary, the owners must observe the corporate tax
which at the moment is set at a rate of 33%. As for the special license company in Seychelles
, these are subject to a 1.50% corporate tax rate
. More information in this direction can be obtained from our company incorporation specialists in Seychelles
who can also provide you with the essential assistance and details about the time of company registration
with the authorities in charge.
Special considerations for the taxation of companies in Seychelles
When it comes to Seychelles and the corporate tax rate, it is levied differentiated as it follows:
- for the first 1 million SCR a rate of 25% is available,
- the 33% rate is applied for profits starting with 1 million SCR,
- in the case of special license companies, a 1.5% rate applies,
- small enterprises with a turnover below 1 million SCR, a 1.5% rate applies.
Small domestic companies
can also opt for a shared taxation regime with both the low and the standard corporate tax rate in Seychelles
Withholding taxes applied to companies in Seychelles
Part of the Seychelles corporate taxation system are also the incomes derived from dividend and royalties payments. Also, interest payments are also subject to withholding taxes in Seychelles.
These are levied based on the residence of the shareholders
and are influenced on the double tax treaties signed by Seychelles
The following rates apply in the case of withholding taxes levied in this insular state:
- dividends are imposed with a rate of 15% when paid to non-residents,
- interests are imposed with a rate of 15% when paid to non-residents, while other rates are available to Seychelles residents,
- royalties are subject to a 15% withholding tax rate.
If you need any legal services, our specialists in Seychelles are at your disposal for immigration or property purchase procedures.
Offshore companies are exempt from the corporate tax rate
Offshore companies or IBCs
(International Business Companies) as they are called, are the preferred business entities for foreigners who want to protect their assets because there is a special tax regime imposed and several exemptions. It is good to know that Seychelles
enforces no corporate tax
for offshores registered in the insular state. There is no need for audit requirements or annual tax returns, and the offshore company in Seychelles
can run easily on the market, supervised by the shareholder outside the country.
Assistance in corporate taxation matters in Seychelles
If you have a company or want to start a business in Seychelles and wonder about the corporate tax rate, our experts are at your service with information, but also with accounting services such as financial statement preparation and filing and tax optimization solutions.
If you want to invest in Seychelles, it is useful to note that the country ranked 100th
in the World Bank
’s Doing Business Report in 2020.
For a better understanding of the company formation in Seychelles
and the tax regime for the available structures, we invite you to contact
our team of company incorporation agents in Seychelles