Offshore banking in Belize
Banking in Belize is one of the most affordable and attractive ways to get into offshore banking, with the required deposit starting at just $500. It’s true that offshore bank accounts used to be the preserve of pop stars and CEOs, but the times are changing. Now the man in the street has turned to offshore banking to protect assets and streamline their tax affairs. Internet access to bank accounts and the increasing amount of online trading have allowed a vast number of people to enjoy the benefits of legal offshore banking.
The alternative locations
Of course there are other locations to set up your offshore bank account, including the likes of Hong Kong, the British Virgin Islands and Singapore. Belize, though, has become a longstanding favourite thanks to its professional approach to offshore banking, solid banking system and the simplicity of working within the system.
With no vested interest in collecting revenue, the Belize government has no motive to even look at the way a business is run and that means that offshore businesses based in Belize are left to their own devices. As the country is not part of any international tax treaty, you are assured by law that it will not pass details of any company ownership to any other government that is far more proactive when it comes to collecting tax. This treaty has led many countries to hand over details of foreign company ownership to the UK and US governments particularly, but the government of Belize has repeated time and again that it simply won’t give information.
The essence of offshore banking is that you base your financial affairs in another country with a more beneficial tax structure. By simply transferring investments and business ownership to Belize, it is possible to restructure your financial affairs and reduce your tax liability, sometimes to absolutely nothing.
Tax avoidance and evasion: very different things
This is tax avoidance and is very different to tax evasion, which is illegal and carries severe penalties that can include imprisonment. Tax avoidance is completely legal, allows you to leave as much income as possible in Belize and only pay tax on the amount you personally take into the UK as a salary.
Of course even this amount is a grey area as Belize comes with a raft of benefits that make actual income reporting a thing of the past. With a Belize bank account you also get an ATM card that can be used anywhere in the world, so in essence there is really no need to withdraw an income in your home country at all. The business has no obligation to present its books to any inspector, so the income and expenditure is a total moot point.
Belize has other advantages, including the fact that it is part of the British commonwealth, so it uses English as its first language and all documentation is available in English. Many people are put off the concept of offshore banking because they simply don’t feel safe putting their property and life savings in the hands of a foreign entity. Those that look a little deeper, though, realise that many offshore banking stalwarts have links to the UK and, indeed, the likes of Belize are full members of the Commonwealth.
Common law is in control
The legal system of Belize is based on English common law, so there is a certain familiarity to Belize that will put British citizens at ease and there is no danger of getting lost in a chaotic foreign telephone system.
You can also contact your bank, whichever one you choose to go with. Different banks have different minimum deposits, so you can choose from opening an account with just $500 with Caye Bank International to $50,000 with Choice Bank. Obviously the level of service and the type of account differs wildly, so it pays to have an expert on your side to talk you through the variety of options.
Titoff Realty Ltd acts as an introducer for Belize banks and knows exactly what documents you’ll need and what is the best bank account for you.
There are some rules…
Of course there are regulations, but they are few and far between and include the following:
– A Belize IBC cannot do business with Belize residents.
– A Belize IBC cannot own property in Belize, unless it is a lease of an office.
– A Belize IBC cannot be a banking business unless it has the correct licence.
– A Belize IBC cannot be an insurance or reinsurance company, unless it is licensed.
– A Belize IBC may not carry on trust business.
– A Belize IBC may not carry on collective investment schemes, unless it is licensed.
– A Belize resident cannot hold stock in an IBC, unless they are a nominee shareholder.
So steer well clear of these simple pitfalls and the advantages of a Belize company are plain to see. Lower tax, total anonymity and the freedom to arrange your financial affairs as you see fit are compelling reasons to move your banking offshore and Belize is one of the best places in the world to base your finances.
For more information on setting up a bank account or a business in Belize, contact Titoff Realty Ltd. for a consultation today.
At Titoff Realty Ltd., we will introduce you to a bank in Belize. Then we’ll monitor your experience with that bank to ensure that you have the best possible outcome. You can be assured of getting a bank account in Belize as long as you meet some very simple requirements. Typically, only about 2% of applicants are denied bank accounts, and it’s usually because the client can’t confirm references, or provide the personal documents that are required.
Our clients have a very high level of satisfaction with the banks we’ve put them in touch with. They typically report that the bank has fabulous online services, and that they’re kept informed each step of the way. So in addition to all the other services we provide at Titoff Realty, we can also get you set up with a Belize bank account.