Company Formation Isle of Man

New Manx Vehicle

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

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.