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The International Business Corporations Act, 1982 and its subsequent
amendments govern Antigua's international financial jurisdiction.
The Financial Services Regulatory Commission (FSRC), established
by statutory authority, is charged with the responsibility of
supervising and regulating the Antigua international financial
services sector. The Commission comprises senior public servants
drawn from the Solicitor General's office and Ministry of Foreign
Affairs, the banking industry and the Law enforcement sector.
With its recent amendments in (1998/1999/2000) the International
Business Corporations Act is generally recognized as the most
modern and attractive piece of legislation of its kind in the
Caribbean and is tailor-made to meet the needs of international
business.
The Government has recognized the growing importance of the
international financial services industry to the economy and
is committed to making Antigua and Barbuda a highly competitive
international financial services jurisdiction. Commencing in
1998 (with amendments in 1999 and 2000), the Money Laundering
(Prevention) Act (MLPA) has created a regulatory and compliance
environment equal to, or stronger, than most international financial
centers. Antigua is recognized as being a leader in the fight
against money laundering activities, and has the distinction
of being the first, and perhaps the only country to ban the
acceptance of cash or bearer negotiable instruments in any amounts
within its international financial center.
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| International
Cooperation |
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During 1995, Antigua
was amongst the first countries in the Caribbean region to sign
a maritime law enforcement counter drug agreement and an updated
extradition treaty with the United States (U.S.). Mutual Legal
Assistance Treaties were signed with both the U.S. and the U.K.
in 1996. The jurisdiction is a member of the Caribbean Financial
Action Task Force (CFATF) and, since March 2000, has showed that
it is in full compliance with all its requirements. In March 2000,
Antigua also became the first country to sign a commitment letter
to the principals of the UN Offshore Forum (UNOF). This confirmed
government's agreement to adhere to the UN's minimum performance
standards relating to banking practices, transparency rules and
international cooperation. At the FATF meeting in Paris in June
2000, Antigua was recognized as a cooperating country to combat
money laundering, having successfully passed an in-depth review.
In recognition of the efforts of the Government and the industry
to meet the new standards of international banking and cooperation,
the United Kingdom government, on 16 July 2001, lifted the financial
advisory on Antigua that had been imposed since April 1999. This
was followed by the U.S. lifting its Financial Crimes Enforcement
Network (FinCen) Advisory on Antigua and Barbuda with effect from
21st August 2001. This is vindication that Antigua and Barbuda
has transformed its laws and strengthened its regulatory and supervisory
framework, enabling other international financial services jurisdictions
to use Antigua as a benchmark for the highest standards in the
international financial services world. |
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| Antigua
Offshore Benefits |
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In an effort to establish itself as a modern international
financial center, Antigua adopted in 1982, the International
Business Corporations Act. With its recent amendments in (1998/1999/2000)
it is generally recognized as the most modern and attractive
piece of legislation of its kind in the Caribbean and is tailor-made
to meet the needs of international business.
The benefits and advantages (the list is not intended to be
exhaustive) provided under the Antiguan Act are hereinafter
set out:
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An IBC is granted a guaranteed fifty-year
tax exemption, an exemption that applies to most forms of
IBC income, dividends, interest and royalties paid by an IBC
to foreigners.
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An IBC is exempt from exchange controls
and the unrestricted operation of bank accounts in major international
currencies is permitted.
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An IBC benefits from the absence of capital
gains and estate taxes in Antigua.
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An IBC is not subject to mandatory auditing
or minimum capital requirements.
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IBC may issue bearer shares (except for
licensed banks, trusts, insurance and gaming companies) and
its stock may be issued with or without par value.
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An IBC may have a sole director and directors
need not be natural persons.
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The officers and directors of an IBC need
not be shareholders.
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Meetings of directors and shareholders
may be held outside Antigua. While Annual Meetings of the
directors and shareholders must be convened in Antigua, the
Act permits Shareholders to execute proxies for the attendance
at Shareholders meetings in Antigua and telephone participation
is permissible for Directors meetings.
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An IBC is a limited liability company.
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An IBC may be used for numerous purposes
(the attached list is not intended to be exhaustive) such
as:
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General commercial trading
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Financial management
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Holding investment securities
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Ship ownership or real estate ownership
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Share ownership in other companies
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Leasing of assets
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There are inward and outward redomiciliation
provisions.
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The formation of an
IBC is a relatively simple process. You will find attached our
application form with the details required in accordance with
the IBC Act together with our due diligence requirements to assist
in completion of the application process. The company comes into
existence on the date shown on the certificate of incorporation.
The company is restricted to carrying on international trade or
business and may not carry on business in Antigua.
We have prepared standard general articles and by-laws to which
changes may be made to suit any particular need of the client.
Should the client wish to impose specific restrictions then the
full text of the proposed amendment should be forwarded to us.
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| Registered
Agent ®istered Office |
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WWCB2B.COM acts as the Registered Agent for all companies incorporated
through our offices. Location of the registered office and address
of the corporation in Antigua are also provided by us as part
of the incorporation process. Should the client require a different
local office and address we request that we be so instructed. |
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| International
Banks - [ updated] |
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| Bank Licences |
An IBC may apply for
a banking license. There is a minimum capital requirement of US$5
million payable into a local bank prior to the submission of the
Application for an International Banking License. After the banking
license is granted, US $1,500,000 of the capital requirement must
be maintained in a licensed financial institution within Antigua
& Barbuda. A detailed business plan, appropriate references
and details of all shareholders, officers and directors must support
license applications. The biographical information shall include
their qualifications, banking experience and criminal record.
Moreover, the financial statements of the organizer, whether it
is an individual or corporation, must be filed with the application.
(Note that one director must be a resident and citizen of Antigua.
WWCB2B.COM can provide competent local
director with significant banking experience at a cost to be agreed
upon by the parties.)
International banks are not subject to any reserve requirements
under the Banking Act. However, banks are required to file quarterly
returns with the Commission (FSRC). During the 2001 Budget presentation,
the Government had indicated its intention to impose a 3% tax
on the Gross Profits of International banks, licensed and operating
within the jurisdiction. Under the Act, gross profit is defined
as the difference between Interest income and Interest expense.
Then in the first quarter of 2002, following much lobbying from
industry practitioners, the Government indicated that it would
repeal the 3% tax on the Gross Profits of the International banks
licensed under the jurisdiction. While the repeal of the 3% tax
on international banks is not official to date, we are confident
that it is just a matter of time and logistics for the necessary
parliamentary instrument to be executed. Annual audited financial
statements aggregating the figures in the quarterly returns must
be published in the Official Gazette.
All transactions and business affairs of clients are confidential
and disclosure is a criminal offence punishable by imprisonment
unless it can be established in a Court of competent jurisdiction
that a criminal offence has been committed in accordance with
the laws of Antigua and Barbuda.
Licensed international banks are required to operate very strong
due diligence procedures with their client base and are subject
to an annual inspection at the operating head office by inspectors
drawn from the Bank Supervision department of the Commission to
ensure compliance with the terms of the operating license granted. |
| Trust Licences |
An IBC may apply for
a Trust license. There is a minimum capital requirement of US$500,000
payable into a local bank prior to the grant of the license. Trust
companies must file quarterly returns with the Commission (FSRC).
Annual audited financial statements aggregating the figures in
the quarterly returns must be filed with the Commission (FSRC).
The supporting documents filed in respect of an application for
an International Banking license is required to be filed in respect
to an application for an International Trust license. |
| Insurance Licences |
Insurance and Captive Insurance IBC's are required to appoint
an auditor and file audited annual reports with the Supervisor
of International Insurance Corporations. There is a minimum
capital requirement of US$250,000.00, and filing requirements
are the same as described above for International Banks and
Trust Companies. (WWCB2B.COM is well
positioned to handle the formation and licensing procedures
on behalf of a proposed bank, trust or insurance company. The
Company is familiar with and experienced in the governing legislation
and would be pleased to discuss any inquiries that a prospective
client may have.)
The IBC may be used as a vehicle through which the registration
of ships and pleasure crafts under the Antiguan Flag may be
accomplished. Once ownership of the vessel is vested in the
IBC, the Company may apply to have the vessel registered under
the Antiguan Flag.
SHIPS
WWCB2B.COM should
be furnished with the following documents for the purpose of
making the application with respect to ships and trading vessels:
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Recent survey certificate
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A Certificate of Seaworthiness
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Proof of Ownership
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Proof of cancellation of a foreign registry
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Name to be given to the vessel while under
the flag of Antigua and Barbuda
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Present name of vessel, if registered
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Number, year and port of registry, if
registered
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Present call sign, if registered
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Proposed date of registration under the
flag of Antigua and Barbuda
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Classification Society
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Radio Accounting Authority
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Name, address, telephone and telex number
of the vessel's owner.
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Photocopy of present certificate of registration,
if previously registered
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Photocopies of vessel's present trading
certificates.
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| Pleasure
Craft Registration |
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The Company should be
furnished with the following documents for the purpose of making
any application with respect to yacht and pleasure crafts:
In order to accommodate a Permanent Resident
Scheme aimed at high net-worth individuals, the Antigua Parliament
passed, in June 1995, amendments to the Immigration and Passport
Act and Income Tax Act. The purpose of the amendments was to encourage
wealthy individuals to settle in Antigua and establish their permanent
place of residence here.
Antigua is one of the very few countries in the world without
a personal income tax structure and does not levy personal income
tax, capital gains tax, inheritance tax or wealth tax on its citizens
and residents. Individuals under the Permanent Resident Scheme
will not have to pay Antigua income tax on their worldwide income,
whether earned or unearned, and whether remitted or not. All their
income will be tax free in Antigua. Prior to approval by Cabinet,
each application will require recommendation from independent
professionals who will have verified the source of the individual's
wealth is legal. However, details of the individual's wealth or
income are not required to be filed with the application.
An applicant under this scheme must meet
the following criteria:
- Purchase or lease property in Antigua (minimum property value
of US $250,000) and in this regard:
- Obtain a non-citizen's land holding license costing 5%
of property value.
- Pay purchaser's stamp duty.
- Be physically present in Antigua for not less than 30 days
in the year.
- Pay an annual levy of US $20,000 for possession of a Permanent
Resident Certificate.
- An Accountant's Certificate, valid Bank References and two
Character References must accompany each application.
WWCB2B.COM
may be able to arrange investment opportunities for its clients
in any of the following ways:
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US $ Certificates of Deposits for minimum
period of 1 year starting at an interest rate of 6% per annum
and upwards with the British American Insurance Company. Certificates
of Deposits are issued starting at US$ 5,000.00 and upwards.
Details of most recent financial reports of British American
Insurance Company may be provided upon request.
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Range of banking services including certificates
of deposits with the Global Bank of Commerce Ltd. for variable
periods and at variable rates slightly above US Federal Interest
rates. Recent brochure of Global Bank of Commerce Ltd. and
audited financial statements may be provided upon request.
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Equity Investments on the US Stock Exchange
working through Morgan Stanley's Atlanta offices. We work
very closely with a Financial Advisor from Morgan Stanley
with over 15 years experience in equity investments. Active
Assets accounts may be established with as little as US $2,000.00
initial investment. Brochures can be provided upon request.
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For investors interested in higher value
investments, we can direct clients to EDF Man and their Santa
Barbara Market Neutral Fund investment program with minimum
investment amounts of US $500,000.00. This program has achieved
year to date 2001 6.74% yields when the market has been so
volatile.
In any of the investment opportunities described
above, the investment may be made in the name of the International
Business Corporation (IBC) established under the laws of the Antigua
jurisdiction. While we exercise due diligence and care with the
information contained herein, there are no guarantees, whether
implicit or overt, regarding any investment activity and clients
are encouraged to seek appropriate professional advice prior to
deciding to enter any proposed investment activity
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| Schedule
Of Fees And Services(1) * |
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Subject to change without notice
| Schedule 1 |
Formation of IBC (without International Banking
or Insurance license), including:
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Standard Articles and By-laws
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Statutory filings and notices
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Statutory registered office
and agents
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Organizational Minutes
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Issuance of stock certificates
and maintenance of register
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Corporate Seal
Our Fees: $ 925.00
Filing Fees: $ 300.00
Total: $1225.00 |
| Schedule 2 |
Maintenance of IBC (without international banking
or insurance license), including:
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Statutory filing and notices
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Statutory registered office
and agents
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Maintenance of stock register
Our Fees: $450.00
Filing Fees: $300.00
Total(2): $750.00 |
| Schedule 3 |
Formation of IBC licensed to carry on an International
Banking business, including:
Our Fees: $10,300.00
Filing Fees: $15,300.00
Total(3): $25,600.00
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All fees quoted are in United
States dollars and are exclusive of telephone,
telex and courier expenses incurred.
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Director(s) can be provided
for an additional fee of U.S. $600.00 each director.
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he above total does not include
auditor's fees which will vary with the nature
and volume of transactions entered into by the
license.
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| Schedule 4 |
Maintenance of IBC licensed to carry on an international
banking business, including:
Our Fees: $ 5,550.00
Filing Fees: $15,300.00
Total(3): $20,850.00 |
| Schedule 5 |
Formation of IBC licensed to carry on an international
Insurance business, including:
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Standard IBC corporate services
per schedule 1 (a. through e.).
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Preparation, filing, negotiation
of insurance license application
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Selection of auditor
Our Fees: $ 8,300.00
Filing Fees: $10,300.00
Total(3): $18,600.00 |
| Schedule 6 |
Maintenance of IBC licensed to carry
on an international Insurance business, including:
a. Standard IBC corporate services per schedule 2 (a.
through e.).
Our Fees: $ 5,300.00
Filing Fees: $10,300.00
Total(3):
$15,600.00 |
| Schedule 7 |
Trust Management Services
- Trust with assets requiring minimal management
services.
First year Fee: $1,200.00
Subsequent years: $ 700.00
- Trust with assets requiring substantial management
services.
Our Fees: Dependent upon nature
and value of assets
The above total does not include auditors fees which
will vary with the nature and volume of transactions
entered by the license.
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Antigua and Barbuda is
a small twin-island democracy located within the heart of the
Eastern Caribbean archipelago. On his second voyage of discovery
in 1493, Christopher Columbus discovered Antigua and named it
Santa Maria de la Antigua. Except for a brief period of occupancy
by the French in 1652, the island, with an area of 108 square
miles, remained British until its independence. Lying 28 miles
to the north of Antigua is the sister-island of Barbuda, with
an area of 75 square miles. The Twin-island State of Antigua and
Barbuda attained its independence from the United Kingdom on November
1st, 1981. The country is a member state of the Organisation of
Eastern Caribbean States (OECS.), using a common monetary system
the East Caribbean Dollar (EC $). Antigua is a member of the Caribbean
Community and Common Market (CARICOM) an economic organisation
of Caribbean States. It is also a member of the British Commonwealth,
Organisation of American States (OAS), the Association of American
States (ACS), and the ACP grouping (signatories of the Lome Convention).
At the last official census in May 1991, Antigua and Barbuda has
a total population of 63,896. Of a labour force of 26,753 the
tourist sector employs some 35% of the labour force and contributes
approximately 65% to the GDP. Antigua was one of the pioneers
of Caribbean tourism from the late 1960's, having the important
components of popular tourism: a hot pleasant climate (average
annual rainfall is 45 inches), good travel links, skilled and
friendly tourism staff, attractive beaches (it has some 365 beaches
of coral-sand giving on to clear turquoise-coloured sea), and
a range of hotels. Additionally, agriculture, which contributed
approximately 40% to GDP during the early 1960's, was, during
1995 contributing 3.8% of GDP.
Antigua has a history of political stability with a parliamentary
democracy fashioned from the British Parliamentary System. While
English is the official language, WWCB2B.COM can arrange for Italian, Spanish and French speaking clients
to communicate in their mother tongues.
Antigua possesses perhaps the most thriving tourist industry in
the Eastern Caribbean and with its modern, multinational and multi-ethnic
community, enjoys one of the highest standards of living in the
Caribbean. Indeed, the 1998 Human Development Report produced
by the United Nations Development Programme rated Antigua at number
29 from a total of 208 countries who are members of the United
Nations. This is interesting since the Human Development Index
(HDI) is a combination of GDP per capita, life expectancy and
literacy rate. This rating has placed Antigua and Barbuda at a
higher level than countries such as Argentina, the Bahamas, Mexico,
Brazil and Malaysia to name a few.
Its international financial industry and commercial
activities have grown tremendously since its Independence and
there has been the collateral development of a unique infrastructure
to support its commercial and financial activities.
Communication systems in Antigua are state of the art, very modern
and excellent. Worldwide direct dialing systems of telephone,
telex and facsimile is supported by daily air links to the major
cities of the USA, Canada and Europe and to the world's major
capital markets.
The currency in Antigua is the Eastern Caribbean Dollar which
is fixed to the United States Dollar at the rate of US$1.00 to
EC$2.70.
The combination of excellent service, modern corporate and fiscal
legislation affords an extremely attractive environment for the
establishment of International Business Corporations and its international
banks, local banks, law firms, tax advisors, accounting firms
and trust companies provide a high level of support service suitable
to the needs of the international financial industry. |
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