Business
Legislation
There are two laws governing companies in the Federation,
namely: -The Companies Act 1996, which has effect in St.
Kitts and Nevis, and The Nevis Business Corporation Ordinance
1984 has effect only in Nevis.
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Banking and Professional Services
The Eastern Caribbean Central Bank and The Eastern Home
mortgage Bank are headquarters in St. Kitts. Three international
banks are represented in St. Kitts and two in Nevis. There
are several accounting firms and law firms of international
standing. A full range of legal, accounting, management
and trust company services are available. (Back
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Shareholders
A minimum of one shareholder is required and either registered
or bearer shares may be issued. Bearer shares must be
deposited with a regulated company in St. Kitts. Nominee
shareholder service is available for registered shares.
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Directors
A private company must have at least one director. Every
company must have a secretary and may have one or more
assistant secretaries who, or each of whom, may be an
individual or a body corporate. Every company must hold
an annual general meeting unless all the members of a
private company agree in writing that an annual general
meeting should be dispensed with, then so long as that
agreement has effect, that company is dispensed from holding
an annual general meeting.
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Reporting
Requirements
No annual returns required.
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Name
Restrictions
There is substantial flexibility as to naming your company,
yet certain words are prohibited.
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Local
Requirements
All
companies must have a registered office in the Federation
to which communications and notices may be addressed,
however a registered agent is not required.
Every
company must keep a register of members but inspection
of the register by persons who are not members or officers
of the company is not permitted in the case of a private
company which is an exempt company (i.e. a company which
is exempt from all taxes under the
Companies Act).
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Tax
Treaties
The
Federation is party to double taxation treaties with Denmark,
Norway, Sweden, the United Kingdom and the United States
of America (limited to social security benefits).There
are no Mutual Legal Assistance Treaties in effect.
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Taxation
Companies
are exempt from all taxes as long as they conduct their
business exclusively with person or persons whom are not
resident in the Federation.
A
company is called an exempt company if it qualifies for
the tax exemption mentioned above. An ordinary company
is a company which is not an exempt company.
No
estate, inheritance, succession or gift tax, rate, duty,
levy or other charge is payable by any person with regard
to any property owned by, or securities issued or created
by or in respect of, an exempt company.
No
stamp duty or other tax is payable by any person with
regard to any transaction in any securities issued or
created by or in respect of an exempt company.
Individuals
and ordinary companies remitting payments to persons outside
of the Federation must deduct 10% withholding tax from
profits, administration, management or head office expenses,
technical service fees, accounting and audit expenses,
royalties, non-life insurance
premiums and rent.
This
tax does not apply to trusts, limited partnerships and
exempt companies or to enterprises which have been granted
a tax concession.
There
is a capital gains tax of 20% on profits or gains derived
from a transaction relating to assets located in the Federation
which are disposed of within one year of the date of their
acquisition.
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Company
Mobility
The legislation allows for redomiciling of private
exempt companies.
Citizenship By Investment
Foreign
individuals can obtain citizenship under sub-section (5)
of Section 3 of the Citizenship Act 1984 which stipulates
that a person is entitled, upon making application to
the Minister in the prescribed manner and upon payment
of any fee that may be prescribed, to be registered as
a citizen of the Federation without any rights of voting
under and in accordance with the provision of any law
governing the qualification of voters, if Cabinet is satisfied
that such person has invested substantially in the Federation.
| The
minimum investment requirement may be satisfied in
any of the following ways: |
-
A minimum of the equivalent in XCD of USD 200,000
in 10-year Treasury Bonds issued and guaranteed
by the Federation (Treasury Bonds are issued at
their nominal or par value and no interest is
paid on the). or
|
- A
minimum of the equivalent in XCD of USD 250,000
in an investment project approved after March
1996 or
|
- A
minimum of the equivalent in XCD of USD 150,000
in a real estate development approved before March
1996
|
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| The
registration fees currently in force are the XCD equivalents
of: |
- USD
35,000 for head of household (male or female)
|
|
|
- USD
35,000 for each adult family member or other adult.
|
|
Each
citizenship certificate of registration is USD 47
and the cost for each passport is USD 13.
|
The
appropriate citizenship registration fees must be paid
to the Government at the time of making the application.
Funds for the payment of the required investment must
be deposited by the applicant with a bank in St. Kitts.
If the application is accepted, then the bank will be
requested to release the funds to pay for the required
investment. If the application is not accepted, the fees
paid to the Government and the funds for the payment of
the required investment will be returned to the unsuccessful
applicant.
Every
citizenship application must be made on the prescribed
form which must be submitted together with various documents
relating to the applicant's identity, civil status, criminal
record, financial resources, and health. All documents
must be in English or translated into English, and all
photocopies of any document submitted must be notarized
and properly certified.
A
passport is valid for ten years, unless otherwise stated.
It remains the property of the Government of the Federation
and may be withdrawn at any time. Citizens of the Federation
who are also citizens of foreign countries cannot avail
themselves of the protection of the
representative of the Federation, against the authorities
of that foreign country, and are not exempt by reason
of possessing the citizenship of the Federation from any
obligation (such as military service) to which they may
be liable under foreign law. A person having some connection
with a Commonwealth or foreign country (i.e. by birth,
by decent through either parent, by marriage or by residence)
may be a national of that country, in addition to being
a national of the Federation. Acquisition of the nationality
of the Federation by a foreigner does not necessarily
cause the loss of nationality of origin.
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GUARDIAN
FINANCIAL SERVICES, INC.
6621 E. Pacific Coast Highway Suite 260
Long Beach, Ca 90803
(562) 431.1140- Fax: (562)684.4634
info@guardianfinance.com
