Continuing change in the Offshore World

Written by The Chesterfield Group


Continued from page 1
The Island is considering introducing a goods and services tax and/or a zero rate corporation tax as part of its solution torepparttar problem. Inrepparttar 111866 meanwhilerepparttar 111867 debate goes on. The local newspaper has reported that some fund managers would like to joinrepparttar 111868 E.U. and a former Economic Advisor torepparttar 111869 government has been quoted as saying that any clamp down on its tax haven status would forcerepparttar 111870 Island to consider joining. In more colourful language, one ofrepparttar 111871 members of a local professional body is reported as having said thatrepparttar 111872 jurisdiction would "self-implode within three years" because "it is staggeringly dependent on corporation tax".

Problems Onshore

It is not onlyrepparttar 111873 offshore centres, which are feelingrepparttar 111874 pressure. The E.U. is attackingrepparttar 111875 Dutch International Financing Activities scheme andrepparttar 111876 Belgian co-ordination centres scheme. Inrepparttar 111877 U.S.repparttar 111878 I.R.S. has forced Mastercard to supply records of transactions of U.S. residents with accounts in Antigua, Barbuda,repparttar 111879 Bahamas andrepparttar 111880 Cayman Islands. The government has entered into exchange of information agreements with these territories and is negotiating agreements with Panama andrepparttar 111881 British Virgin Islands.

The Chesterfield Group provides a full range of trustee, and corporate advisory, formation and management services and invites enquiries. More particulars can be found on our web-site www.chesterfield-management.com


Buying property in Portugal

Written by The Chesterfield Group


Continued from page 1

There are other taxes, which have to be taken into account and these are,

Income tax

Where a property is rented out,repparttar rent is charged to income tax and on a sale 50% ofrepparttar 111865 chargeable capital gain is subject to Portuguese income tax.

Stamp duty

There is a stamp duty of 0.8% onrepparttar 111866 transfer of real estate.

Donations tax

Gifts to a spouse, antecedent or descendant are tax- free but other donations attract a tax of 10%

A Solution

Fortunately there are territories, which are not onrepparttar 111867 Portuguese black list and by purchasing a property in Portugal through a properly structured corporate vehicle incorporated in one of these locations, it is possible to avoidrepparttar 111868 penalties on offshore companies. These arrangements may bring with them other benefits such as,

•The ability to sellrepparttar 111869 property inrepparttar 111870 future withoutrepparttar 111871 buyer having to pay Real Estate Transfer tax, •Avoidance of Portuguese capital gains tax on re-sale, •Avoidance of donations tax or inheritance tax •Avoidance ofrepparttar 111872 deemed benefit provisions in U.K. law.

As taxes andrepparttar 111873 manner in which they are applied change frequently specialist advice should always be taken before entering into any arrangements.

The Chesterfield Group provides a full range of trustee, and corporate advisory, formation and management services and invites enquiries. More particulars can be found on our web-site www.chesterfield-management.com


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