Offshore banking falls under the Financial Services (Regulations) Order 1997. Nevis has its own Offshore Banking Ordinance 1996.

Key Features

Licences under the Banking Ordinance are issued to eligible companies or qualified foreign banks. An eligible company must be a wholly owned subsidiary of a local bank regulated by the Eastern Caribbean Central Bank that is licensed under the Banking Act to do business in Nevis. A qualified foreign bank is a foreign bank that is licensed under the Banking Act, or is foreign bank with minimum capitalization and assets, as prescribed by the Minister, that is not licensed under the Banking Act but is licensed to do domestic banking in its jurisdiction of incorporation.

An eligible company must be incorporated under the Companies Act as a company limited by shares, and must have objects or business activity restricted to offshore banking from within Nevis. It must have at least one director who is a citizen of St. Kitts and Nevis with a residence in Nevis. The minimum Authorised Capital must be at least USD 2 Million which must be deposited in an account maintained by the Permanent Secretary at the Eastern Caribbean Central Bank.

Legal Requirements

Requirements

Description

General

  • Corporate  vehicle permitted

St. Nevis International Company

  • License application fee

USD 1,000

  • Annual license fee

USD  8,000 (Unrestricted License)

USD  4,000 (Restricted License)

  • Local physical office required

Yes

Share capital or equivalent

  • Minimum paid up capital

USD  2,000,000

Directors

  • Minimum number

2

  • Corporate directorship allowed

No

  • Local director required

Yes

Shareholders

  • Minimum number

2

  • Corporate shareholder allowed

Yes

  • Local shareholder required

No

Service Providers Required

  • Company secretary

Yes

  • Auditor

Yes

  • Legal adviser

Yes

Tax Treatment

Nevis offshore banks pay tax as follows:

  • 2½% on all profits and gains up to ten million dollars;
  • 2% on all profits and gains in amounts exceeding ten million dollars but not exceeding twenty million dollars;
  • 1½% on all profits and gains in amounts exceeding twenty million dollars but not exceeding thirty million dollars; and
  • 1% on all profits and gains in amounts exceeding thirty million dollars.

Duration to Set Up

Around 3 to 6 months

Distinctive Benefits of Licence

  • Numerous tax advantages
  • Ease and speed of licensing

The Valsen Advantage

  • End to end comprehensive service
  • Speedy and efficient service
  • Expert advice on structuring options
  • Dedicated ongoing compliance support
  • Extensive network pool of service providers