Madeira Company Formation

Madeira Company Formation
  • Steady jurisdiction and highly regarded reputation.
  • Time of Madeira company formation takes 10-14 DAYS.
  • Personal presence is not required.
  • Popular company type:
    • Madeira FTZ free trade zone
    • Limitada (Lda) or Madeira Sociedade Anonima (SA)

Tax Rates in Madeira

Corporation Tax in Madeira: 5%

Income Tax in Madeira: Category A. 11.60%-48%, Category B 11.60% – 36.751

VAT Tax in Madeira: 22%. Reduce Rate 12% and 5%

About Madeira

Capital: Funchal

Region: An autonomous region of Portugal, is an archipelago comprising 4 islands off the northwest coast of Africa.

Language: Portuguese

Currency: Euro (EUR)

Time Zone: GMT+0

Dial Code: +291

Abbreviations: RAM

What we can do for your Company in Madeira

  • We do all paperwork on forming the company in Madeira
  • Formation is completely remote
  • Can act as Secretary or Treasury
  • Provide nominee Directors/Shareholders
  • Assist with opening a bank account
  • Registration for Taxes, VAT & EORI
  • Develop a website for your business
  • Create a logo of your brand
  • Provide with full company administration services
  • Arrange a mailing address for your business
  • Arrange a virtual office for your company
  • Telephone answering service
  • Book keeping, audit & reporting
  • Preparing and submitting VAT return
  • Dealing with local authority
  • Trademark registration

Madeira Company Formation. Madeira Limitada (Lda) or Madeira Sociedade Anonima

Main Characteristics and the basic rules of Company registration in Madeira

Located towards southwest of Portugal, in the North Atlantic Ocean, Madeira is an archipelago. Infact it is an autonomous region of Portugal. An integral part of European Union (EU), Madeira has become one of the most coveted destinations for businessmen willing to setting up offshore company. The credibility offered by Madeira is unparallel when compared to other offshore jurisdictions. After forming a company in Madeira and after completing registration, the company will be considered as a Portuguese corporation. Madeira company formation has its own set of processes and procedures, but with due help from BRIS Group, the whole thing seems easy and hassle-free.

Benefits of company formation in Madeira

There are many reasons why business owners find Madeira company formation to be a preferable choice. Mentioned below are some of the benefits:

  • Businesses looking for offshore incorporation in Madeira get excellent tax efficient solutions for their business. Business assistance and tax breaks are readily available to holding companies, trading companies and corporations in this particular jurisdiction.
  • In comparison to other offshore jurisdictions in EU, Madeira has low operating costs including low wage employees. Telecommunication facilities are reasonably charged but are modern at the same time. Running a business in Madeira is a low cost affair for sure.
  • One of the biggest advantages of company incorporation in Madeira is that company and business owners can incorporate in international Free Trade Zone (FTZ). Such companies are exempted from capital gain taxes as well as income taxes.
  • Businesses forming corporations in Madeira as IBC will have to pay only 5% corporate tax for uncountable years, as per present conditions.
  • Dividends can be remitted to non-residents via Madeira Corporation without paying any kinds of withholding taxes. The only thing is that the company should be properly formed and incorporated.

Important requirements for company formation in Madeira

Though we at BRIS Group will help you in all ways for Madeira company formation, we want our clients to know regarding the important requirements that are needed for offshore company formation.

  • Unique corporate name for the business/company
  • Minimum two shareholders in the company
  • Registered local office with valid office address and local agent details for processing and paperworks
  • Minimum one director and one auditor
  • Minimum authorized capital of €50,000 – divided into shares
  • Paying only 5% corporate taxes
  • One annual general meeting of shareholders, board of directors or supervisory board
  • Simple auditing and accounting details and requirements

Endow the responsibility of company formation in Madeira with us, the BRIS Group and see the great results. Call us today!

Madeira Company FormationFinancial Advantages
Taxation:No taxes
Double Taxation Treaty Access:Yes Treaty Access 62
Hungary Tax Information Exchange Agreements:Yes, Madeira signs Exchange Agreements
Account Filing Requirements:Yes accounting or reporting requirements in Portuguese
Annual Return Filing Requirements:Yes annual return/ reporting requirements
Audit Requirements:No audit required.
Madeira Company FormationRegistration Requirements
Share Capital:EUR 5000 Minimum paid up share capital EUR 1
Classes of Share Available for Madeira company formation:Registered shares and shares of no par value
Bearer Shares:Not Allowed
Registered Office Required:Yes, required and must be maintained in Madeira
Shareholders:Minimum number is one
Directors:Minimum number is one. Can be any nationality and need not be resident in Madeira. Corporate directors are not allowed.
Your Company language:English
Name of your Company must be ended:Lda, SA
Documents required for Madeira company formation:A certified copy of your passport or ID and proof of your residential address dated less than 3 months.
Madeira Company FormationRestriction
For Madeira company formation you cannot use words in your company names without justification:“Bank”, “Trustee Company”, “Assurance”, “Building Society”, ”Trust Company”, “Royal” etc.
Restrictions on Trading:No restrictions on trade
Not permitted without a licence:Fund management, insurance, Banking, reinsurance, assurance, trust management, collective investment schemes, trusteeship business provision.
Madeira Company FormationConfidentiality and Security
Publicly Accessible Records:Yes public register of company officers (Directors, Shareholders, Secretary)
Nominee Shareholders and Nominee Directors:Yes, Allowed
Disclosure of Beneficial Ownership to Authorities:No
Meetings of Directors and Shareholders to be held:Anywhere
Stability:Steady jurisdiction and highly regarded reputation.
About Madeiramadeira company formation
Capital city:Funchal
Region:An autonomous region of Portugal, is an archipelago comprising 4 islands off the northwest coast of Africa.
Political System:Democracy
Government:Democratic Government
Governing corporate legislation:Portuguese Companies Code as set out in Decree Law No 262/86
Type of Law:Civil
Currency:Euro (EUR)
Exchange Control:None
Language of Legislation and Corporate Documents:Portuguese
Time zone:GMT+0

The legislation regulating the new Regime IV applicable to the Madeira International Business Centre (MIBC) and which was approved by the EU Commission earlier this year, has finally been published in Portugal and is now in force.

It is therefore now possible to obtain new licences with the following specific benefits:

  • Reduced corporate tax rate of 5%, guaranteed until 2027;
  • Exemption of withholding tax on dividends paid to non Portuguese resident shareholders (corporate or individuals), as long as these are not resident in a black listed jurisdiction;
  • No withholding tax on interest and other forms of payment for shareholders’ loans, capital allowances or advances made by the shareholders to the company.

The additional tax benefits already applicable to existing licensed MIBC companies will also apply to these new licenses, namely:

  • Worldwide participation exemption regime applicable to dividends, reserves, capital gains and losses;
  • Exemption of withholding tax on royalties, services fees or interest paid to third parties;
  • Capital gains tax exemption on the sale of participation held in the Madeira company; among others.

Madeira is certainly a credible and stable location for international operations, providing an extremely competitive low tax rate, guaranteed until the end of 2027.

For further information on the Regime IV and the Madeira International Business Centre, please contact our office.

This publication is provided for information purposes only. This info should not be treated as a substitute for a tax or legal consultation or legislation. You should not act on the basis of the information contained in this publication without having obtained individual advice from the professional expert.

BRIS GROUP does not assume responsibility for any damage resulting from decisions made by the reader on the basis of this publication.

Our team of consultants are here to take you through the process.