Seychelles Company Formation and Taxation FAQ
Seychelles has become a globally recognized jurisdiction for offshore company formation, offering a flexible, fast, and confidential setup process. As an island nation located in the Indian Ocean, Seychelles is known for its robust offshore legislation, political stability, and favorable tax regime. For international investors, digital entrepreneurs, and holding companies, Seychelles offers one of the most cost-effective and straightforward offshore solutions.
The most commonly registered business type is the Seychelles International Business Company (IBC). It’s ideal for international operations, asset protection, and tax optimization. IBCs are exempt from local taxes, require no minimum capital, and can be fully owned and operated by foreign nationals. There is no requirement to disclose the identities of shareholders or directors publicly, ensuring a high level of privacy.
Company formation in Seychelles is fast — typically completed within 1 to 3 working days — and does not require a physical presence in the country. Additionally, Seychelles does not impose foreign exchange controls, making it easy to move capital internationally.
This FAQ page is designed to provide clear and practical answers to the most frequently asked questions about forming a company in Seychelles. Whether you are exploring offshore structures for asset protection, digital business, or international trade, the answers below will guide you through the key steps, benefits, and legal requirements.
Frequently Asked Questions – Seychelles Company Formation
Seychelles is a highly popular offshore jurisdiction known for its streamlined company registration process, strong confidentiality laws, and favorable tax benefits. It attracts investors, entrepreneurs, and international businesses looking for an efficient and discreet way to establish a company outside their home country. With no minimum capital requirement and no mandatory local presence, Seychelles offers flexibility and ease of access, making it ideal for asset protection, international trade, and holding structures. This FAQ page addresses the most common questions about forming and maintaining a Seychelles International Business Company (IBC), helping you understand the key advantages, legal requirements, and ongoing obligations involved.
🇸🇨 Seychelles Company Formation FAQs
1. What is a Seychelles company?
A Seychelles company is a legal entity incorporated under the Seychelles International Business Companies (IBC) Act, primarily used for offshore investment, asset protection, and international trade. Learn more on our Seychelles company formation page.
2. What types of companies can be formed in Seychelles?
Common structures include:
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International Business Company (IBC) – ideal for offshore operations
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Limited Liability Company (LLC) – suitable for joint ventures and holding structures
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Special Purpose Vehicles (SPVs) – for investment, real estate, or structured finance
3. Who can incorporate a company in Seychelles?
Both residents and non-residents can form a Seychelles company. There are no nationality restrictions for shareholders or directors.
4. How long does Seychelles company registration take?
Incorporation is typically completed in 1–3 business days, depending on document verification by the Seychelles Financial Services Authority (FSA).
5. What documents are required for incorporation?
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Passport or government-issued ID of shareholders and directors
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Proof of residential address
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Memorandum and Articles of Association
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Appointment of a registered agent in Seychelles
6. What is the minimum share capital?
Seychelles IBCs typically have no minimum share capital, offering flexibility for investment, trading, or holding companies.
7. Do I need a local director or shareholder?
No. Non-resident directors and shareholders are permitted. Only a licensed registered agent and registered office in Seychelles are required.
8. Can a Seychelles company hold international assets?
Yes. Seychelles companies are commonly used to hold foreign subsidiaries, intellectual property, real estate, and investment portfolios, providing strong asset protection and privacy.
9. Is physical presence required?
No. Companies can be incorporated remotely via a licensed registered agent, making Seychelles ideal for international investors.
10. How private is ownership in Seychelles?
Ownership information is maintained by the registered agent and is not publicly disclosed, ensuring high confidentiality for shareholders and directors.
11. Can I open a corporate bank account for a Seychelles company?
Yes. Companies can open accounts with international or local banks, supporting multi-currency operations and global transactions.
12. What are the annual compliance requirements?
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Filing annual returns via the registered agent
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Payment of annual government fees
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Maintaining corporate records at the registered office
13. Can a company be owned by another company?
Yes. Seychelles law allows corporate shareholders, enabling holding structures, investment vehicles, and subsidiaries.
14. How can a Seychelles company be dissolved?
Voluntary dissolution requires:
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Shareholder resolution
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Settlement of all debts
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Filing dissolution forms via the registered agent
15. Why choose Seychelles for company formation?
Seychelles offers zero local taxation on foreign-source income, strong privacy, flexible corporate structures, and minimal compliance, making it a top choice for offshore company formation. More details are on our Seychelles company formation page.
💰 Seychelles Company Taxation FAQs
1. Do Seychelles companies pay local taxes?
No. Seychelles IBCs are exempt from all local taxes on income earned outside the jurisdiction, making them ideal for offshore operations.
2. Are dividends taxed in Seychelles?
Dividends paid by Seychelles IBCs to non-residents are not subject to withholding tax, supporting efficient repatriation of profits.
3. Are capital gains taxed?
No. Capital gains earned offshore are exempt from local taxation, making Seychelles attractive for holding and investment companies.
4. Does Seychelles have VAT or sales tax?
No. Offshore companies with foreign-source income are exempt from VAT, simplifying international operations.
5. Are there double taxation agreements (DTAs)?
Seychelles has a limited number of DTAs, but its territorial tax system ensures foreign-source income is not taxed locally, avoiding double taxation.
6. Are retained earnings taxed?
No. Retained profits from offshore activities are not subject to local taxation, allowing reinvestment in international operations.
7. Can a Seychelles company employ staff locally?
Yes. If employees are based in Seychelles, local employment laws apply. Offshore companies without local staff have no payroll obligations.
8. Are holding companies treated differently?
Yes. Seychelles IBCs are ideal for holding structures due to tax exemptions, confidentiality, and corporate flexibility.
9. How are transfer pricing rules applied?
Seychelles has no transfer pricing rules for offshore companies, allowing flexibility in related-party transactions.
10. Are there stamp duties or capital taxes?
No. Seychelles does not impose stamp duties on share transfers or corporate transactions, reducing operational costs.
11. Can losses be carried forward?
Not applicable for offshore IBCs since foreign-source income is exempt from local taxation.
12. Are trusts and foundations taxed differently?
Offshore trusts and foundations are generally exempt from taxation, supporting asset protection and succession planning.
13. Can a Seychelles company be redomiciled from another jurisdiction?
Yes. Companies can redomicile to Seychelles, subject to compliance with foreign laws, offering flexibility for corporate restructuring and international planning.
14. Are annual reporting requirements burdensome?
No. Seychelles IBCs have minimal reporting obligations, typically limited to annual returns and registered agent filings.
15. Why is Seychelles ideal for international tax planning?
Seychelles provides zero corporate tax on foreign income, strong privacy, minimal compliance, flexible corporate structures, and asset protection, making it a top jurisdiction for offshore holding companies and global investment. More details are on our Seychelles company formation page.
Interested in setting up an offshore company in Seychelles?
Visit our Seychelles Company Formation page for detailed guidance, packages, and expert support tailored to your needs.
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