Curacao Company

Historically, Curacao was considered a classic offshore jurisdiction, offering tax advantages and confidentiality. However, international regulations and increased transparency requirements have changed the landscape. While a Curacao Company can still offer benefits, it’s no longer the “tax haven” it once was.

Is a Curacao Company Still Offshore?

The term “offshore” is increasingly nuanced. Curacao is a well-regulated jurisdiction with a modern legal framework. It’s not on any blacklists and actively participates in international tax information exchange agreements. So, while it’s geographically offshore from many countries, it’s not operating in the shadows.

Best Company Types for Non-Residents:

For non-residents looking to establish a Curacao Company, the most common and potentially beneficial options include:

The Exempt Company (E-Zone Company): This type of company is designed for businesses that primarily conduct international trade and services. To qualify, the company must meet certain requirements, including generating most of its income from outside Curacao and employing a minimum number of local staff. E-Zone companies can benefit from a reduced corporate income tax rate. It is important to note that the E-Zone regime is being phased out and replaced with a new economic zone regime.

• The Private Foundation (Stichting): While not technically a company, a private foundation can be used for asset protection, estate planning, and holding investments. It’s a popular choice for non-residents seeking to manage their wealth discreetly.

• The NV (Naamloze Vennootschap): This is the Curacao equivalent of a public limited company. It’s a more complex structure, but it can be suitable for larger businesses with significant capital requirements.

Important Considerations:

• Tax Residency: Establishing a Curacao Company doesn’t automatically grant you tax residency in Curacao.
• Substance Requirements: Many jurisdictions are now requiring companies to demonstrate “substance,” meaning they have a physical presence and conduct real business activities in the jurisdiction where they are incorporated.
• Compliance: It’s crucial to comply with all local regulations and international reporting requirements.
• Professional Advice: Before setting up a Curacao Company, it’s highly recommended to consult with a qualified legal and tax advisor who can assess your specific needs and provide tailored guidance. They can help you determine the most suitable company structure and ensure you comply with all applicable laws and regulations.

While a Curacao Company can still be a viable option for non-residents, it’s essential to understand the current regulatory environment and seek professional advice to ensure you choose the right structure and comply with all relevant requirements.