READING ROOM

Why Gibraltar

As a mature and sophisticated self-governing British overseas territory, Gibraltar benefits from its own Parliament, unique legal tax system and effective regulatory environment.

Gibraltar boasts a robust and diversified economy and has emerged as a leading international financial centre in Europe. The principle contributing sectors to the Gibraltar economy are financial services, remote gaming and tourism. Gibraltar also operates the third busiest ship bunkering port in Europe, as well as having a state-of-the-art cruise terminal and facilities that host super yachts and luxury pleasure boats, providing the gamut of regulated and professional marine services.

Gibraltar’s long-standing focus on regulatory compliance, transparency and corporate governance has successfully differentiated the jurisdiction from other international financial centres. Gibraltar continues to develop and adopt progressive and innovative legislation to drive continued growth as a premier international financial services centre.

Gibraltar at a glance

A 7km² peninsular, strategically located at the western entrance to the Mediterranean and serving as a key military base for centuries
British overseas dependent territory since 1713
Population of 34,000 and visited by about 8 million people per year
Distinct self-governing jurisdiction with own parliament responsible for running all aspects, including taxation; UK's remit limited to defence and foreign policy
Own constitution and legal system based on English common and statute law, locally drafted law and transposed European Directives
Professionally trained and multilingual workforce
Diversified industry base including financial services, tourism, ship bunkering and online gaming
Government is highly supportive of financial services sector and has helped make Gibraltar one of the leading financial centres in Europe
High quality of life for expatriates, including good international air connections, Mediterranean climate, wide variety of sporting, cultural and entertainment facilities in Gibraltar and close vicinity
Central European time zone and within easy reach of Europe and international commercial centres

Jurisdictional highlights

Political and economic stability
Bilingual English and Spanish
Onshore finance centre with signed TEIAs and White Listed by OECD; FATF and IMF reviewed
At forefront of financial services regulation – regulated to EU and UK standards through a sensible and pragmatic approach
Fully compliant with EU directives, including AIFMD, MiFID, Parent Subsidiary Directive and Interest & Royalties Directive
GBP currency and outside Eurozone with no exchange controls
No Government debt leverage or domestic banking issues
Common law legal system
Complete professional legal, accounting and administration services
Attractive cost base compared to other jurisdictions
Specific laws to protect assets settled in trusts

Taxation highlights

Corporate tax rate of 10% on income accrued and derived in Gibraltar
Gibraltar has no estate duty, capital gains tax, wealth tax, gift tax, inheritance tax or VAT (sales tax)
No withholding taxes on dividends, interest or royalties
Most investment income is tax free – no tax on interest from bank deposits, traded bonds or dividend income
Inter-company interest and royalties taxed at 10%
Investment funds are generally tax neutral
Tax planning opportunities for investment funds, individuals, corporations and trusts
Zero taxation for non-resident trusts
Concessionary tax rates for individuals becoming residents
No stamp duty, except for Gibraltar property purchases
Nominal capital tax on creation of authorised share capital and on loan capital and none payable on the issue of share capital
US FATCA, UK FATCA, Common Reporting Standard

Other jurisdictions

Whilst we operate from Gibraltar, we partner with a global network of professionals to provide multi-jurisdictional expertise to our international clients. The leading jurisdictions our clients operate companies comprise of:

British Virgin Islands
United States of America
England and Wales
Malta
Luxembourg
Isle of Man
Germany
Guernsey
Cayman Islands
Cyprus