OPEN AN OFFSHORE COMPANY IN LATVIA

Legally free
from tax burden,
with no risk of tax assessments.

CONTACT US NOW

——— 01

THE BENEFITS OF AN OFFSHORE COMPANY IN LATVIA

Latvia, the “Pearl of the Baltic”, is a EU country on the shore of the Baltic Sea, crossroad of the trade between East and West. In the last few years, the country is fully taking advantage of its membership to the European Union. The foreign investments are in growth and the Latvian authorities have introduced forms for simplifying the procedures for the establishment of offshore companies.

02 ———

The government has striven for the development of a free trade and a liberal economic environment. The country is member of WTO and has ratified a lot of international treaties. The foreigners can buy Latvian companies and properties with few limitations. The resident companies are furthermore taxed only on the global income worldwide, while the non-resident companies only on the Latvian income. Latvia also offers some incentives for the investments, as tax credits for capital investment projects: free ports, special economic areas and tax relief for the small enterprises.

The Latvian banking system is more advanced than Baltic countries’ and offers all the services normally required by international investors to start a business. Some local banks are worldwide well-established– but it would be better having an expert advice, like Business Service Distribution one, to open an offshore bank account.

——— 03

There are mainly four types of companies in Latvia for foreign investors:

  • Limited liability company (SIA):  The most common kind of company in Latvia. The minimum capital is 3.090 €, of which at least half is required to be deposited at the moment of registration. The minimum number of directors is one. There are no restrictions for foreign shareholders, and the accounts are supposed to be in line with law requirements.
  • Joint stock company (A/S):  It’s the most widely used format by big companies. The minimum share capital is 35.572 € and is ought to be fully paid before registration. A two-level control system is expected, including a Board of Directors and a Supervisory Board.  The balance is supposed to be controlled and introduced to the authorities according to the current rules.
  • Branch:  A foreign-owned branch is taxed as a Latvian company. The communication and control requests follow Latvian rules as well. The profits can be repatriated with no withholding tax. The share of profits moved abroad, instead, are subject to withholding tax of 10%.
  • Representative office: These are not allowed to trade or make business. They’re just allowed for advertising and promotion of the foreign company. It’s considered as an efficient and low-cost device to set up a presence.

——— 04

In this context the Business Service Distribution is placed, providing services and assistance with consultants in loco, and executing all the bureaucracy for our customers.

Why wait, rely on our professionals in this field: open your offshore company in Latvia.

CONTACT US NOW

You will be contacted by our consultants