The Cayman Islands are known the world over for offshore banking and financial services—and for 102 square miles of sand-fringed tropical paradise, it’s quite a feat to have become one of the world’s major financial centres and, in fact, the sixth largest offshore financial locus. The reasons for this are a favourable tax regime and Cayman Islands banking. Literally thousands of companies are registered here to take advantage of one of the world’s best known tax havens and suppliers of specialised corporate financial services.
The advantages of registering a company on the Cayman Islands are many. Not only is it a tax haven, but it also offers world class asset management, tax consultancy and a wide range of corporate financial services and instruments. However, while its reputation may have been somewhat racy in the past, today this British Overseas Territory is one of the most respected and professional tax neutral administrations in the world. The companies that use Cayman Islands banking services do so to maximise their international tax benefits, not to cheat the system.
There are more companies on the Cayman Islands than there are people, so how did Cayman Islands banking start? It’s a great story. Back in 1794, George III’s son, Prince William, was rescued from a shipwreck. As a reward, the King vowed never to introduce taxes to the island. No one really knows if this is true or not, but the tradition of no income tax, no capital gains tax and no wealth tax certainly goes back a long way and is a tradition in which the islanders take great pride.
If you are a British or an American expat, you might reap substantial benefits from Cayman Island banking and asset management. For advice on suitability, talk to a Pryce Warner international finance expert today.