Company formation in Seychelles

Before deciding to set up a new company in Seychelles, read the information below to understand the characteristics of an International Business Company (IBC):

Shareholders: at least one shareholder (no residency requirements; may be a natural or legal person).

Director: at least one director (may be a natural or legal person).

Company secretary: no requirements.

Minimum share capital: there is no minimum capital requirement.

Legal address: registered office is required in Seychelles.

Registered agent: is required.

Liability: limited to the amount of capital they have invested in the company through their shares.

Accounting: mandatory accounting and financial record-keeping, and requirements for annual returns.

Seychelles implements a territorial tax system. Thus taxes are levied only on income sourced within Seychelles.The company benefits from 0% CIT on foreign-earned income.

The CIT rates for local companies:

• 15% on the first SCR 1 million (~€70,000).‎
• ‎‎25% above SCR 1 million (~€70,000).‎‎

Income tax – the tax levied on personal emoluments of an individual payable by employees or their employer.

Non-monetary benefits tax – the tax payable by the employer on any benefit provided to an employed person (an employee) for example accommodation, meals, transport, insurance and others as listed in the Fourth Schedule of the Income and Non-Monetary Benefits Tax Act 2010.

The rates of income tax payable by a citizen and non-citizen employed person in respect of taxable emoluments are as follows:

• from SCR 0 to SCR 8,555.5 (~€580) - 0% (for citizen) / 15% (for non-citizen);
• from SCR 8,555.51 (~€580) to SCR 10,000 (~€680) - 15% of the amount in excess of SCR 8,555.5 (~€580) (for citizen) / 15% of the amount not exceeding SCR 10,000 (~€680) (for non-citizen);
• from SCR 10,000.01 (~€680) to SCR 83,333 (~€5,700) - SCR 216 (~€15) plus 20% of the amount in excess of SCR 10,000 (~€680) (for citizen) / SCR 1,500 (~€100) plus 20% of the amount in excess of SCR 10,000 (~€680) (for non-citizen);
• over SCR 83,333 (~€5,700) - SCR 14,883.28 (~€1,000) + 30% of the amount in excess of SCR 83,333.00 (~€5,700) (for citizen) / SCR 16,166.6 (~€1,100) plus 30% of the amount in excess of SCR 83,333 (~€5,700) (for non-citizen).

An employer shall be liable to pay tax at the rate of 15% of the value of a non-monetary benefit provided to an employed person and such tax shall be computed in accordance with Schedule 4 of the Income and Non-Monetary Benefit Tax Act in respect of each non-monetary benefit provided to the person employed. The schedule also provides for certain exemptions on benefits.

The VAT rates applicable on taxable supplies:

• the 15% standard rate applied on most imported goods or services sold in Seychelles;‎
• the 0% applied on exports of goods and on specific items as specified in Schedule 2 of the Value Added Tax Act, 2010 (pharmaceutical products, infant formulae, pampers and certain basic necessities and services such as education, health and financial services.).

Double taxation avoidance agreements in Seychelles: ‍Bahrain, Barbados, Belgium, Bermuda, Botswana, China, Cyprus, Ethiopia, Guernsey, Indonesia, Isle Of Man, Jersey, Kenya, Luxembourg, Malaysia, Mauritius, Monaco, Oman, Qatar, San Marino, Singapore, South Africa, Sri Lanka, Swaziland, Thailand, United Arab Emirates, Vietnam, Zambia.