sep 13 2010
Personal Service Companies
Personal Service Companies
Individuals rendering provisional services in more than one country can gain tax benefits by establishing professional service companies offshore. The offshore company can contract to supply the services outside the individual’s normal residency and the fees earned can accumulate offshore, free from taxation in the offshore centre. Payments to the individual can then be structured in such a way to minimize income tax. This structure is frequently used by professionals in the construction, engineering, aviation, finance, computer, film and entertainment industries.
