Seychelles is a tax-neutral offshore centre whose International Business Companies are registered by the Financial Services Authority ("FSA") under the International Business Companies Act 2016. It is distinctive for low, flat government fees, fast formation, and a territorial tax system.
Most founders use the International Business Company ("IBC") under the IBC Act 2016. Alternatives include the Special Licence Company (CSL), the foundation, and limited partnerships.
There is no minimum capital (commonly US$1), and a single director and shareholder of any nationality are allowed with no residency requirement; a licensed registered agent and a registered office in Seychelles are mandatory. Incorporation through the registered agent is usually completed within 24 to 48 hours, with a flat government licence fee of about US$150 at registration and annually, irrespective of share capital.
Under the territorial system (since 2019), an IBC’s foreign-source income is exempt from tax in Seychelles (0%), and only Seychelles-source income is taxed, although since 16 September 2021 an economic-substance test applies to foreign-source passive income of companies in multinational groups; an IBC not trading locally has no VAT. The Seychelles Revenue Commission administers tax, and beneficial owners are filed to a confidential register held via the registered agent and the Financial Intelligence Unit. IBCs must keep accounting records for seven years but file no public accounts.