The Isle of Man is a high-reputable international finance and international business center due to its political stability, business-friendly policies and an attractive fiscal and regulatory environment.

The benefits of incorporating a company in the Isle of Man include 0% corporation tax for most companies, excluding the insurance and banking industries and income from local real estate, and no capital gains tax, withholding tax, inheritance tax or stamp duty land tax. A 10% tax rate for companies engaged in the financial services business and Isle of Man’s property transactions. Dividend distributions, royalties, and interests paid to non-Manx residents are subject to withholding tax at the rate of 0%.

It is not necessary for the company’s directors to be resident in the Isle of Man or to hold company meetings there, making it a flexible option for businesses wishing to take advantage of the tax benefits.

The most common types of company incorporated within the Isle of Man are companies limited by shares and the Isle of Man has two separate company law regimes that apply to these types of company. Those companies incorporated under
the Companies Acts 1931-2004 (“1931 Act Companies”) and those companies incorporated under the Companies Act 2006 (“2006 Act Companies”).

The Isle of Man Companies Act 2006 permits the incorporation of a flexible and modern corporate vehicle which was originally known as the New Manx Vehicle. Incorporation under this Act is more simple and flexible.