A Curacao Investment Company (in Dutch abbreviated as: “CBV”) is a great vehicle to receive passive income. We recommend the CBV to our clients if they receive for example royalties, interest income and dividends. The CBV is subject to a profit tax rate of 0%.
The CBV is established in Curacao with a capital divided into shares which, upon request, has been designated as such by the Inspector. In order to be regarded as a CBV by the Inspector of Taxes, the following conditions must be met without interruption during the financial year:
- the board of the company must keep a register in which the names and addresses of the beneficial owners of the company are recorded;
- the board of the company must consist exclusively of one or more natural persons residing in Curacao or certified trust companies established in Curacao or directors of certified trust companies and other persons working for these trust companies;
- the management of the company is required to have annual financial statements drawn up, which are audited by an independent expert appointed by the general meeting. This expert should also issue an approving statement regarding the financial statements, within twelve months after the end of the financial year;
The CBV must have presence in Curacao. The local operation costs and the number of employees should be appropriate for the nature and scope of the activities.
Additionally, the statutory goal of the company and its actual activities must consist for 90% or more of granting loans, investing in securities and deposits or developing and exploiting intellectual and industrial property rights and similar property rights or rights of use.
Would you like to receive more information about the CBV and to know more about how to invest in Curaçao through a CBV, fill in our Contact Form today.
