The legal system is based on English common law with some civil law influence.Vanuatu's economy, historically based on agriculture and fishing, is now dependent on tourism and financial services. Cruise liners call at the two deep-water ports. GDP of USD4,900 per head is low but has been growing strongly. There is a strong contrast between the relatively sophisticated capital Port Vila, with its expatriate workers, and the subsistence economy of most of the Ni-Vanuatu islanders. Most goods are imported, and import duties and value-added tax are the main sources of Government revenue. The currency is the Vatu (VT), fixed against a dollar-based currency basket. In recent years, USD1 has been worth approximately VT100.
There is no direct taxation in Vanuatu. Import and export duties, registration fees, business license fees, stamp duty, VAT and a tourist turnover tax generate Government revenue. The offshore sector is well-developed, with the IBC-style International Company being the entity of choice. Banking, insurance, trust management and electronic gaming are the most important activities.
Vanuatu has no tax treaties. Vanuatu has signed Tax Information Exchange Agreements with Australia, Denmark, the Faroe Islands, Finland, France, Greenland, Grenada, Iceland, Ireland, Korea (Republic of), New Zealand, Norway, San Marino and Sweden. There is domestic legislation to counter money-laundering and which enables international co-operation with investigators. However, privacy is good with statutory protection, and there is no crime of tax evasion since there are no taxes.
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COUNTRY:
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VANUATU
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Region:
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Pacific
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Currency:
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Vanuatu Vatu (VT) (VUV)
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Languages:
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Bislama, English French
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Time Zone:
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UTC +11 |
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Phone Code:
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+678
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Communications:
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OK
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Formation Cost:
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1800 - 3000 USD$
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Formation Time:
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1-4 days
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Maintenance cost:
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800 - 1400 USD$
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Suitable for:
- Shipping,
- Aviation,
- Yachting,
- Trading Goods,
- Intellectual Property/Licensing,
- Holding Companies,
- E-commerce,
- E-gaming
Vehicle Types:
- Local limited companies,
- exempt companies,
- international companies,
- general partnerships,
- limited partnerships and trusts
Capital primary business districts:
Port Vila
Good Relationships:
Australia, Cook Islands, Marshall Islands, New Zealand, Niue, Papua New Guinea
Bad Relationships:
Burma, Egypt, Iran, Libya, Somalia, Sudan, Syria
Tax Burden - Business:
Very Light
Tax Burden - Individual:
Very Light
Headline tax rates:
CIT 0%, PIT 0%, VAT 12.5%
Treaty Jurisdictions:
None
TIEA Jurisdictions:
Australia, Denmark, Faroe Islands, Finland, France, Greenland, Grenada, Iceland, Ireland, Korea, Republic of, New Zealand, Norway, San Marino, Sweden
