Company Formation in Curacao

Taxation in Curaçao

Learn more about the taxation systems in Curacao to further maximize the potential of your business.

Corporate Taxes

Curacao’s statutory corporate tax rate is at 22%, with an exempt status of 0% applying to private limited companies (BV) and public limited companies (NV), subject to certain conditions. E-zone companies comply with a reduced rate of 15% provided they earn a taxable income of up to ANG 500,000.

Tax treaties with other countries

Curacao implemented the National Decree on Prevention of Double Taxation on October 19, 2022. This is to establish further rules with regard to relief from double taxation. Article 58 of the General National Ordinance states that in order to avoid double taxation, it’s possible for regulations and general measures to be established. This applies to corporate profit tax for all financial years beginning January 1, 2020, and onwards.

Exemption applies separately for each state generating foreign income by granting an income tax reduction. This applies for income from the following sources:

• Foreign enterprise (permanent establishment);
• Employment income;
• Income from immovable property;
• Other specified income.

You may click on this link to view a document from the OECD containing the reservations and notifications made by the Kingdom of the Netherlands in respect of Curaçao upon deposit of the instrument of acceptance pursuant to Articles 28(4), 28(5), 29(1) and 29(2) of the Convention.

Incorporation process in Curaçao

If you’re ready to start your entrepreneurship journey in Curacao, here’s what you need to know.

Necessary documents

Registering your company in Curacao calls for capital distribution between partners and stakeholders through shares. In terms of capitalization requirements, there is zero minimum share capital required in Curacao. To set up your company incorporation, certain documents are required such as:

• A notarial deed;
• Signed articles of association;
• Business license from Curacao’s Ministry of Economic Development;
• Director’s license (for each managing director);
• Residence and working permit (for each managing director).

It’s essential to prepare all necessary documents upon incorporating your business to establish clear legal compliance, cohesive business structure, protection of stakeholder interests, and an overall successful registration. These documents must then be filed with the Commercial Register of the Chamber of Commerce. We at LegalBison believe that the preparation and accomplishment of necessary documents should be simple and easy for our clients. We ensure that we continuously equip you with expert advisory and in-depth insight along the way.

Remote incorporation

One of the reasons why Curacao remains one of the most attractive jurisdictions for company registration is remote incorporation. There is no travel necessary for the whole incorporation process. As notarization of documents as well as a Power of Attorney (POA) from all partners are required, LegalBison initiates the delivery of the POA based on the service of your choosing. You must then certify the POA through a notary. 

Once the POA is fully accomplished, you may send an online copy to LegalBison for cross-referencing. You will then have to deliver the physical copy to our address via courier after receiving approval from our experts. Depending on your country, it is possible that you may have to legalize it via apostille, as some jurisdictions require full legalization. As Curacao is part of the Kingdom of Netherlands, it is also a member of the Hague Convention of the Apostille. 

How to: registration company in Curaçao

Registering your company in Curacao is a profitable option to grow your business, especially if you want to operate globally. First, you have to determine if your line of business is regulated and permitted to operate in the Economic Zones (E-Zones). After which, discover which licenses are fit to conduct your business within Curacao.

Accounting and auditing in Curaçao

As a former tax haven, one may expect Curacao to have very light requirements in terms of accounting. This is partly true, as the obligations are not as stringent as in non-offshore jurisdictions. Good practices should still be followed.

Accounting and Bookkeeping

Accounting for a Curacao company should answer to a set of generally accepted accounting standards such as the IFRS or Dutch GAAP, though there is no legal obligation to stick to a specific standard.

Auditing requirements

The books and financial statements of a company in Curaçao should be produced on a yearly basis, validated by the management board, and audited by an appointed external auditor.

There are no requirements to file or publish the annual statements of the company.

Company registry in Curaçao

The Curacao Chamber of Commerce and Registry maintains the registry of companies of Curacao. This Curacao company registry is public, but the information is accessible by entering the company’s registration number or name, therefore it is not possible to browse a list of companies.

Registry of directors in Curaçao

The name of the managing director of a company registered in Curacao is publicly disclosed in the registry. The full name, birth date, and citizenship of the managing director are public information.

Registry of shareholders in Curaçao

Shareholders of a company registered in Curacao aren’t publicly disclosed in the company registry of the country. Shareholders of a Curacao company are, however, known to the Curacao Chamber of Commerce and Industry.

Are nominee services legal in Curaçao?

Yes, it is possible and legal to appoint a nominee as a director and/or as a shareholder of a company registered in Curaçao. Such service can be discussed with our consulting team, as LegalBison is able to advise your project on the matter.

Substance and residency in Curaçao

Having some beneficial characteristics of an offshore tax haven without being one fully, Curacao imposes light substance requirements on the companies incorporated in the country. None of them really requires you to be on site and proper guidance is advisable to operate as should be.

Economic substance in Curaçao

The economic substance principle means that “the main part of the company’s activity takes place in Curacao”. For example, strategic decisions from the board should be taken during meetings on the premises of the company, in Curacao.

The economic substance requirement is mandatory to apply for a beneficial tax regimen (3% or complete exemption).

Residency requirements of shareholders and directors in Curaçao

Any company registered in Curaçao is obliged to have a local director or representative, as well as a registered address.

Naturally, the choice of a representative is the go-to option for most companies deciding to incorporate a legal entity in Curacao. LegalBison can assist in finding a trustworthy representative for the safe operation of your business.

Banking with a Curaçao company

Though Curacao got off its former status of a tax haven, it remains an offshore jurisdiction with many tax advantages for business, such as tax incentives, and banks therefore see it as an appealing country for high-risk businesses.

For this reason, opening a bank account in Curaçao isn’t necessarily simple. Most onshore banks will refuse to work with a Curacao company and offshore banks might ask for consequent financial guarantees and high fees.

Assistance from LegalBison’s experts, with the support of our professional network, can significantly ease up the process and provide your company in Curaçao with the right banking solution for your needs.

Company types in Curaçao

The main types of companies that can be formed within Curacao are the NV (naamloze vennootschap, also called Public Limited Liability Company) and the BV (besloten vennootschap, also called Private Limited Liability Company).

The BV is the most commonly used legal entity for offshore business thanks to its flexibility, as shareholders and managing directors can be the same individuals.