Here are some of the benefits of registering a Holding Company in the UK:

1. UK domestic law offers tax relief for Holding Companies collecting dividends from its foreign subsidiaries. This relief comes in the form of an exemption in UK corporation taxes equal to the amount of foreign withholding tax on dividends PLUS any foreign taxes paid on the overseas subsidiary's profits. The low controlling stock requirement combined with the tax credits on dividends and profits for the overseas subsidiary is a considerable boost to your Holding Company's bottom line.

2. New legislation in effect from July 1 2009 exempt all taxes on dividends from subsidiaries if the Holding Company has less than 50 employees and an annual balance sheet of less than 10 million Euros.

3. Capital gains from the sale of an operating subsidiary incur no UK taxes.

4. Non-resident shareholders are totally exempt from any UK capital gains tax earned from the sale of shares in a UK registered Holding Company.

5. Any issues of dividends from a UK subsidiary to a parent Holding Company that is registered in the UK are entirely exempt from corporation tax.

The law on the taxation of foreign dividends is constantly evolving as UK and foreign jurisdictions work to simplify or strengthen laws. Our London based Corporate Tax planners and registered financial accountants are always on hand to help use the current UK and EU tax laws to your advantage.

BA Global Associates offer Holding Company and subsidiary company registration services for businesses looking to set up in the United Kingdom, Northern Ireland or Scotland. Our agents will guide you through every step of the process in setting up your own UK Holding Company.