Why Madeira?
The Madeira International Business Center (MIBC) is an established and important international business hub, wholly within Portugal and thus part of the European Union and consists of a Free Trade Industrial Zone, an International Services Centre and an International Shipping Register.
Key benefits.
Having been expressly approved by the European Union, the MIBC is a credible and stable location for international operations, providing an extremely competitive low corporate income tax rate. The recently approved Tax Regime IV provides the following main tax benefits:
A reduced corporate tax rate of 5%, guaranteed until 2027- Exemption of withholding tax on dividends paid to non-Portuguese resident shareholders (corporate or individuals), as long as these are not resident in a blacklisted jurisdiction
- No withholding tax on interest and other forms of payment for shareholders’ loans, capital allowances or advances made by the shareholders to the company, as long as the shareholders are non-residents in Portugal
- Worldwide participation exemption regime applicable to dividends, reserves, capital gains and losses
- Exemption of withholding tax on royalties, services fees or interest paid to third parties
- Possibility to apply Portugal’s recent Patent Box Regime
- Capital gains tax exemption on the sale of participations held in the Madeira company
- Exemption of notarial and registration fees
- 80% reduction on the rate of Stamp Duty, municipal transaction taxes and municipal property taxes
- 80% reduction on regional and municipal surcharges
Services offered in Madeira.
- Incorporation, structuring, and management of Madeira companies set up within the Services Sector of the Madeira International Business Centre
- Day-to-day company administration including opening and operating bank accounts, issuing invoices, VAT management, accounting and bookkeeping services
- Registration of vessels, yachts and ships
- Management of shipping companies
- Specialist advice regarding the use of Madeira’s Industrial Free Trade Zone
- Advice and structuring required for individuals who wish to take advantage of Portugal’s Golden Visa scheme or Non-Habitual Residents regime
