Tax Haven Liberia

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Tax haven Liberian companies can be formed as either domestic or non-resident companies. Non-resident companies are controlled, owned and managed by non-residents outside of Liberia. As long as a non-resident Liberian company conducts its business overseas, it is not liable to any local taxes in Liberia. Different offshore companies and entities are used based on the requirement and taste of an investor, hence why an LLC or a Liberian Corporation may be incorporated on one hand and Liberian Foundation on the other. Tax haven Liberia offshore companies are ideal vehicles for safeguarding assets in a tax exempt environment.

Country Overview

Tax haven Liberia is officially the Republic of Liberia and is located on Africa’s west coast. Neigbouring countries of tax haven Liberia are Sierra Leone, the Ivory Coast and Guinea which are diverse in culture and economic background. Tax haven Liberia has had a longstanding relationship with the U.S. and has no history in Europe’s Scramble for Africa; two factors which set Liberia apart from other countries on the African continent. Tax haven Liberia has an estimated population of 3,476,608 and is 43,000 square miles in total area.

Tax haven Liberia has many coastal plains with mangroves and swamps, which flow unto low lying mountains and plateaus in the northeast. In other parts of the north of tax haven Liberia, tropical forested hills, semi-deciduous forest sand elephant grass can be found. The rainy season falls between the months of May and October while the dry season goes on throughout most of the year. There are 15 counties in tax haven Liberia and these are further subdivided into districts and clans. Monserrado and Gbarpolu are the oldest counties while Nimba, covering 4,460 square miles is the largest of the counties. Other counties in tax haven Liberia are Lofa, Bong, Grand Gedeh, Margibi and River Cess.

Constitutionally, there are three governing bodies namely the legislative, judiciary and the executive, which is headed by the President. The legal system is dual and based on customary unwritten law for rural ethnic groups and Anglo-American common law. The Supreme Court is the highest judicial body and is headed by the Chief Justice. General elections are held every six years and presidents can be reelected for a second term. William Tubman is known as the man who had the longest term of presidency, from 1944 to 1971.

Traditionally, Liberia depended on the export of iron ore, timber and rubber, as well as goats, pigs, cattle and agricultural products to earn revenue. In the 1990’s tax haven Liberia was a major exporter of diamonds along with Angola and Sierra Leone.

Diamond exports were calculated at more than $300 million yearly, but a ban was placed by the US on what was referred to as the blood diamond trade. In 2007 the ban was removed.

Liberia Fiscal Incentives and Advantages

Fiscal and investment incentives in tax haven Liberia are embedded in the Investment Incentives Code. Industrial businesses which seek to reduce the number of commodities imported into Liberia, utilize Liberian materials and products, help generate employment and economic diversification are greatly encouraged by the Government of tax haven Liberia. Doing business in tax haven Liberia comes with these further advantages:

  • Globally competitive investment policies
  • Economic policy focused on free enterprise
  • 100 tax exempt transfer of investment profits and capital
  • Zero exchange controls
  • Zero taxation on offshore profits
  • Proactive investment climate
  • Investment incentives and possibilities extended to foreign nationals

Liberia Offshore Legislative Framework

Tax haven Liberia has enacted a number of laws which enable the formation of companies for offshore business activities. Non-resident corporations, Limited Partnerships, LLC’s and Registered Business Companies are all governed by the Association Law. Tax haven Liberia offshore enactments include:

  • Association Law
  • Business Corporation Act
  • Registered Business Company
  • Maritime Law
  • General Business Law
  • New Penal Law – Money Laundering Regulations

Liberia Offshore Services

The main offshore services available in tax haven Liberia promote international business and trade. The main offshore services in tax haven Liberia are as follows:

Liberian International Ship & Corporate Registry (LISCR)

The LISCR of tax haven Liberian administers the Liberian Registry, considered the second largest internationally. LISCR is US owned and is responsible for registering corporate entities and ships.

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