Our accountants in Isle of Man have relevant experience, training, as well as the certifications required to offer these types of services. We know the importance of a well-managed business, as well as the importance of being able to rely on a team of professionals whenever you need assistance with tax or bookkeeping matters.
|Bookkeeping services||Day to day administration of the company’s accounts receivable and accounts payable
|Payroll in the
Isle of Man
|Complete payroll administration: calculating and making the payments to the employees, maternity leave payments, social security payments|
|Issuing proforma and regular invoices, tracking issued invoices, managing overdue invoices, etc.|
Cash payments management, bank reconciliation
|Reporting||Our accountants in Isle of Man draw up, prepare and submit the annual financial statements for businesses|
Company profitability ratio calculation, liquidity ratio, turnover ratio, solvency ratio, etc.
Services suitable for companies involved in money laundering investigations or other types of criminal proceedings
|Tax compliance||Understanding the corporate income tax exemption applicable in the Isle of Man for most companies, tax rate compliance for businesses that are subject to taxation|
|VAT compliance and reporting||
VAT registration according to the company’s annual taxable supplies, VAT return filing and payment,
|Audit offered by our accountant in the
Isle of Man
|Audit for companies that are subject to this requirement; assistance in applying for the audit exemption for qualifying companies in the Isle of Man|
|Property financial matters||Real property tax compliance according to the nature of the land or building (commercial land, residential land, etc.)|
|Assistance for compliance with the IFRS, the UK GAAP or, in some cases, other accounting standards|
|Tax authority assistance||We help represent local and foreign clients in front of the tax authorities (the divisions of the Treasury Department)|
|Support for voluntary dissolution||Assisting companies during the liquidation phase,
settling debtor claims, etc.
Services for foreign companies offered
|Information on the double taxation agreements signed by the Isle of Man, details on foreign company taxation, etc.|
|Fiduciary||Our accountants in Isle of Man ensure positive financial decisions for clients, prioritizing their financial well-being and interests.|
Corporate income tax
|Generally 0%, but banks and property income may have specific rates.|
– 20% (standard),
– 5% (reduced for specific goods and services)
|Tax filings||Corporate tax returns are filed within 12 months and one day after the tax period’s closure.|
|Annual return filing||
Must be filed yearly within one month after the company’s incorporation anniversary, except for companies incorporated before 1993.
Our accountants can assess financial risks and provide advice on how to mitigate them, helping you safeguard your business’s financial situation.
|Mergers and acquisitions||
We provide financial due diligence and support throughout the mergers and acquisition processes.
We offer accounting services for sole proprietorships as well, to ensure accurate tax compliance, provide financial advice, manage bookkeeping, and prepare financial statements.
– customs and excise duties,
– property taxes,
– transfer taxes,
– stamp duty,
– social contributions, etc.
|Litigation support||Contact our accountants for litigation support during legal cases that involve financial matters, like disputes or lawsuits.|
|Wills and inheritance||
Our accountants take care of financial matters, such as estate taxes and distribution of assets, minimizing tax liabilities and ensuring the smooth transfer of assets according to your wishes.
|Accounting for company formation in Isle of Man||
If you’re opening a company, our accountants can guide you through the process of company formation, registration, and compliance with legal and regulatory requirements.
Our team operates under the regulations and guidelines set forth by the Society of Chartered Accountants.
|Advantages of hiring an accountant in Isle of Man||
– expertise on local tax regulations,
– tax optimization,
– financial advice and insights,
– time and cost-saving service.
|Why choose our services||
– expertise in various accounting requirements applicable to different business types,
– tailored guidance and support,
– local expertise and accreditation,
– accessibility and communication,
– support for start-ups and new companies.
We help companies in the Isle of Man with accountancy and audit, as well as other solutions, and we also assist investors who are ready to take the first steps needed to open a company in the Isle of Man.
Table of Contents
Services offered by our accountants in the Isle of Man
Our solutions suit the needs of all types of companies in the Isle of Man, irrespective if their size or the business field in which they activate. We help both locally incorporated companies, as well as international businesses that have established their presence in the self-governing British Crown Dependency.
Some of the services we provide are the following:
- Accountancy: we help businesses with the preparation of their accounts, as well as preparing the needed tax and VAT returns;
- Bookkeeping: a large part of our services focuses on bookkeeping, the activity of maintaining the accounts receivable and payable, invoicing, as well as payroll services;
- Audit: we needed, we can provide external and internal audits, as well as assurance reviews;
- Fiduciary: services focused on asset management and wealth planning, as well as other solutions.
These are part of the services we provide to clients. If you wish to know more, reach out to our team for details, as well as an offer for tailored solutions.
Accountants in the Isle of Man are subject to the regulations of the Society of Chartered Accountants located in Douglas, Isle of Man. Our team includes accredited professionals and you can rely on our professional services.
Companies in the Isle of Man are subject to a number of requirements for drawing up and keeping accounting records. The financial statements are prepared using the generally accepted accounting principles, as defined in the UK GAAP, or the IFRS.
In some situations, audit exemptions apply, and these are mostly in the case of small businesses. At least two of the following three conditions need to be met by the company in order to benefit from the audit exemption:
- Turnover: the yearly turnover should not exceed £5.6 million;
- Balance sheet: this should not exceed £2.8 million;
- Employees: the company needs to have no more than 50 employees.
Apart from the general requirements to prepare the accounts, as well as perform an audit if needed, companies are subject to a light taxation regime – one of the many reasons why the Isle of Man is an attractive location to base a business.
The following taxes (and exemptions) apply to companies:
- Corporate income tax: in general, companies are not subject to this tax (0%), however, banks can be subject to a 10% rate and income from land and property is subject to a 20% rate;
- Dividend taxation: in general, dividends are not subject to tax, however, dividends paid out of income taxed at the 10% rate are subject to a 10% tax (a tax credit system can be used);
- Value-added tax: the standard rate is 20% and a reduced rate of 5% applies to certain goods and services; other are zero-rated;
- Other taxes: these include social security contributions; there is no payroll tax and no capital duty.
Companies file their corporate tax returns, subject to the services provided by our accountants, by the end of the 12-month and one day period after the closure of the tax period for which the returns are due. The tax is also paid at this point.
We invite you to watch a video about our accounting services:
Recognized auditors in the Isle of Man
Companies that are required to submit audited accounts can only do so when these are prepared by a recognized auditor.
Understanding that these services providers are subject to clear requirements is helpful when choosing to work with them.
The following rules apply to auditors in the Isle:
- audit firms that provide these services to market traded companies need to be registered with the Isle of Man Financial Services Authority;
- once the auditor is duly registered, he is subject to monitoring by the Institute of Chartered Accountants in England and Wales;
- information about each of the existing registered auditors is included in the Register of Recognised Auditors;
- recognised auditors are subject to paying a number of fees (both an application fee for registration, as well as an annual fee);
- registered auditors are asked to provide an annual return form each year, together with the annual fee, in order to remain included in the Register.
In addition to our team of accountants in Isle of Man, we also work with registered, recognized auditors in the Isle.
When choosing our services, you can rest assured that our professionals comply with the requirements applicable to their profession.
Work with our accountants in Isle of Man
We can help you understand the various accounting requirements applicable to your business. Whether you open a company that will provide financial services, or a business that will be involved in international trade, our assistance will be helpful and supportive.
Our Isle of Man accountants are reliable and offer tailored guidance and advice to our clients. We also assist those who are only just starting their business and are interested in the Isle of Man company formation process, as well as the first registrations and submissions they will need to make from a tax perspective.
Some of the advantages of working with a local team of accountants in Isle of Man, and of outsourcing your accounting solutions in general, include the following:
- Expert assistance: seeking professional assistance means that clients will have access to a team of professionals who are accredited in accordance with the local Isle of Man regulations, and registered with the Financial Services Authority (applicable in case of recognized auditors);
- Complete compliance: a direct result from working with a professional accountant is the fact that the company will meet all of the regulatory requirements and, in addition to this, will implement any changes as soon as they enter into force, thus avoiding unnecessary penalties with the help of our accountants in Isle of Man;
- Reduced costs: the overall costs of outsourcing accounting services are generally lower than those required for maintaining an in-house employed accountant;
- A focus on the business: when the company has a clear image of its financial status and transactions, the company owners can focus on what matters most: running and growing the business.
These benefits can apply for companies in all business fields, and of all sizes.
If you are interested in knowing more about accounting outsourcing, you can reach out to our specialists.
Our team is also able to answer any questions about the company formation steps in the Isle of Man and we can intervene at any stage of the incorporation process, should you require specialized assistance and legal representation for handling all or part of the registrations.
Requirements for annual return filing
The annual return is filed yearly and within one month after the anniversary of the company’s incorporation. This date is different for companies incorporated before 1993, namely, it is not specifically on the incorporation anniversary date but still on a fixed date each year.
The report can be seen as an annual summary that is filed irrespective of the fact that the company traded that year or not. It contains information about the company’s accounting records (if these have been kept and prepared). It is not to be confused with other annual statements or the tax or VAT return.
One of our agents who specialize in Isle of Man company formation can give you more information on this filing requirement as well as the other existing ones.
Filing the annual return in the Isle of Man is easier with our help. You can rely on our assistance for this annual submission, as well as for maintaining sufficient accounting records, and the preparation of the accounts upon request. Our accountants in the Isle of Man offer services for companies operating in all business fields. Please feel free to reach out to us for more details.
Annual return fees in the Isle of Man
The Government imposes a set of fees, as highlighted below by our team of Isle of Man company registration agents:
- or standard companies: between 380£ and 630£ when it is filed on the due date and 630£ when the filing made more than 3 months after the date.
- or excepted companies: 95£ when filed on time and 345£ when filed three months after
- or charities: no tax when filed on time and 250£ when filed three months after the date.
- penalties: these apply for two different levels of delays, 100£ for 1 month and one day to 3 months and 250£ for more than 3 months.
Doing business in the Isle of Man
The Isle of Man is a small island that makes up for its size through an attractive business environment for foreign nationals.
Douglas, the capital city, is the main business hub, as well as the most populated location on the island.
The Isle is not part of the United Kingdom, however, it is a British Crown Dependency.
Foreign investors are not subject to any restrictions on the type of business they can use to engage in economic activities and there are no residence restrictions.
As part of the incorporation requirements, business owners need to follow the rules for the minimum number of shareholders and directors, as well as maintaining a registered address on the island at all times and having a registered agent in the island.
Investors can choose to appoint a team of accountants in Isle of Man as soon as they decide to incorporate here.
We can assist local and foreign investors throughout all the company formation stages.
Contact our accountants in Isle of Man for more information about our accounting services, as well as the other solutions we provide for businesses.
You can also reach out to us if you wish to buy a shelf company in the Isle of Man.