If you are wanting to do business in Honduras, reading this will help you becoming knowlegeable on the specific tax laws and rates for a LLC(Sderl) which is the most common company structure in Honduras.
The country taxes income accrured abroad distinctly then it it was attached to local operations. Theestablished estimated rate for offshore tax, from our research, and this is not personal tax advice, is 0%. Honduras doesn't have known exemptions to transfer in income earned abroad made internationally. Taxes are lower than average in Honduras because the effective rate of taxation on a LLC(Sderl) entity is 30%. This ranks Honduras as 134th overall with regards to corp. taxation rate internationally. . .
The value added tax (VAT) rate in Honduras is 15.00%, that ranks Honduras as 134th overall with regards to VAT globally. In terms of other taxation, an employer will contribute % to the equivalent of a social security fund and an employee will contribute 3.50%. The overall complexity of the tax system is medium. This is measured by average time to comply with a country's labor tax requirements is as it is 93hours. Contributing to this is the number of yearly labor tax payments, which is 1 in HN.
Thin capitalisation mandates are not in effect. Thin capitalisation refers to any type of requirements on a business and the debt-to-asset ratios. Dividends are distributions of a company profit, voted on by the board, to a particular class of shareholders.Dividends can be either shares of stock, cash payments, or other property. The capital gains rate in HNis 0%. A capital gains tax is levied on the profits that a corporation or natural person realizes when he or she sells sells a capital asset for a price that is higher than the purchase price.
The interest witholding rate is estimated at 10%Which means that the tax authorities expects legal entities to pay tax on at least 10% of payments offshore for on interest payments. The dividends witholding rate is 10%This should be interpreted usually that the tax authorities expects companies to pay tax on at least 10% of payments abroad for dividend payments. The royalties witholding rate 10% This means that the tax authorities expects to automatically withhold 10% of money remitted abroad on royalty payments.
There is no known tax on wealth in Honduras. There are no known inheritance taxes in HN. There are not many popular and well known research and development tax relieft in Honduras.
The above is not tax or legal advice for your individual circumstances. We can to reference you to a tax advisorin Honduras who can properly advise you. Contact us today. Click incorporate now if you are in a hurry, or press the free consultation button above.
It takes approximately 35 hours to file and prepare documents for a Honduras Civil Law.
The corporate tax is approximately 30% which is 134 in the world.
Owners of a company in Honduras are not allowed to carry back a loss and may be allowed to carry forward a loss for 3 years.
The vat rate in Honduras is 15% which ranks 78 in the world.
Thin capitalization rules are in effect. A company is thinly capitalised when there is a greater proportion of debt than equity. The minimum capitalization for a Honduras Civil Law is 5,000.
A corporate director is permitted, meaning this country is a good option if you are setting up a structure where you want to protect director liability.
The directors are not disclosed in the public registry of Honduras, Chamber of Commerce and Industry. Shareholders are not disclosed in the Chamber of Commerce and Industry.
Typically companies take 6 weeks to setup and there are 1 director(s) required and 2 shareholder(s) required at the time of incorporation.
Overall we think Honduras is a ok option and have given it a score of 56 as an IO score, using the Incorporations.IO proprietary formula.
We can help you form a company in Honduras. Click the button above for a no-obligation quote. We will provide you with all the necessary documents to open a bank account as well as a registered office in Honduras, which is required by law.
We can help you with your incorporations needs for an initial payment of just $1000.
Easy Step by Step Process:
The standard process typically takes between two (2) to three (3) weeks depending on when we receive all the required information from you. Once we receive your information, we will email you a complete set of documents for your review within 3 working days upon confirmation of payment. After executing the documents, you will need to mail them to us and we will formally submit your application for filing with the Registry. The Registry will then take about 3-8 working days to process the incorporation and produce certificates necessary for opening your bank account.
Applying for Your Bank Accounts:
Incorporations.IO maintains close working relationship within our extensive network of partner banks to help you apply for and receive banking services that are most appropriate to your specific situation. From the time of verification of incorporation it can take (1) one week to (2) two weeks to apply for and receive a bank account. We work primarily with banks that allow for remotely opened accounts to ensure you are ready to do business as soon as possible.
Applying for Payment Processing:
We include introductions to payment processors or merchant accounts with all of our incorporation services. Whether you just need standard credit card processing or specialized services for high risk processing, we have partners that can assist you and are happy to help you with introductions that can empower your business.
Start Online or via Phone:
We can get started for you whenever you are ready via a US$1000 initial payment via credit card. I get notified whenever a payment is made here and would send out the welcome letter and initial forms we would need within 12 hours. If you prefer, we can also process via a phone or Skype call.