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Samoa

Limited Life International Company

Samoa has been an international company formation centre for more than thirty years, although it has never been as popular and had media attention as other offshore jurisdictions.

Company law in Samoa is based in English Common Law.  A Samoa Limited Life Company (LLC) is incorporated under the International Companies Act 1987, and is similar to a US Limited Liability Company (LLC).

An LLC is a hybrid entity with separate legal personality and limited liability of its members but with greater structure flexibility than a corporation and taxed as a partnership.

A Samoan LLC has a limited life of 50 years. It may have restrictions to trade within Samoa, may not invest and acquire assets from a domestic company, nor carrying on business with or settling any property on someone ordinarily resident in Samoa or a domestic company.

It also cannot make any disposition or settlement of property outside Samoa in the currency of Samoa nor can it send out of Samoa any money or securities belonging to or controlled by a resident or a domestic company.

It may however make or maintain deposits with a company carrying on banking business in or from within Samoa and it may hold shares in other companies incorporated or registered under the International Companies Act.

A Samoa Limited Life Company must be formed by at least two members, but there are no company structure requirements for its management, nor are there provisions for company meetings, directors, secretary, or capital. Its operating agreement may be arranged by its members according to their needs.

Members pay personal income taxes in their country of residence on LLC profits proportionally to their share of participation in the LLC company, whether distributed or not.

It is important to note that certain countries do not recognize the pass-through status of an LLC, if the LLC is deemed to be tax resident in one of such countries, it may be subject to corporate income tax.

LLC’s tax transparency allows residents of certain jurisdiction to not be penalized under controlled foreign company rules.

Limited Life Companies doing business internationally are exempt from all form of local taxes.

Details of beneficiaries, members, managers are not publicly disclosed. There are no annual meeting requirements, and meetings may be held outside Samoa by call, videocall or any other mean.

Limited life companies must have a resident secretary or resident agent either of whom must be a registered trustee company, a wholly owned subsidiary thereof, or an officer of a registered trustee company.

Samoa has committed to undertake the first OECD’s automatic exchanges of information (AEOI) following the CRS (Common Reporting Standard) by 2018.

Samoa’s Limited life companies are vehicles commonly used for asset protection, estate planning, international trade and fund management.

Taxes

Corporate income tax – A Samoa LLC is a tax transparent entity, which means that any profits are passed through to the members to be reported as personal income. There are no taxes, exchange controls or fees on assets or income originating outside of Samoa, provided that LLC’s members are not Samoa’s residents.

Other taxes – Resident companies are required to withhold and pay to the Island Revenue a tax imposed on the Samoa resident employee's wages and salaries.

Tax is progressive up to 27% for annual income exceeding $20,000.

There are no property, wealth and inheritance taxes in Samoa.

  • Tax transparent entity
  • Offshore Income Tax Exemption
  • Offshore capital gains tax exemption
  • Offshore dividends tax exemption
  • CFC Rules
  • Thin Capitalisation Rules
  • Patent Box
  • Tax Incentives & Credits
  • Property Tax
  • Wealth tax
  • Estate inheritance tax
  • Transfer tax
  • Capital duties
  • 0% Offshore Income Tax Rate
  • 0% Capital Gains Tax Rate
  • 0% Dividends Received
  • 0% Dividends Withholding Tax Rate
  • 0% Interests Withholding Tax Rate
  • 0% Royalties Withholding Tax Rate
  • 0 Losses carryback (years)
  • 0 Losses carryforward (years)
  • 27% Personal Income Tax Rate
  • 17 Tax Treaties

Country details

Samoa
WST
Apia
Oceania
s m , e n - W S
192001

The Independent State of Samoa is an island country, one of the four that form Polynesia and one of the fourteen that make up Oceania. The two main islands of the country are Upolu and Savai'i.

Formerly known as German Samoa from 1910 to 1914 and Western Samoa from 1914 to 1997, it is a country comprising the western part of the Samoa archipelago in the South Pacific. He became independent from the United Kingdom in 1962.

It has a population of about 200,000 inhabitants. Its capital and most populated city is Apia, on the island of Upolu.

The official languages are Samoan and English. Its official currency is tālā (WST).

Samoa forms an independent parliamentary monarchy. The 1960 Constitution, which formally took effect after the country's independence, is based on the parliamentary democracy of the United Kingdom, modified according to the habits of Samoa.

The economy of Samoa has always been dependent on agricultural exports, remittances, as well as foreign aid.

Two thirds of the population are engaged in agriculture, the most important activity being the export of copra and coconut oil and other derivatives of the same plant.

The industrial sector is almost entirely dedicated to the processing of agricultural products.

Its main trading partners are New Zealand and to a lesser extent Australia, American Samoa, the United States, and Fiji.

Its fastest growing sector is tourism, which currently offers employment to 20% of the population.

Tax treaties

Country Type Date Signed
New Zealand TIEA 2010-08-24
San Marino TIEA 2009-09-01
Greenland TIEA 2009-12-16
Mexico TIEA 2011-11-30
Norway TIEA 2009-12-16
Korea, Republic of TIEA 2015-05-15
Monaco TIEA 2009-09-07
South Africa TIEA 2012-07-26
Faroe Islands TIEA 2009-12-16
Sweden TIEA 2009-12-16
Denmark TIEA 2009-12-16
Ireland TIEA 2009-12-08
Iceland TIEA 2009-12-16
Netherlands TIEA 2009-09-14
Australia TIEA 2010-03-20
Finland TIEA 2009-12-16
Japan TIEA 2013-06-04

Procedures

We can help you incorporate a Limited Life International Company in Samoa.
Please, contact us to request a free, no obligation consultation.

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