2015_taxes_flickr_tax_credits_taxcredits.netFor businesses aiming to expand their reach or those interested in enjoying the benefits of operating in an environment that welcomes them, the U.S. Virgin Islands provides such a location. From an official economic development organization that works on their behalf to the numerous tax incentives they can enjoy, business owners have many reasons to consider the U.S. Virgin Islands as an appealing and attractive place to operate and grow.

The U.S. Virgin Islands Economic Development Authority, a government-affiliated agency charged with promoting economic growth in the territory, has several different components through which it strives to make “America’s Paradise” a site for efficient, cost-effective and dynamic business operations. Of primary interest to business owners looking to launch a company in the Territory is the Economic Development Commission, which oversees a robust tax incentive program in an effort to attract more businesses to the territory.

The EDC program offers numerous advantages to businesses. Most tangible are the benefits provided by the tax incentive program, which offers considerable deductions and exemptions. For example, businesses may receive a reduction of up to 90 percent in federal and territorial corporate and personal income taxes, and up to a 100 percent exemption on various taxes and payments—including excise tax payments, business property tax and gross receipt tax. These and other tax incentives help make the U.S. Virgin Islands an attractive place for new businesses, as well as those looking to relocate or expand here.

Although the advantages offered through tax breaks and exemptions are often easy to quantify, there are also many other, less obvious benefits of operating a business in the Territory. Although the U.S. Virgin Islands may seem like an exotic location to tourists, it’s important that business owners remember how easily it can be accessed from the U.S., Europe, South America and the rest of the Caribbean.

The Territory also boasts a skilled and educated population, strong infrastructure, duty-free exports to the U.S. and all of the benefits associated with sharing a currency and a court system with the United States. To business owners currently based on the U.S. mainland, the Territory will seem familiar in many ways. All of these advantages make it clear just how friendly the Territory is for businesses and explain just why economic activity throughout the U>S. Virgin Islands is on the rise.

The EDC program has had an impact on the Territory through its success in attracting manufacturing, service industry, pharmaceutical, outsourcing and other businesses. By taking advantage of the tax incentives available to them, these businesses have been able to play a key role in the continued growth and development of the U.S. Virgin Islands.

BoltNagi is a well-established and widely respected business and corporate law firm serving clients throughout the U.S. Virgin Islands.