Three categories offshore zones

Offshore areas are divided into three categories. The classification is based on two main criteria - level of privacy and taxation and accounting. 

The first category of offshore jurisdictions include areas in which all foreign companies to guarantee full confidentiality. Countries belonging to the first category of jurisdiction - Seychelles, British Virgin Islands, Panama, Belize - are the registration of more than one third of all existing offshore, because it does not only provides an opportunity to work in a highly confidential, but there is no strict accountability. The only requirement for offshore companies - not to conduct business at the place of registration. 

The second category of offshore areas include countries such as Gibraltar, Ireland and the Bahamas. In these states, along with significant tax benefits set quite strict control over the activities of foreign companies. All entrepreneurs and companies registered in these countries, are required to register your details and submit a report on their performance. However, for businesses and entrepreneurs registered in offshore jurisdictions of the second category, such higher requirements are an added advantage - major banks and large corporations are more willing to engage in transactions with such companies. 

The third category of offshore does not advance to the foreign companies are almost no limitations, to the extent that they are permitted to do business at the place of registration. At the same time, firms the opportunity to use tax-exempt status. For offshore jurisdictions third category is the U.S., England and Cyprus.
  

What is offshore

Many people mistakenly believe that the offshore zones and offshore - is one and the same. In fact, this is a completely different concept.

Offshore call a company that does business in a country, which is registered in the offshore zone.

The offshore area is a country that offers tax incentives to registered in its territory by foreign companies. Also in the international business lexicon often use the term offshore jurisdictions.