Incorporation & obtaining license: 2-4 weeks

Minimum paid up capital: No minimum capital requirement

License fee: USD 1,000.00

Overview

An E-zone is an area within Curaçao in which, amongst others, international trade and trade supportive services may be performed by, but not limited to, electronic communication and information equipment ("e-commerce"). The activities of these companies must, in principle, be focused on trading with or providing services to non-residents of Curaçao. The turnover generated through trading with or providing services to residents of Curaçao may not exceed 25% of the turnover per item. If business is conducted with residents of Curaçao, the company generally has to file a request with the competent authorities. If permission is granted, the company will receive a list of conditions that will have to be met.

A request should be filed with the local authorities in order to be admitted into an E-zone. To apply for an E-zone status it is essential that the company is established and registered in the E-zone. In most cases this implies an office with co-workers, or the establishment of a server or a combination of both. Permanent establishment and/or services from the E- zone guarantee such a status. According to the OECD permanent establishment is established provided that the server is located in Curaçao.

Local Data Center can assist in the purchase of a server.

The most important requirements which need to be complied with are:

• Ultimate beneficial ownership of the legal entity should be disclosed (upon request) to the tax authorities;
• Only legal entities with a capital divided into shares may perform activities in an E-zone;
• The activities must in principle be focused on trading or providing services to companies or persons located outside Curaçao;
• The business activities of the legal entity must contribute to the economic growth of Curaçao either by generating foreign currency or employment;
• The financial statements of the entity are required to be drawn up in accordance with generally accepted accounting standards and need to be reviewed by a qualified auditor;
• Transfer price calculations for goods and services rendered in inter-company relations should not deviate substantially from generally accepted methods, like the OECD transfer pricing guidelines.