Intellectual Property Services
Recent changes to the Intellectual Property (“IP”) Laws in Guernsey have brought the island to the forefront of IP in the world. It provides a unique advantage for Guernsey as a place to manage IP in an offshore tax-neutral environment.
The new IP laws that have been introduced are flexible and modern. They are based on UK laws, but have the advantage that Guernsey is not within the EU. This provides a unique opportunity to afford protection where such protection does not otherwise exist.
Types of Intellectual Property that can be registered and/or protected in Guernsey:
- Registered Design Rights
- Database Rights
- Performers’ Rights
- Plant Variety Rights
- Unregistered Design Rights
- Image Rights
It is possible to raise finance on the back of IP rights with the ability to take security over that IP.
Typically a company may want to establish a new Guernsey Company in which to register new IP or alternatively existing IP held in an onshore jurisdiction may be transferred out to a Guernsey subsidiary company. Tax planning will always be a consideration in these scenarios and Parish Group as a fully independent fiduciary company would be pleased to work with existing advisers you may have, or recommend advisers with which we have a trusted relationship.
Setting up a new company in Guernsey is a straightforward streamlined process. The use of a trust structure combined with an IP holding company is a commonly known structure in Guernsey and would provide several advantages as a vehicle for owning and managing IP in Guernsey. Income flows from the Rights can be collected in a tax efficient jurisdiction – Guernsey has low rates of income tax, corporation tax is set at 0% (subject to some exemptions) and is free from royalty taxes, capital gains tax and inheritance tax.
a) Flexible and innovative IP legislation which complies with the highest International Standards. WTO and TRIPs compliant.
b) The Guernsey IP office will receive IP registrations or re-registrations including a first registration of trademarks.
c) Royalties / licence fees received can be accumulated in a tax efficient environment.
d) IP assets can be sold without being subject to any Capital Gains Tax in Guernsey.
e) Guernsey offers political and constitutional stability and a mature, well regulated financial centre.
f) Registration procedures are efficient and cost effective. Often registration or re-registration can be achieved in far less time than in competitor jurisdictions.