Get in touch with a representative from the RIFC about any questions you have.
The RIFC operates under a territorial tax system. There are no taxes on dividends, capital gains, excise taxes and there is a 100% exemption on import taxes and duties for any businesses operating in Próspera, without regard to its economic sector. Income derived from sources outside of Próspera are not subject to taxation, unless explicitly stated on the Próspera Tax Statute. Within Próspera there are only four taxes:
Personal Income Tax
A 10% Personal Income Tax with 50% of income being deemed taxable (resulting in an effective 5% tax on gross income)
Business Income Tax
A 10% Business Income Tax with 10% of income being deemed taxable (resulting in an effective 1% tax on gross income)
Sales Tax
A 5% Value Added Tax with 50% of the final retail sales price being deemed value added (resulting in an effective 2.5% sales tax)
Land Value Tax
A 1% Land Value Tax on the fair market value of real estate (without considering improvements)
Personal Income Tax
A 10% Personal Income Tax with 50% of income being deemed taxable (resulting in an effective 5% tax on gross income)
Business Income Tax
A 10% Business Income Tax with 10% of income being deemed taxable (resulting in an effective 1% tax on gross income)
Sales Tax
A 5% Value Added Tax with 50% of the final retail sales price being deemed value added (resulting in an effective 2.5% sales tax)
Land Value Tax
A 1% Land Value Tax on the fair market value of real estate (without considering improvements)
The RIFC operates within a territorial tax system. There are no taxes on dividends, capital gains, excise taxes and there is a 100% exemption on import taxes and duties for any businesses operating in Próspera, without regard to its economic sector. Income derived from sources outside of Próspera are not subject to taxation, unless explicitly stated on the Próspera Tax Statute. Within Próspera there are only four taxes:
Personal Income Tax
A 10% Personal Income Tax with 50% of income being deemed taxable (resulting in an effective 5% tax on gross income)
Business Income Tax
A 10% Business Income Tax with 10% of income being deemed taxable (resulting in an effective 1% tax on gross income)
Sales Tax
A 5% Value Added Tax with 50% of the final retail sales price being deemed value added (resulting in an effective 2.5% sales tax)
Land Value Tax
A 1% Land Value Tax on the fair market value of real estate (without considering improvements)
Personal Income Tax
A 10% Personal Income Tax with 50% of income being deemed taxable (resulting in an effective 5% tax on gross income)
Business Income Tax
A 10% Business Income Tax with 10% of income being deemed taxable (resulting in an effective 1% tax on gross income)
Sales Tax
A 5% Value Added Tax with 50% of the final retail sales price being deemed value added (resulting in an effective 2.5% sales tax)
Land Value Tax
A 1% Land Value Tax on the fair market value of real estate (without considering improvements)
In exercise of its constitutional autonomy, Próspera has designed a world-class legal framework to support the growth of the RIFC. The three main laws under which financial services entities may operate within Próspera include the Industrial Regulation Statute, the Financial Responsibility Statute, and the Próspera Permit Resolution. Optimal regulations adopted under the Industrial Regulation Statute have established Próspera’s dedicated public regulatory authority known as the Roatán Financial Services Authority.
The Industrial Regulation Statute
A financial entity may elect to do business under the regulatory mandates of the national government, or a Best Practice Peer Country, as if its operations were being conducted within a designated location within such jurisdiction.
A financial entity may petition the Próspera Council for the recognition of Optimal Regulatory Practices, which may consist of either all or a combination of elements of the existing regulations of the national government or any Best Practice Peer Country (most OECD countries), or new and innovative regulations that are based on principles of regulatory best practices for governing the industry.
A financial entity may operate solely under the private law of the Roatán Common Law Code.
The Financial Responsibility Statute
Each resident of Próspera must obtain and maintain during such residency an insurance policy covering liability for any final arbitration award issued against the resident. Regulated industry persons, such as a financial entity, are also required to obtain and maintain a supplemental insurance policy or bonding covering liability for any final award issued against the regulated industry person. The policies also require periodic regulatory compliance audits and certifications. The policies may be obtained from a qualified insurance service provider or from an affiliate of the Próspera General Service Provider as insurer of last resort.
Próspera Permit Resolution
Próspera offers the issuance of permits to regulated industry persons. The permit, which for financial and insurance industry persons has a cost of US$200.00 and a one-year duration, has the legal effect of declaring and confirming that the permittee is subject to the exclusive regulatory jurisdiction of Próspera. The permit will cloth the permittee with intergovernmental immunity when the permittee is acting in compliance with the Industrial Regulation Statute and in good faith reliance upon the regulatory authority of Próspera within its boundaries.
RFSA Permitting and Licensing:
The RFSA offers the issuance of specialized permitting and licensing for financial service providers operating under Próspera Financial Regulation A and Próspera FinTech Regulation A. The RFSA offers an exceptional signal of quality and compliance for RIFC partners.
The Industrial Regulation Statute
A financial entity may elect to do business under the regulatory mandates of the national government, or a Best Practice Peer Country, as if its operations were being conducted within a designated location within such jurisdiction.
A financial entity may petition the Próspera Council for the recognition of Optimal Regulatory Practices, which may consist of either all or a combination of elements of the existing regulations of the national government or any Best Practice Peer Country (most OECD countries), or new and innovative regulations that are based on principles of regulatory best practices for governing the industry.
A financial entity may operate solely under the private law of the Roatán Common Law Code.
The Financial Responsibility Statute
Each resident of Próspera must obtain and maintain during such residency an insurance policy covering liability for any final arbitration award issued against the resident. Regulated industry persons, such as a financial entity, are also required to obtain and maintain a supplemental insurance policy or bonding covering liability for any final award issued against the regulated industry person. The policies also require periodic regulatory compliance audits and certifications. The policies may be obtained from a qualified insurance service provider or from an affiliate of the Próspera General Service Provider as insurer of last resort.
Próspera Permit Resolution
Próspera offers the issuance of permits to regulated industry persons. The permit, which for financial and insurance industry persons has a cost of US$200.00 and a one-year duration, has the legal effect of declaring and confirming that the permittee is subject to the exclusive regulatory jurisdiction of Próspera. The permit will cloth the permittee with intergovernmental immunity when the permittee is acting in compliance with the Industrial Regulation Statute and in good faith reliance upon the regulatory authority of Próspera within its boundaries.
RFSA Permitting and Licensing:
The RFSA offers the issuance of specialized permitting and licensing for financial service providers operating under Próspera Financial Regulation A and Próspera FinTech Regulation A. The RFSA offers an exceptional signal of quality and compliance for RIFC partners.
In exercise of its constitutional autonomy, Próspera has designed a world-class legal framework to support the growth of the RIFC. The three main laws under which financial services entities may operate within Próspera include the Industrial Regulation Statute, the Financial Responsibility Statute, and the Próspera Permit Resolution. Optimal regulations adopted under the Industrial Regulation Statute have established Próspera’s dedicated public regulatory authority known as the Roatán Financial Services Authority.
The Industrial Regulation Statute
A financial entity may elect to do business under the regulatory mandates of the national government, or a Best Practice Peer Country, as if its operations were being conducted within a designated location within such jurisdiction.
A financial entity may petition the Próspera Council for the recognition of Optimal Regulatory Practices, which may consist of either all or a combination of elements of the existing regulations of the national government or any Best Practice Peer Country (most OECD countries), or new and innovative regulations that are based on principles of regulatory best practices for governing the industry.
A financial entity may operate solely under the private law of the Roatán Common Law Code.
The Financial Responsibility Statute
Each resident of Próspera must obtain and maintain during such residency an insurance policy covering liability for any final arbitration award issued against the resident. Regulated industry persons, such as a financial entity, are also required to obtain and maintain a supplemental insurance policy or bonding covering liability for any final award issued against the regulated industry person. The policies also require periodic regulatory compliance audits and certifications. The policies may be obtained from a qualified insurance service provider or from an affiliate of the Próspera General Service Provider as insurer of last resort.
Próspera Permit Resolution
Próspera offers the issuance of permits to regulated industry persons. The permit, which for financial and insurance industry persons has a cost of US$200.00 and a one-year duration, has the legal effect of declaring and confirming that the permittee is subject to the exclusive regulatory jurisdiction of Próspera. The permit will cloth the permittee with intergovernmental immunity when the permittee is acting in compliance with the Industrial Regulation Statute and in good faith reliance upon the regulatory authority of Próspera within its boundaries.
RFSA Permitting and Licensing:
The RFSA offers the issuance of specialized permitting and licensing for financial service providers operating under Próspera Financial Regulation A and Próspera FinTech Regulation A. The RFSA offers an exceptional signal of quality and compliance for RIFC partners.
The Industrial Regulation Statute
A financial entity may elect to do business under the regulatory mandates of the national government, or a Best Practice Peer Country, as if its operations were being conducted within a designated location within such jurisdiction.
A financial entity may petition the Próspera Council for the recognition of Optimal Regulatory Practices, which may consist of either all or a combination of elements of the existing regulations of the national government or any Best Practice Peer Country (most OECD countries), or new and innovative regulations that are based on principles of regulatory best practices for governing the industry.
A financial entity may operate solely under the private law of the Roatán Common Law Code.
The Financial Responsibility Statute
Each resident of Próspera must obtain and maintain during such residency an insurance policy covering liability for any final arbitration award issued against the resident. Regulated industry persons, such as a financial entity, are also required to obtain and maintain a supplemental insurance policy or bonding covering liability for any final award issued against the regulated industry person. The policies also require periodic regulatory compliance audits and certifications. The policies may be obtained from a qualified insurance service provider or from an affiliate of the Próspera General Service Provider as insurer of last resort.
Próspera Permit Resolution
Próspera offers the issuance of permits to regulated industry persons. The permit, which for financial and insurance industry persons has a cost of US$200.00 and a one-year duration, has the legal effect of declaring and confirming that the permittee is subject to the exclusive regulatory jurisdiction of Próspera. The permit will cloth the permittee with intergovernmental immunity when the permittee is acting in compliance with the Industrial Regulation Statute and in good faith reliance upon the regulatory authority of Próspera within its boundaries.
RFSA Permitting and Licensing:
The RFSA offers the issuance of specialized permitting and licensing for financial service providers operating under Próspera Financial Regulation A and Próspera FinTech Regulation A. The RFSA offers an exceptional signal of quality and compliance for RIFC partners.
Financial entities that operate within the RIFC are bound by international treaties, the Honduran substantive criminal legislation, and the local norms of the RIFC concerning anti-money laundering (AML)/combating financing of terrorism (CFT) and know your customer (KYC) standards. A financial entity operating in accordance with the regulatory mandate of a Best Practice Peer Country must comply with the applicable AML/CFT and KYC of that country.
The Republic of Honduras is party to major international treaties regulating AML/CFT standards:
Financial entities that operate within the RIFC are bound by international treaties, the Honduran substantive criminal legislation, and the local norms of the RIFC concerning anti-money laundering (AML)/combating financing of terrorism (CFT) and know your customer (KYC) standards. A financial entity operating in accordance with the regulatory mandate of a Best Practice Peer Country must comply with the applicable AML/CFT and KYC of that country.
The Republic of Honduras is party to major international treaties regulating AML/CFT standards:
In recognition of the importance of dispute resolution for economic development, as well as the many benefits of alternative dispute resolution compared to litigation, the RIFC respects a legal framework grounded in default arbitration. The PAC offers high caliber arbitration services and advanced digital infrastructure and will soon offer modern physical facilities as well as a variety of related professional services. Its many benefits include:
Jurisdictional Authority
The seat of arbitration is Próspera, an autonomous, bilingual (English and Spanish) and common law-based jurisdiction in the Caribbean.
Expert Arbiters
Illustrious legal experts and practitioners who are predominantly from common law jurisdictions, including Australia, Europe, and the U.S. They have evidenced a life-long commitment to the Rule of Law.
Enforcement
Awards of the Próspera Arbitration Committee are enforceable internationally pursuant to the New York and Panama Conventions.
Digital-First Infrastructure
The genesis of the PAC in the digital age enables it to leap-frog outdated technologies as one of the most technologically advanced arbitration centers in the world.
The seat of arbitration is Próspera, an autonomous, bilingual (English and Spanish) and common law-based jurisdiction in the Caribbean.
The arbiters are illustrious legal experts and practitioners predominantly from common law jurisdictions, including Australia, Europe, and the U.S, who have evidenced their unwavering life-long commitment to the Rule of Law.
Awards of the PAC are enforceable internationally pursuant to the New York and Panama Conventions.
The genesis of the PAC in the digital age enables it to leap-frog outdated technologies to become one of the most technologically advanced arbitration centers in the world.
Jurisdictional Authority
The seat of arbitration is Próspera, an autonomous, bilingual (English and Spanish) and common law-based jurisdiction in the Caribbean.
Expert Arbiters
The arbiters are illustrious legal experts and practitioners predominantly from common law jurisdictions, including Australia, Europe, and the U.S, who have evidenced their unwavering life-long commitment to the Rule of Law.
Enforcement
Awards of the PAC are enforceable internationally pursuant to the New York and Panama Conventions.
Digital-First Infrastructure
The genesis of the PAC in the digital age enables it to leap-frog outdated technologies to become one of the most technologically advanced arbitration centers in the world.
Speak with a representative from the RIFC about your business’s objectives and goals. Forming a legal entity in Roatan is easy, secure, and designed to support new economic growth opportunities.