Countries for IT-business transfer from Russia: Top 4
If you are looking for a country for transferring IT business from Russia, you should pay attention to Estonia, Armenia, Singapore and Hong Kong. These countries are interested in digital technologies and create the most convenient conditions for business.
Moving IT business from Russia to Estonia is one of the best options. The country boasts an advanced business infrastructure, reliable cybersecurity, and economic freedom. Estonia offers great opportunities for the fintech industry and issues cryptocurrency licenses to work with the virtual currency.
Startups in Estonia
Estonia has good conditions for startup projects. Entrepreneurs can get a startup visa, allowing them to obtain a residence permit for 5 years. If you register as an individual entrepreneur, no share capital is required, and no governing bodies are needed. The regulator considers the application for one day, after which the applicant receives a decision by email.
Another advantage of Estonia is the e-Residency program. It allows foreigners to obtain a digital ID card that lets them use government services, including online banks and electronic portals. The program allows you to fully manage your business online, as 90% of services in Estonia are available remotely.
An important advantage of registering a company in Estonia is the local tax system. A company that uses its money, not from profits, may avoid paying income tax. There is also no tax on undistributed profits. It is removed when dividends are distributed to shareholders. This allows companies to receive income and immediately invest it in the development of the business without any charges.
The IT-industry is the most profitable and steadily developing sphere in Armenia. The digital sphere is supported by the state in every possible way and is in many ways supported. For example, IT employees are entitled to profit tax benefits. Another fact, which will interest those who were thinking of moving their IT business from Russia to Armenia, is that they have inexpensive qualified personnel, so it's easy to hire employees.
Taxes in Armenia
The startup market in Armenia is rapidly developing thanks to tax benefits. IT companies don't pay income taxes, and only 10% of their salaries is dedicated to necessary fees.
The government has made starting a business in Armenia as easy as possible to attract investors. As a result, there are more than 500 projects, which have succeeded and are expanding outside Armenia. For example, the PicsArt app was created here and is now used by millions of users.
Company registration in Singapore is fast and easy. The government offers startups various tax benefits. The company may not pay taxes if it operates outside of Singapore. If it cooperates, the tax on income is 17%, but it does not have to pay if the money is not deposited into local bank accounts.
Among the other advantages of the transfer of IT business from Russia to Singapore are the following:
- Stable political and economic situation;
- Signing a double taxation avoidance agreement with many countries;
- Lack of currency controls;
- Many government services are available online for non-resident;
- Documents can be submitted in English;
- Trust in Singapore banks by international entities.
Another plus for IT companies - Singapore issues cryptocurrency licenses. So if you work with virtual currency (dealing with transactions, issuing ICOs), you need to get a securities management license.) A Singapore license is trusted, and it opens many doors.
In Hong Kong, there is a huge interest in IT projects. Jurisdiction welcomes them in every way and gives favorable offers. The transfer of IT business from Russia to Hong Kong is beneficial for many reasons:
- High-speed Internet;
- A foreigner can fully own a Hong Kong company;
- Stable political and economic situation;
- A physical office is not needed;
- Developed business structure;
- Documents can be kept in English.
There is a low corruption level here, so a company in Hong Kong 2022 can be registered quickly and inexpensively. Fintech, e-commerce, information and technology sectors are in particular demand.
Where better to move an IT company from Russia
If you are looking for the most suitable country for your business, contact IT-OFFSHORE experts and we will help you.