Offshore Companies

Mattar Law Firm provides comprehensive guidance on forming offshore companies in Lebanon. These entities are suited to entrepreneurs and businesses whose activities are conducted outside Lebanon or within Lebanese Free Zones. A single shareholder may incorporate, and full foreign ownership is permitted throughout.

Legal Framework

Lebanese offshore companies are governed by Decree Law No. 46 (1943), as significantly amended by Law No. 19 of September 2008. The 2008 amendments expanded the range of permitted activities to include: administration of foreign companies, multi-sided trade operations, maritime shipping, foreign stock acquisitions, opening of branch offices abroad, and economic project investments.

Tax & Operational Advantages

• Annual tax obligation of approximately $600 USD equivalent — no corporate income tax
• Exemptions on stamp duties, inheritance taxes, and capital gains
• Foreign chairpersons residing outside Lebanon require no work permit
• Non-Lebanese employees are exempt from work permit requirements where the company's balance sheet exceeds $667,000
• Full banking secrecy protections
• Benefits under Lebanon's non-double taxation treaties (35+ countries)

Restrictions

Offshore companies cannot engage in banking or insurance operations, conduct domestic commercial activities generating profits inside Lebanon, or provide services to Lebanese-based companies (other than bank interest).