Princinpality of Liechtenstein is located in Central Europe and has a territory of 160 square kilometers. Liechtenstein borders Austria and Switzerland. The capital city of Liechtenstein is Vaduz, the location of key government institutions. Liechtenstein has a population of 38,4 thousand people.
Corporate taxation, VAT taxation, Personal taxation
- Corporate income tax - 12.5%. Tax returns are filed on an annual basis. Advance income tax payments are made on a quarterly basis
- Dividend withholding tax - 0%
- Interest withholding tax - 0%
- Royalties withholding tax - 0%
- Capital gains tax - 12.5% or 24%
- VAT - Standard tax rate 7.7% or reduced rates from 0% up to 3.7% or tax exempt. Tax returns are filed on a monthly, a quarterly or a biannual basis
- Personal income tax - from 2.8% up to 22.4%.
The following are the most common types of companies to incorporate a company in Liechtenstein as:
- Limited liability company (Gesellschaft mit beschränkter Haftung - GmbH)
- Public limited company (Aktiengesellschaft - AG)
- General partnership (Kollektivgesellschaft - KG)
- Limited partnership (Kommanditgesellschaft - KG)
- Partnership limited by shares (Kommanditgesellschaft auf Aktien)
- Cooperative company (Genossenschaft)
- Liechtenstein foundation (Stiftung)
- Establishment (Anstalt)
- European company (Societas Europaea)
- Branch office (Zweigniederlassung).
Official currency of Liechtenstein is Swiss franc (CHF).
Liechtenstein has a highly industrialized market economy export oriented economy that is based on services sector (financial services in particular), industry and to a lesser extent on agriculture. Liechtenstein participates in a customs union with Switzerland. More than 85% of its energy is imported.
In terms of foreign trade the largest exports of the country are small specialty machinery, electrical equipment, vehicle parts, dental products, processed food, and optical products.
Imports of Liechtenstein consist of energy, petroleum, oil, natural gas, electrical machinery and equipment, cars and vehicles, raw materials, consumer goods, medicaments, agricultural and forestry products, fishing products.
Primary trading partners of Liechtenstein are Germany, Austria, Italy, UK, Hungary, China and USA.
The GDP of Liechtenstein grew by 2% in 2021 and amounted to USD 6.2 billion. Tertiary sector makes up 54% of the GDP of the country, followed by industry sector at 41% and agriculture at 5%.