The Islands - Curacao

CURACAO FAST FACTS
Location:
The island of Curacao is located in the Southern Caribbean approximately 70 km North of Venezuela. In terms of proximity to the U.S.A, Curacao is situated around about 1,650 km South East of Miami, Florida.

Size:
Total area 444km squared. (171.4 sq miles)

Population:
138,000 (2006 census)

Capital City:
Willemstad.

Currency / Legal Tender:
The Netherlands Antillean Guilder (ANG) which is also sometimes referred to as a Florin (NAF) is the local currency. However, US dollars are widely accepted.
The Netherlands Antillean Guilder is pegged to the US Dollar @ USD $1 = ANG 1.79

Official Language:
Dutch is the official language of Curacao primarily due to the Dutch colonial administration. However, Dutch together with Papiamentu, Spanish and English are all widely spoken.
Papiamentu is Creole blend of Portugese, Spanish and Dutch and is the language spoken by natives of Curacao. It is worth noting that Spanish enjoys a larger speakership than Dutch.
English is the required business language and fluency in Papiamentu, Dutch or Spanish are not pre requisites for working in Curacao.

Websites:
www.curacao.com
www.experiencecuracao.com
www.liveincuracao.com

History
The original inhabitants of Curacao were Arawak Amerindians. In 1499, Curacao was discovered by a Spanish expedition party led by Alonso de Ojeda. The island was occupied by the Dutch in 1634. During the 18th and 19th centuries, the island changed hands several times between the Dutch, French and English. However, stable Dutch rule prevailed in 1815 following the Napoleonic wars.

Offshore Financial Centre History
The Netherlands Antilles has acted as an international offshore financial centre since 1939. During World War I in 1917, the United States introduced a law known as "The Trading With The Enemy Act" which set a precedent for the confiscation and / or freezing of assets. Similar laws also allowed countries at war to confiscate assets held by citizens of the enemy. In 1940, Nazi Germany invaded the Netherlands. Hence, transferring the legal domicile of a company to an offshore financial centre became highly desirable. Deeds were executed to transfer the statutory assets of several major international companies to the safe haven of Curacao in order to keep control of these Corporations and their non European assets out of the enemy's hands.

In the mid 1950's, the United States extended its 1948 tax treaty with the Netherlands to include the Netherland Antilles. This treaty created the opportunity for U.S Corporations to borrow in the Eurobond market through a Curacao based financial company. In 1955, the United Kingdom also extended its tax treaty with the Netherlands to include the Netherlands Antilles.

After the Berlin wall was built in 1961, a major European company decided to float a U.S $15 million dollar note from Curacao. The note was issued on what was later to become the Eurobond market. This represented the beginning of the role of Curacao based finance companies. As history has it, this particular issue did not materialize, however, all of the bankers in the billion dollar Eurobond market had accepted the prospectus.

In 1962, the United States renegotiated a tax treaty with the Netherlands Antilles which reinforced the tax treaty relationship and led to a dramatic increase in Eurobond financing via Curacao corporations.

Tax Free Salary
Curacao actually has a progressive tax regime for salary and wage earners. However, a special application can be made for expats to receive their salary and wages gross and therefore be exempt from local salary and wage taxes.

Foreign Property Ownership Restrictions
None.

Drive On
Right hand side of the road.

Immigration (Wok Permit)
Processing time can be up to 4 months. No temporary permit is available.

Immigration (Length Of Stay)
10 year rule, after which the expat will be subject to the local salary and wage tax regime.