Businesses and residents will now be charged 10% corporate tax and 5% individual income tax in Mount Vema according to a new policy introduced by the government this week. The policy also includes a new rule on pension which is now taxed at 5% with immediate effect.
The decision was made last week by the Government, to clarify on any misconception, that the Kingdom of Mount Vema will be an offshore tax haven. His Mount Vema Majesty’s government wanted to reasure government bond investors and partners that it runs the territory in accordance with internationally recognised principles of good governance.
The Kingdom of Mount Vema will have much lower taxes in comparison to other countries, but it will not be a tax-free territory, in addition to income, all residents will pay tax in the form of VAT on all goods and services plus ISN contributions. Furthermore, corporations will face a tax on profits – unless they can demonstrate that their turnover is generated outside of the confines of His Mount Vema Majesty’s realm.
According to the new pension rule, the Mount Vema State Pension will be based on ISN contribution record. From April 2, 2019 you will need 10 years of ISN contributions to be eligible for the Mount Vema State Pension.
Mount Vema Retirement and Pension
Within the Mount Vema society, a person may retire at whatever age they please. However, based on the old-age pension rules of the Kingdom of Mount Vema 65 is the retirement age. The point where a person stops employment completely.
What You Will Get
The full Mount Vema State Pension is currently 120.15 golles per week. The actual amount you get depends on the record of your ISN contributions. The amount according to the new pension rule can be higher if you have over a certain amount of Additional State Pension or if you defer (delay) taking your State Pension.
If you have other income like a personal pension or a workplace pension, you can still get a State Pension, which is paid every 4 weeks into an account of your choice. You’re paid in arrears for the last 4 weeks.
You will not get your new State Pension automatically, as you have to claim it. You should get a letter no later than 2 months before you reach State Pension age, telling you what to do. If you do not get an invitation letter, you can still make a claim, online, over the phone (note: you must register your telephone number online before you call) or in Person (at the nearest consular office of the Kingdom of Mount Vema) if you are based outside Mount Vema.
You’ll get a proportion of the new State Pension if you have between 10 and 35 qualifying years. For example if you have 20 qualifying years on your ISN, you will need to divide 120.15 by 35 and then multiply by 20.
The State Pension will increase each year by earnings – the average percentage growth in wages (within the economy of Mount Vema) or by prices – the percentage growth in prices in Mount Vema as measured or to be measured by the Consumer Prices Index (CPI) 2.00%
If you cannot work, you may get ISN credits - for example because of illness or disability, or if you’re a carer or you’re unemployed. For example, you can get ISN credits if you claim other types of state benefits and allowances. You might also be able to pay voluntary ISN contributions if you want to increase your State Pension amount or if you have never paid into the system. You might also be able to inherit an extra payment on top of your State Pension if you’re widowed, but you will not be able to inherit anything if you remarry or form a civil partnership.
What is the ISN (Internal Security Number)
The Mount Vema ISN (Internal Security Number), is a unique number issued to everyone working within the jurisdiction of the Kingdom of Mount Vema, paid out of the financial system of His Mount Vema Majesty's realm.
Temporary numbers T-ISNs, and permanent ISNs are issued to enable people to keep the same one all their lives. The system makes sure that what people pay, when paid out of the Mount Vema financial system is properly recorded against their name, by HMVM Revenue Services.
Every Internal Security number is different, and was made shorter this year. Now made up of letters and fewer numbers like this: T-ISN or ISN10-000-000-MV. The Internal Security number will never change even if the person leaves the Mount Vema employment system, goes abroad, marry, register as a civil partner, change name, etc, except when the number is issued temporarily (T-ISN) for people who employment with Mount Vema corporations will not require them to relocate to the Kingdom of Mount Vema in the future.
Who uses the Internal Security Number?
A person will have to give his or her Internal Security Number to: HMVM Revenue Services (His Mount Vema Majesty’s Revenue Services), the employer, the Mount Vema Department in charge of pensions, the legal aid services, the state benefits services for Mount Citizens overseas, and other international services including health insurance, education and professional training. Internal Security contributions are deducted from wages by employers.
When to apply for an Internal Security number - ISN.
If you have been offered employment in Mount Vema, you must apply for a Mount Vema ISN (Internal Security Number), by filling out the relevant form and submit. Just like a Mount Vema bank account which you cannot work until you have one, you cannot work until your ISN number have been issued.
A 5% duty on all property transactions off-plan was introduced by the Government today as a temporary policy to raise more than 10 billion golles in foreign exchange within a period of five years to help finance the construction of the City of Mount Vema infrastructures.
When it comes to raising long term capital, the Government never seems to run out of options. The more the entities of the Kingdom of Mount Vema come of age, the more the government’s pocket get deeper with the ability to raise finances for just about any project it wishes to fund. This weekend the Treasury has decided to look for revenues in one of the fastest growing business within the Mount Vema economy, the Off-Plan Property Market.
The value of all City of Mount Vema Off-Plan real estate is 1.6 trillion golles (about $2 trillion US dollars) according to estimates released last year by the Royal Mount Vema Reserve Bank based on the number of properties to be built and its current value.
The overall cumulative value of all residential and commercial off-plan real estate, and estimated gains are calculated by measuring the difference between the estimated cumulative real estate off-plan values as of the end of 2020 and anticipated cumulative real estate values at the end of 2025.
The Mount Vema property market is building on positive momentum that has begun with off-plan sale (people buying and selling off-plan assets almost on daily bases for profit). The demand comes after news that the Mount Vema government will aim to maintain sales of off-plan assets to no more than 10% of all development units. The rest are reserved to let, or to be used to raise funds to meet liquidity needs to maintain a sustainable supply and a healthier market that could result in annual appreciation of between 3 percent and 5 percent. That makes the Mount Vema off-plan market a growing business.
Current rates and the growing economy is helping bring buyers into the off-plan property market, boosting demand and driving prices up, according to a report from the Ministry of National Development and Land Maintenance. Mount Vema real estate although off-plan, is already highly valuable. The 1.6 trillion golles total value of the Kingdom of Mount Vema entire projected property stock and the Vema Seamount territory itself is more than the combined gross domestic products (GDP) of some well-developed countries.
The temporary 5% stamp duty introduced will be made permanent in 2025 not as Duty on Off-Plan, but as Stamp Duty on Property Transactions. It will remain on the statute book from 2025 although it will be substantially altered, which may include loans to be secured against real estate, according to sources familiar with the development plans.
The treasury could have used other options to raise capital including currency swaps, considering that large parts of the City of Mount Vema will be built outside Mount Vema. Another option would be, with its marine life alone, the territory is an asset that represents a value that can be converted into cash as collateral at any time to enable His Mount Vema Majesty’s Government to raise finance to pay for the country’s obligations at any time. But the government makes very little use of this option as it forms part of His Mount Vema Majesty’s Reserves and requires the approval of the Sovereign – The Vema Seamount Authority, who is not likely to grant his Royal Seal Approval when funds can be raised elsewhere.
Off-Plan Stamp Duty - How and when to pay
You must pay the tax within 14 days of completion to ‘HMVM Revenue Services’. If you have a solicitor, agent or conveyancer, they’ll usually file your return and pay the tax on your behalf on the day of completion and add the amount to their fees.
His Mount Vema Majesty’s Government has confirmed this weekend that Mount Vema will go ahead with plans to build food processing factories and distribution centers from April this year to support the country’s estimated USD$500,000,000 a year fisheries industry.
The factories will process both captured and aquaculture fish from Mount Vema and then pack and distribute it for consumption worldwide as frozen fish, fish sausage, canned fish, crispy fish, frozen steak, and frozen fillets.
The plan was first unveiled in 2013 when Mount Vema expressed intention to set up its logistics center in the United Kingdom of Great Britain, but the plan was later shelved because more work was needed. This year it all seems ready to go after the government confirmed that Mount Vema is ready, but no word yet which country the government is planning to establish its multimillion dollars logistics center.
People familiar with the plans knew about this since late last year when as part of a new plan to make sure the project pays for itself, Peter Goldishman – The Vema Seamount Authority authorised the Mount Vema fishing industry to initiate commercial fishing activities at the same time as the scientific and construction sector, although works on precast concrete is only concentrated outside Mount Vema for now.
The Mount Vema fishing industry alone can generate more than 400 million golles in foreign exchange annually for His Mount Vema Majesty’s Treasury, but because the annual target will be less than the figures planned for 2025 onwards, the government expects to generate a comfortable USD $500,000,000 figure per year before 2025.
In 2013, the fisheries sector was planned first for 2014, but it was cautioned by the Vema Seamount Authority who was at the time reluctant to engage in commercial fishing activity over Vema Seamount, as he was more interested in good management of fisheries as essential to meet international obligations in terms of food supply at a later stage. Now although some trade negotiations still need to take place, The Vema Seamount Authority feels the time is right to start.
The fishing revenues will be used to fund the City of Mount Vema project starting with the breakwaters, and the Port of Mount Vema. However, from 2025 His Mount Vema Majesty’s plans to join the list of top fish exporting countries as part of a long-term plan to help combat hunger with fish and fishery products. The territory plans to reach and maintain annual targets of 200,000+ tons by 2025, to generate more than 400 million golles of fish stocks from both capture and aquaculture.
Back in 2014, the Vema Seamount Authority concerns were justified due to a report that fish trade was not only helping poor countries shore up their food security situation but was also increasing international demand that was at times resulting in excessive fishing pressure, leading to the over-fishing and wasteful use of stocks.
The Vema Seamount Authority aim was always from the creation of the Kingdom of Mount Vema, to ensure that demand must always be balanced with sustainable management. Today’s confirmation of plans for the food processing factories is an indication that the Vema Seamount Territory is ready.
The ‘Settlement (Vema Seamount Settled Land Act) Mount Vema 2019’, has come into operation today, as Order No.20 SI/MV2019/20, in accordance with the 2006 Declaration of Sovereignty, after receiving the Royal Mount Vema Seal of Approval on the 21st of January 2019.
The legislation is an Act relating to power to grant land for public and charitable purposes, powers of tenants for life, power for tenant for life to enter into contracts, powers of sale and exchange, regulations related to rents of land for building, and fishing, and matters relating to general settlement in the Kingdom of Mount Vema – The Vema Seamount Territory.
The Act also defines what is settled land and what constitutes a settlement within the Vema Seamount Territorial Waters, including a deed, will, agreement for a settlement or other agreement, as well as the duration of settlements and any limitation, charge, or power of charging under the settlement.
Order No.19 SI/MV2019/19, Law of Property (Vema Seamount) Act, Mount Vema 2019 came into operation to make provisions related to conveyancing and the law of property in the Kingdom of Mount Vema.
The legislation defines “land” within the Vema Seamount Territorial waters as a unit (body of water) which is allocated by a postal code for administrative purposes within a district zone. Including any terminal, floating structure or other works within a harbor at which ships can obtain shelter or ship and unship goods or passengers in the Kingdom of Mount Vema national waters, including anything afloat (other than a ship) if it is anchored or attached to the sea bed or any such waters in accordance with subsections 130B.3(a) and 131.5 of the Merchant Marine and Shipping Act, Mount Vema 2017.
The Act also includes provisions related to legal rentcharge, freeholds, leaseholds, bankruptcy, conveyance, wills, legal estates, equitable interests, legal powers include the powers vested in a chargee by way of legal mortgage or in an estate owner under which a legal estate can be transferred or created.
Although the currency of Mount Vema is a nonconvertible currency, used primarily for internal/domestic transactions and not openly traded on a world forex market, other than the Gollexi. The Bank of Mount Vema announced today that the financial system of the Kingdom of Mount Vema is ready to support processing of Golle-payments in 130+ currencies.
The announcement was also an indication of the Government’s plan to keep the Mount Vema currency mostly as nonconvertible, as part of the evolutionary process of the Kingdom of Mount Vema and, to maintain a protection to the financial system that could be susceptible to sharp movements in the economy at this stage.
Currently, the Mount Vema currency can only be converted into a selected number of leading currencies by any individual or organization with a Mount Vema bank account, a GolleCard account or from authorized and regulated foreign exchange agents. When converting currency through your Mount Vema bank account, you need to check first which currencies are convertible.
The Mount Vema financial system now supports processing Golle-payments in 130+ currencies, allowing Mount Vema bank account holders to receive payments or businesses to charge customers in their native currency while receiving funds in golles. This is especially helpful if a business has a global presence, as charging in a customer’s native currency can increase sales.
From your Mount Vema bank account, or if you use a Mount Vema credit card, debit card or GolleCard, you need to know which currencies you can use to transfer funds out of your Mount Vema bank account, or for making charges in foreign currency. Some currencies can be converted at any time like the U.S. Dollar, the Australian Dollar, the Brazilian Real, the British Pound Sterling, Canadian Dollar, the Danish Krone, the Euro, Hong Kong Dollar, the Japanese Yen, the New Zealand Dollar, the Norwegian Krone, the Polish Zloty, the Singapore Dollar, the Swedish Krona, and the Swiss Franc, but other currencies may be added to the system only from time to time.
The Powers of Attorney (Vema Seamount) Act, Mount Vema 2019 has come into operations today as Order No.18 SI/MV2019/18 just hours after the Royal Mount Vema Seal of Approval was granted. Made: 17th of December 2018, in accordance with the Vema Seamount Declaration of Sovereignty.
The Act was introduced to pave the way for the Mount Vema Law of Property to be introduced this month, and to make provision in relation to powers of attorney and the delegation by trustees of their trusts, powers and discretions in the Kingdom of Mount Vema.
The legislation includes execution of powers of attorney, proof of instruments creating powers of attorney, powers of attorney given as security, protection where power of attorney is revoked, and protection for transferees under stock exchange transactions.
You don’t need UN membership to be a sovereign nation. But you need the UN to get a few things moving, especially if you are a newly established territorial entity. The Vema Seamount Authority has reached out to the United Nations today to start the process that would lead to a formal invitation as an Observer territory to make it easier for the Kingdom of Mount Vema to have its own ISO country code.
The ISO standard is a broadly accepted list of country-codes intended for many uses, especially now as the evolution of the Vema Seamount Territory enters a new stage, as registered today when Peter Goldishamn – The Vema Seamount Authority, begun the process to make the 'Vema Seamount Territory' an Observer Member of the UN.
“Although below sea level, Vema Seamount and its adjacent waters is a unique territory, which should have a representation at the UN, at least as an Observer status afforded to observer member states, international organizations and entities whose statehood or sovereignty is not precisely defined.” This was the message sent by the Monarch to UN according to the Mount Vema public record data made available today.
The criteria for admission of new members to the UN are set out in Chapter II, Article 4 of the UN Charter: 1. Membership in the United Nations is open to all peace-loving states which accept the obligations contained in the present Charter and, in the judgement of the Organization, are able and willing to carry out these obligations.
Section 1, looks alright for the Vema Seamount Territory, but the problem would be section 2, where it says: The admission of any such state to membership in the United Nations will be effected by a decision of the General Assembly upon the recommendation of the Security Council.
That is where the problem is. Although it is obvious that Mount Vema is not a security risk to anyone as a territory, but because a recommendation for admission from the Security Council requires affirmative votes from at least nine of the council's fifteen members, with none of the five permanent members able to use their veto power, which then needs the Security Council's recommendation that must be approved in the General Assembly by a two-thirds majority vote, Mount Vema will need to work hard to make as many friends as possible to get there, so maybe a full UN membership at present is not a good idea, but as an observer it could work.
In principle, only sovereign states can become UN members, and currently all UN members are sovereign states. Although five members were not sovereign when they joined the UN, all subsequently became fully independent between 1946 and 1991. Because a state can only be admitted to membership in the UN by the approval of the Security Council and the General Assembly, a number of states that are considered sovereign according to the Montevideo Convention are not members of the UN. This is because the UN does not consider them to possess sovereignty, mainly due to the lack of international recognition or due to opposition from one of the permanent members.
In addition to the member states, the UN also invites non-member states to become observers at the UN General Assembly (currently two: the Holy See and Palestine), allowing them to participate and speak in General Assembly meetings, but not vote. Observers are generally intergovernmental organizations and international organizations and entities whose statehood or sovereignty is not precisely defined.
The Reciprocal Enforcement (Foreign Judgments) Act, Mount Vema 2018 comes into operation today after receiving the Royal Mount Vema Seal of Approval. The Act is the 17th legislation to enter the statutory books of the Vema Seamount Territory to be followed by thousands of legislations still to come into force.
The Reciprocal Enforcement (Foreign Judgments) legislation of Mount Vema, is an Act to make provision for the enforcement in the Kingdom of Mount Vema of judgments given in foreign countries which accord reciprocal treatment to judgments given in the Kingdom of Mount Vema, for facilitating the enforcement in foreign countries of judgments given in the Kingdom of Mount Vema, and for other purposes in connection with related matters.
The act includes power to extend to foreign countries giving reciprocal treatment, application for, and effect of, registration of foreign judgments, rules of court, cases in which registered judgments must, or may, be set aside, especially when a defendant in the original proceedings, was a person who under the rules of public international law was entitled to immunity from the jurisdiction of the courts of the country of the original court and did not submit to the jurisdiction of that court.
The Foundation Infrastructure legislation of Mount Vema made on 4th of December, in accordance with the Vema Seamount Declaration of Sovereignty 2006, comes into operation today after receiving the Royal Mount Vema Seal of Approval granted last week Friday, on the 7th of December 2018.
The Foundation Infrastructure legislation makes provisions for the City of Mount Vema foundation infrastructure projects, the administration of breakwaters and pavements including roadways, streets and docklands. The provisions will pave the way for housing and future regeneration, and to enable building regulations and for connected purposes.
The legislation which became law of the territory today says that the Secretary of State - The Secretary for the Vema Seamount Territory may by order in accordance with the Foundation Infrastructure Act, Mount Vema 2018 appoint one or more companies as a breakwaters and pavements authority.
The legislation was not just introduced as a mechanism to create and appoint a breakwaters and pavements company, but also as the law to regulate the financing of projects related to breakwaters and pavements including roadways, streets and docklands.
The Secretary of State may provide financial assistance to a strategic breakwaters and pavements company, for the purpose of any of its functions, or to any other person, for the promotion or improvement of transport services by road in Mount Vema.
Financial assistance may be provided in such form and on such terms as the Secretary of State considers appropriate, and includes in particular grants, loans, and guarantees. In the case of a grant or a loan, it includes terms as to repayment, and in the case of a guarantee, it includes terms as to reimbursement.