Mongolia Ship Registration
Mongolia is a member of the International Maritime Organization (IMO) and adheres to its conventions and protocols.
Registering a ship under the Mongolia flag offers benefits including: (a) low registration and tonnage tax costs, (b) a flexible regulatory environment, and (c) no restrictions on ship ownership or crew nationality. Mongolia is currently on the Black List of the Paris MoU, indicating higher safety and compliance risks.
Facts & Info about: Mongolia Ship Registration
- Ownership: Ships can be owned by both Mongolian and foreign individuals or companies.
- Company Formation: The owning company can be registered in Mongolia or elsewhere.
- Directorship: There are no specific requirements for directors to be Mongolian residents.
- Resident Agent: Not required.
- Office Address: The company does not need to have a registered office in Mongolia.
- Annual Maintenance: Annual tonnage tax and maintenance fees must be paid.
- Inspections: Regular safety and compliance inspections are mandatory.
- Financial Statements: Not explicitly required.
- Tonnage Tax System:Tax is based on the ship's net tonnage rather than its profits.
- Income Exemptions: No tax on profits from the operation or management of a Mongolia-registered vessel.
- Capital Gains: No capital gains tax on the sale or transfer of a Mongolia-registered vessel or the shares of a shipping company.
- Registration Process: The registration process is typically swift, taking a few days.
- Maritime Law: Governs the registration, sales, and mortgages of ships in Mongolia.
- Tonnage Tax Law: Regulates the taxation system based on tonnage rather than profits.
- Flag State Control: Mongolia is working towards improving its compliance with international maritime regulations.
- Reputation: Mongolia is currently on the Black List of the Tokyo MoU.
- Support Services: Mongolia offers maritime services including management, legal, and logistical support.
- Strategic Location: Mongolia’s favorable regulatory environment offers advantages for global shipping operations.