No, if an offshore company earns foreign income from a business operation that is conducted entirely outside of the UK and has no UK source income, it may not be required to pay UK taxes on that income.
However, in general, if an offshore company carries on business or earns income in the UK, it may be required to pay UK taxes. They are required to pay Corporation Tax, Income Tax, Capital Gains Tax and VAT.
Corporation Tax rates are at 19% – 25%.
Income Tax rates can be up to 45%. Dividends are exempted, and no double taxation on dividends throughout the EU.
Capital Gains Tax (CGT) rates are from 18% – 28%, depending on the amount of your taxable income. Non-residents of UK offshore companies typically do not pay CGT with the exception of real estate in the UK.
VAT, or Value Added Tax is at a standard rate of 20% (some exceptions at 5%). Your offshore company has to register for VAT if its annual turnover is more than £85,000. Thereafter, you can reclaim input tax and collect VAT from your clients.