The annual renewal fees are the government and professional fees that You (that is, your IBC) will have to pay every year in order to maintain the company in continued existence. These costs are usually fixed. They are known and can be quoted in advance. The annual renewal fees essentially replace the taxes and some of the administration costs that would normally be payable by any regular “domestic” company. Obviously, the total maintenance costs for an offshore company are usually much less than for a business company based in any high-tax country.