Huge Tax Benefits For Cyprus Company
Contributed by E.R. Team Global Consultants
19 November, 2015
One good way to plan ahead for the future of your business is to be aware of the basics of a Cyprus Corporation. A Cyprus Company has a lot to offer. This is so especially to professionals who want to do business in a business-friendly jurisdiction like Cyprus.
Cyprus offers low taxes, simple procedures and low costs. It has an English legal system, friendly population, EU Company, excellent banking. It also offers fast communications and extensive air destination links.
Below you will find a list of the basic requirements for a Cyprus Company formation as well as a number of benefits it has to offer.
Constituents of Cyprus Company Formation
A Cyprus Company can be registered within 5 days once the name of the Company has been approved by the Cyprus Company Registrar.
The main constituents of Cyprus Company Formation are found below.
- One Director necessary
- One Shareholder necessary
- One Secretary necessary
- Capital of 1 Euro minimum. There is no maximum.
- A Registered Office Address in Cyprus
- A name approved by the Cyprus Company Registrar.
- Filing of memorandum and articles of association.
Tax Benefits of Cyprus Company
There are many tax benefits offered, especially for a Cyprus Holding Company, many which are listed below:
- Only 12.5% corporate tax paid on net revenues of a Cyprus Company!
- Zero tax on the dividends paid out to its non-resident shareholders.
- Only 2.5% taxes from revenues from intellectual property rights such as patents, trademarks, books, music, sports rights, films etc.
- No tax on dividends received from subsidiary companies all over the world.
- Tax exemptions on Capital gains on sale of immovable properties abroad.
- No contract stamp duties in many occasions.
- No tax paid on profits from permanent establishments abroad.
- No tax is paid on profits made by trading in its own shares or shares of other companies or other securities such a forex, bonds, debentures etc.
Services available for a Cyprus Company
As a Cyprus Company is an EU Company basically it is one of the most generally accepted IBCs globally. That is why it can have many services and bank accounts available some of which you can see below:
- Easy Bank Account opening.
- Nominee Directors
- Nominee Shareholders
- Registered Office Address
- Accounting and Audit Services
- VAT Services
- Tax Planning and Tax Rates
- Various Legal Services
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