TOP REASONS TO INVEST IN CYPRUS

ACCESS TO MARKETS

  • Full access to European markets
  • Access to 40+ EU trade agreements
  • A member of the Eurozone since 2008
  • Geostrategic position
  • Proximity & easy access to major markets

ATTRACTIVE AND TRANSPARENT TAX REGIME

  • One of the lowest corporate tax rates in the EU at 12.5%
  • An attractive Double Tax Treaty network covering more than 60 countries
  • Access to all EU Tax Directives
  • Dividend income exemption based on relaxed conditions

EXCELLENT REGULATORY STRUCTURE

  • The legal system is closely aligned to the English common law legal system
  • Frequently updated to meet investors’ changing needs
  • Strong protection for investment & intellectual property (IP)
  • Establishing a business is simple and fast

LOW COST OF DOING BUSINESS

  • Lower labour costs for technical and professional talents than in other major EU capitals
  • Among the lowest office rental rates in Europe
  • Highly affordable critical business support services

ACCESS TO TALENT

  • The youngest population & workforce in the EU
  • 55% of the workforce has a tertiary degree
  • Businesses in Cyprus operate in English and 73% of Cypriots speak English
  • Booming private education sector with English taught programmes
  • Visa-free access to European talent
  • Easy access to global talent

HIGH QUALITY OF LIFE

  • One of the best climates worldwide
  • Top 5 safest country in the world (Value Penguin 2015)
  • Top 4 best retirement destination globally (Knight Frank 2016)
  • Most blue flag beaches per capita in the EU (Eurostat)
  • Best island economy 2017/2018 lifestyle & human capital (fDi magazine)

STRONG BUSINESS SUPPORT SERVICES

  • Wide range of services make starting & running a business easy
  • 700+ registered accounting firms including all major global firms
  • 2,700+ registered lawyers and 160 law firms
  • A range of serviced offices & co-working spaces
  • High availability of modern and affordable office space in all cities

POSITIVE ECONOMIC OUTLOOK

  • Robust GDP growth
  • One of the fastest growing EU economies
  • Consecutive upgrades by credit rating agencies
  • Positive macroeconomic forecasts

Tax Advantages

Advantages of a Cyprus Company Incorporation:

  • Profits of Cyprus companies who have their residence in Cyprus, are subject to a corporate tax rate of 12,5%, which is one of the lowest tax rate within the European Union (EU).
  • Incorporation of Cyprus company is possible with 100% foreign ownership with a minimum one shareholder and one director both of which may be other corporations or natural persons.
  • No withholding tax on dividends, interest and royalties declared by companies to non-resident/domiciled shareholders.
  • Dividends paid to a Cyprus company are exempt from corporate tax.
  • Tax exemption on gains from the disposal of shares and other securities.
  • Beneficial IP regime which covers an 80% exemption on profits from the exploitation or licensing and gains on disposal of Intellectual property
  • Full capital gains tax exemption on the transfer or sale of shares in a company, except where the company owns immovable property in Cyprus.
  • Benefit from Double Tax Treaties with more than 55 countries.
  • Unilateral relief from tax in Cyprus on amounts of tax paid or withheld abroad.
  • There is no Wealth Tax or Inheritance Tax

More information about the reasons to invest in Cyprus at: https://www.investcyprus.org.cy/

Mycyprus tax calculators
Cyprus Tax Department

Visit the MyCyprusTax for more information on how to submit you income tax form.

Visit the Cyprus Tax Department for more information on how to calculate your taxes.