Company structure in Cyprus
Starting a business in the EU with the formation of a company in Cyprus is one of the best alternatives for UK Nationals that would like to continue to cooperate with the European Union.
The local tax legislation along with the simplified procedures make the Cyprus Company a very attractive base to operate within Europe. Some of the benefits are:
Legal system structured and based on English Law as well as Cypriot Lawyers being trained in the UK
Outstanding Infrastructure for businesses with good telecommunications
Widespread use of the English language makes the island a very suitable and effective business base
Low cost infrastructure regarding a company s daily operation (utility bills etc)
Integration of UK and EU business
Low corporate tax rate 12,5% on profit
Dividend participation exemption
Exemption on disposal of securities (e.g. shares, bonds, debentures)
No withholding taxes on dividend, interest and royalty payments abroad
No capital gains tax (except for disposal of real estate in Cyprus or shares of company holding real estate in Cyprus to the extent gains is attributable to the real estate holding)
Tonnage tax for shipping companies
Notional interest deduction for investments into Cyprus companies
Personal tax exemptions for new residents and non-domiciled individual
More than 60 double tax treaties