Cyprus, the “Island of Aphrodite” is fast becoming a hotspot for international business. Cyprus today has undergone radical transformations. Cyprus has become an international business centre and emerged as an island nation with high standard of living. The island is the perfect place for pleasure, business and tourism as well as glamour and style.
Business In Cyprus:
Cyprus is a fantastic location with advanced infrastructure and lifestyle of the highest quality. But these are only a couple of the significant reasons for people to make the move to Cyprus. There is also the benefit of a fast-growing economy that can help boost financial growth for the country and investors.
Many investors have already discovered the available opportunities in Cyprus and the ideal pathway the country provides to the EU. Modern infrastructure and continuously improving transportation links, also make it suitable for those who need to travel.
Business in Cyprus has been built up over the years through a reliable framework of English Common Law principles. This has yielded an ideal offering to business across the ocean to embark in Cyprus. Those who have done so; have profited greatly from locals with skill sets, education and a strong work ethic.
The government of Cyprus is forecasting significant growth of its economy in the next few years, partly due to the licensing of luxury casino resort and more significantly, extraction and trade in oil and gas. Cyprus is also one of the leaders in third-party ship management with one of the largest fleets in the EU and boasts one of the largest merchant fleets in the world.
Tax in Cyprus
Cyprus offers an attractive, transparent and favourable tax regime fully compliant with EU regulations. The country provides access to over 60 double tax treaties and maintains a corporate tax rate of 12,5%, one of the lowest in the EU.
Tax incentives for companies and individuals:
- No tax on dividend and interest for non-domiciled individuals.
- Exception on disposal of securities.
- 50% exemption on income from employment in Cyprus of a person who was not previously a tax resident in Cyprus. The exception applies for ten years, provided that the income from employment in Cyprus exceeds Euro 100,000 p.a.;
- The first Euro 19,500 of personal income is tax free, and the tax rate is scaled from 20% to 35%;
- Lump sum received as retirement gratuity is not taxable.
- There is no estate duty, wealth, gift or inheritance tax;
- Exception of tax on capital gains arising from the disposal of overseas immovable property.
- 80% exemption from tax on profits arising from exploitation and disposal of intellectual property.
- Remuneration from rendering services outside Cyprus to a non-resident employer or an overseas permanent establishment of a resident employer for more than 90 days in a tax year is fully except from tax in Cyprus
- Favorable tax regime compared to other EU countries with more than 68 tax treaties
- 60 days rule for tax residency and non-domicile individuals’ concept
More information about the reasons to invest in Cyprus at: https://www.investcyprus.org.cy/