Why Open a Company in Cyprus
Cyprus is considered to be one of the most attractive jurisdictions in Europe to form a limited liability company due to its advantageous tax system. As a full member of the EU, Cyprus offers you one of the lowest tax regimes in Europe of just 12.5%.
Cyprus is ideal for holding assets in Europe because it offers you the same benefits that a traditional offshore jurisdiction should offer. Additional benefits arise from the fact that there is full exemption from tax on dividend income, no withholding tax for dividends paid to non-residents and no capital gains tax.
Cyprus is an established international financial Centre with a wide network of Double Tax Treaties.
Furthermore, Cyprus’ tax system is in full compliance with EU requirements and also with the Organization for Economic Co-operation and Development (OECD) requirements against harmful tax practices. Thus, is an ideal place to lower your tax burden with no risk.
Cyprus company formation
Cyprus tax system main features:
- Corporation Tax Rate is 12,5%, amongst the lowest in the EU
- Foreign source income is tax exempt
- Profits on transactions in shares is tax exempt
- No withholding taxes on outbound dividends, interests and royalties
- No thin capitalization rules
- No exchange controls
- No capital gains tax (except on real estate located in Cyprus)
- Wide network of favourable tax treaties.
Simon Zenios & Co LLC can advise you about Company Registration in Cyprus.