Starting a company in Cyprus
If you already have a holding and trading company that you would like to make sure that you pay less tax, you should seek advice on setting up a holding company in Cyprus.
If you are only in the planning phase of starting a business, then read through the advantages of a Cyprus company in peace.
Why Cyprus in particular?
The Republic of Cyprus has been a member of the EU since May 2004.
Since then, Cyprus has become one of the most interesting locations for international business.
More and more smart entrepreneurs are starting a company in Cyprus. No wonder, since Cyprus offers considerable tax advantages in addition to relatively low living costs and many benefits for international companies.
This island is strategically located in the eastern Mediterranean, at the crossroads of three continents – economically important points can be reached quickly by plane. The climate is pleasant, the winters are mild and the summer temperatures last for a very long time.
For business owners, both the excellent infrastructure and the banking system with few restrictions for foreign currencies are of interest.
Cyprus’s International Business Companies benefit from almost unbeatable financial benefits.
The International Business Company in Cyprus – important information
Like other countries, Cyprus cannot be described as a typical tax haven. It also makes no sense to set up a letterbox company in Cyprus. Invoices from such Cypriot companies are often questioned and sometimes not accepted.
As a member of the United Nations, the Commonwealth and the Council of Europe, Cyprus offers an interesting tax system and double taxation treaties and therefore relevant tax benefits.
In summary, Cyprus has an excellent location and a remarkable status. The low taxes (maximum 12.5%) on profits are a decisive advantage of an International Business Company in Cyprus.
The double taxation agreements and the professional services provided by banks meanwhile benefit a great many entrepreneurs, why not you too?
Cyprus has concluded many tax treaties which ensure that double taxation is avoided. If a company is internationally active and has its registered office in Cyprus, it pays a maximum of 12.5% tax.
Ask us for the current list of countries with which Cyprus has a double taxation agreement, without obligation!
Here are the advantages of a Cyprus company (holding company in Cyprus):
- The foundation of the Cyprus company is also possible anonymously, we provide you with a shareholder or director on a fiduciary basis.
- Between 0%, 2.5% and 12.5% Taxes
- As a pure holding company, a limited company in Cyprus is tax-free
- Employees who are non-EU nationals and work in Cyprus only have to pay half the income tax, no transitional periods.
- Company accounts (any currency) can be kept in Cyprus, but also abroad
- It is founded by a renowned Cypriot law firms, which work very professionally on an international level – indemnity against liability
Company foundation in Cyprus
It would now have to be clarified how a holding company operates in Cyprus.
There are two possibilities:
Outside Cyprus as a permanent establishment/branch. In this case, the law of the country in which the company is domiciled, i. e. Cyprus, shall apply.
Outside Cyprus as a representative office/branch office (independent). In this case, there is no taxation outside Cyprus.
This means that the benefits will only come into effect when you have an established company directly in Cyprus.
The management activities have to take place in Cyprus, the solution with a “local director” is highly recommended.
The local director, whom zypern-firma. com can place for you, is the contact person for the local authorities. He submits the annual report. The director is responsible for ensuring that everything in the company complies with the regulations. It also carries out the tasks specified by the Executive Board. At this point, we would like to point out that the Director acts exclusively in accordance with the instructions of the beneficial owner and carries out the agreed tasks with care. In most cases, only the owners have access to the bank accounts.
Found a Cyprus company
Account opening including netbanking and credit card
Partnerships are exempt from tax (complete)
No dividend tax deductions
Capital gains taxes are waived (except for the sale of real estate in Cyprus)
Do you have any questions? Simply call us at the fixed network domestic rate:
Liechtenstein: +423 399 03 32
Zypern: +357 220 30067
Switzerland: +41 41 508 7579
EU: +43 720 902 189
UK: +44 203 7733327
We speak English and German
or send us an e-mail to [email protected]
relieves you of a decisive burden: namely the decision for the right bank, with which you open an anonymous account. There are many banks and a lot of offers, but which bank can you trust?
Cyprus-company. com? offers a selection of trusted banks, which already exist for a long time, have a corresponding size and a very good reputation. The banks we work with have a professional approach. Your expectations can be high, they will be fulfilled! Nevertheless, prices remain fair.
Normally, a Cypriot bank requires not only a so-called “approved introducer” (checked person) but also the deposit of a higher sum when setting up an anonymous account. However, as a customer of zypern-firma. com you can benefit from our connections and do not have to deposit anything, just pay the fees for the bank services. You do not have to travel personally.
Both commercial and private customers can use our service.
Anonymous bank account as a private individual
However, private individuals must observe the following:
If you have such a bank account, even if you are in your home country, you must inform the tax authorities. This is connected with taxes.
Foundation of an International Business Company (IBC).
If you use the account on behalf of the Company, you will not violate the laws of your home country.
An example of a professional solution:
Company in Cyprus including bank account in Cyprus, with Netbanking and also with Mastercard.
The advantages for you:
the bank respects your privacy, banking secrecy is respected
the account is anonymous, there is no obligation to provide information
the account is easy to manage, incl. Netbanking
Membership of SWIFT and SEPA
from an international point of view, a bank account in Cyprus is always advantageous
The Cypriot bank account can be opened in all possible currencies, whether €, US$, GBP, GBP, etc.
Interest on amounts held in Cyprus is tax-exempt.
Office service for your Cyprus company
We at zypern-firma. com do not only offer the establishment of companies in Cyprus, but we are also happy to take over the further support. In addition to consulting for lawyers, tax advisors, etc., you can also choose an office service that perfectly rounds off your representative office in Cyprus.
Of course, the post office should be opened at your Cyprus company, telephone calls should be answered and forwarded or messages should be passed on to you. A regular office “maintenance” is necessary so that your Cyprus company lives accordingly.
You can use various options for the office service:
Postal service (your mail will be received, opened, scanned and sent to you by e-mail, if desired also by mail the originals)
Telephone service (calls from your prospective customers, customers, partners etc. will be answered. A message and a callback number will be sent to you – either by mail or SMS)
Telephone service + (Calls from your prospects, customers, partners etc. will be answered. The call will be made directly to you or to one of your partners, co-workers,…. (according to a list of contact persons specified by you).
The calls are answered in your company name, the caller does not notice that it is an office service. You can be sure that during business hours the phone is busy. After all, no call should remain unanswered.
Office service can do even more…
In addition to postal and telephone services, we also offer other special features for our clients:
Seminar and meeting rooms in various countries of the world
fully equipped offices / workstations can be rented on a daily basis (also with high-speed internet, equipment for video conferences and more)
Translation services, on request also in the office service Multilingualism
Our service office is always available to answer your questions or make an appointment.
Cyprus limited – Cyprus ltd – Taxes in Cyprus – Bank account Cyprus