Resident vs Non-Resident (Offshore)

Our team of experts will assist and advise you to decide either for Cyprus Resident or Non-Resident (Offshore)  International Business Company which satisfies your business requirements.

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Basis of taxation

A company incorporated in Cyprus is considered to be a tax resident of Cyprus if it is managed and controlled from Cyprus. A company to be managed and controlled from Cyprus is expected to have the majority of directors residing in Cyprus and holding Board Meetings in Cyprus.

Corporation tax

A company which is tax resident in Cyprus is taxed on worldwide income at the rate of 12.5% which is one of the lowest in Europe.

Dividends distributed

Dividends distributed to non-resident shareholders of Cyprus Companies are not subject to any withholding taxes in Cyprus.

Interest paid

Interest paid to creditors who are non-resident of Cyprus are not subject to withholding taxes in Cyprus.

Double Tax Treaties

Cyprus has concluded tax treaties with more than 53 countries worldwide. Apart from that a Cyprus company being an EU-based entity, is entitled to the benefits of the EU Parent-Subsidiary directive and the EU Interest and Royalty directives providing for withholding tax exemption for interest, dividends and royalty payments made by companies in other EU-member states to a Cyprus company.