Cyprus has established itself as a prominent hub for business
With investment opportunities in all sectors of the island’s economy, Cyprus has established itself as a prominent hub for business.
As a result of its strategic location, the island’s high quality of life attracts investors not only to relocate and live on the island, but also to establish or relocate businesses.
As Cyprus, with its excellent investment platform outside the EU and its strategic location at a crossroads between Europe, Africa, and Asia, is an excellent gateway into the EU. The eurozone member state offers safe and reliable investing opportunities to the 450 million EU citizens.
With 2 new international airports based in Paphos and Larnaca, the infrastructure of Cyprus suits business people who have to constantly be on the move because of its extensive network of highways, roads, and port facilities.
Cyprus offers easy travel within the country and to the rest of Europe with immediate access.
Furthermore, Cyprus offers a variety of high-quality financial services supported by highly skilled professionals in a dynamic business center by multilingual and highly educated professionals.
Due to its productive labor force, business-friendly environment, and good free-market governance, Cyprus has the perfect ingredients for its economy to remain strong and healthy.
Legal and tax regimes offer both legal and natural persons high incentives in the country, which enables the country to have a fair legal environment based on the common law principles of England.
Business professionals rely on this system for efficiency and to ensure ethical business conduct. Cyprus’ legal system fully conforms to EU, FATF, OECD, FATCA, Financial Stability Forum, and European Union anti-money laundering directives.
In addition, Cyprus offers a corporate tax rate of 12,5%, one of the lowest in the EU, as well as more than 60 Double Tax Treaties with other countries.
International and domestic investors alike can flourish and grow on the island.
Cyprus’s tax system includes the following main features:
- The regime offers attractive intellectual property rights
- Exemption from dividend participation
- Exemption on disposal of securities such as bonds and shares
- No withholding taxes
- No inheritance taxes
- No capital gains tax – except for disposal of Cyprus real estate or shares of a company holding real estate in Cyprus
- Tonnage tax for shipping companies
Exemptions for non-domiciled individuals and non-resident persons who take up residence in Cyprus are also in place:
- No tax on dividends and interest for non-domiciled individuals
50% exemption on income from employment of a person that that has not previously resided in Cyprus – this exemption applies for 10 years and provided the income does not exceed €100,000 per annum.