Better tax planning is one of the many reasons why so many thousands of businessmen have chosen Cyprus for the purpose of establishing an International Business Company. Cyprus, unlike many offshore jurisdictions is not a 'tax haven' and does not offer 'brass plate' companies. Instead, Cyprus offers great tax incentives due to its favourable tax regime and its wide network of double tax treaties. These tax incentives together with so many other incentives offered by Cyprus, render Cyprus the ultimate international business centre of our planet!
Indeed, it is not surprising that since 1977 (the year in which the concept of "offshore companies" was introduced in Cyprus which in year 2003 was transformed to "International Business Companies"), Cyprus with a population of approximately 750,000 is the island in which many thousands of international set ups have been established with some even maintaining fully fledged and operational offices on the island.
The information contained on this website is not by any means exhaustive. It does nevertheless provide the reader with a great understanding of what Cyprus International Business Companies are and why so many thousands of businessmen worldwide have chosen Cyprus for the purpose of carrying out andmonitoring their international business operations.
In providing this information, it is our prime intention to contribute to the effort of Cyprus to become an even more successful international business centre for the benefit of foreign investors and to the Cyprus economy.
BACKGROUND
Situated in the Eastern Mediterranean, the island of Cyprus is at the crossroads of three continents. It has an excellent business and financial structure and offers many tax incentives. Cyprus company law is based on British company law. In year 2003, Cyprus joined the EU and in year 2008 it fully adopted the Euro currency.
TAXES AND ACCOUNTS
Cyprus is not a tax haven but a low tax area with an annual tax ratebetween 0% and 10% (see FAQ's)payable in the case of an International Business Company. Cyprus has numerous double tax treaties for the avoidance of double taxation. In particular, extremely favourable treaties have been concluded with many countries for receipt of dividends, interest and royalty payments. Audited accounts must be filed with the Commissioner of Income Tax and the Central Bank of Cyprus.
INCORPORATION / NAME
It normally takes one or two weeks to incorporate a new company, but shelf companies (i.e. already established) are available within 24 hours. All companies must end with the word "Limited" and there are restrictions on the use of particular words in the company's name, such as "Corporation", "International", "Group", "Financial" etc (For minimum complications we may provide you with a list of already approved 'Shelf Company' names).
BANK ACCOUNTS
A Cyprus company can open a bank account anywhere in the world. We have strong links with a number of banks in Cyprus, the UK, Greece and elsewhere and can assist you with opening and maintaining bank accounts, online banking, issuing of debit/credit cards etc.
DIRECTORS / SHAREHOLDERS
A minimum of one director, one secretary and one shareholder is required. To fully benefit from the various double taxation agreements, it is advisable to appoint at least one local Cypriot director. (All of these nominee officers and shareholders may be provided by Global Eye professional Advisors Ltd )
DISCLOSURE OF INFORMATION
During the incorporation process, a bank or other reference, a curriculum vitae and a passport copy for each beneficial owner should be submitted together with proof of address (such as utility bill), a description of the main activities intended for the company and expected debit / credit turnover per year.
