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ARTICLES

 

TAX RESIDENT OF CYPRUS

Wednesday April 20th, 2016

Φορολογικό Ημερολόγιο – 2016

CYPRUS HOLDING COMPANIES

Tuesday November 12th, 2013

The setting up of holding companies within the most appropriate structures becomes nowadays an important consideration for all investors who wish to maximize their after tax return on investments.  The global markets are becoming more demanding and the need for choosing the best structures that provide to investors the most tax effective means of consolidating their ownership in different enterprises […]

The Cyprus Royalty Regime

Friday July 19th, 2013

In May 2012, Cyprus introduced changes in Income Tax law which constitute Cyprus as the ultimate royalty jurisdiction, enabling it to compete successfully with other established jurisdictions like Luxemburg, Netherlands etc. The main features of the Cyprus IP box are outlined below:     IP Box benefits The amendment to the Income Tax Law is effective from January 1st 2012 […]

CYPRUS REMAINS AN ATTRACTIVE INTERNATIONAL BUSINESS CENTER

Tuesday June 4th, 2013

The recent Eurogroup decision on the Cyprus bail-out is an unexpected direct attack on the Cyprus banking sector which bears no justification and does not comply with the idealistic notions of European solidarity.   Nevertheless, despite the damage inflicted on its banking system, Cyprus still continuous to be an attractive international business center for international operations and cross border investments, […]

The New Protocol between Cyprus and Russia

Saturday March 2nd, 2013

On 7 October 2010the Russian president Dimitry Medvedev visited Cyprus and signed with their respective Cyprus counterparts a Protocol to the Russa-Cyprus double tax treaty that was agreed a year ago. The Protocol amends the existing Treaty which entered into force on 1st January 1998. The main changes of the protocol are outlined below:   Removal of Cyprus from the […]

Back to back loans and Cyprus companies

Monday December 10th, 2012

Introduction   Generally, the provision of loans by Cyprus companies is governed by the Article 33 of the Cyprus Income Tax Law, which states that all transactions must be undertaken at arm’s length terms. However, for back to back loans a different tax treatment applies in order to ensure that a profit margin is left to the Cyprus company for […]

Cyprus and Denmark New Double Tax Treaty Agreement

Wednesday December 15th, 2010

On 11th October 2010, Cyprus and Denmark signed a new double tax treaty agreement which aims to replace the agreement signed in 1981 between the two countries and come into effect on 1st January 2011.   The changes the agreement introduces are as follows:   Withholding rates on dividends being reduced to 0% originally being 10%.   The above is […]

Cyprus and Slovenia sign new tax convention

Monday December 13th, 2010

After the visit of the President of Slovenia in Cyprus on the 12th October 2010, a new Double Tax Treaty Agreement was signed between the 2 countries (the ‘Convention’) which is expected to come into effect on 1st January 2011. At the moment the treaty in force is the one of Cyprus and the Socialist Federal Republic of Yugoslavia which […]

Cyprus: The new Shipping Tax System Law aims to put Cyprus Shipping ahead

Wednesday November 17th, 2010

The new Shipping Tax System Law aims to put Cyprus Shipping ahead   Introduction   The new Shipping tax legislation has been officially approved by the European Commission and is in full compliance with the relevant guidelines on State Aid to Maritime Transport.   The new legislation:   introduces Tonnage Tax System (TTS)   to ship   owners charterers and […]

Taxation of Interest

Monday May 10th, 2010

Cyprus has been attractive over the past few years for its favorable tax legislation which has led a big number of entrepreneurs to move their businesses in Cyprus. Cyprus has at the moment the lowest corporate tax rate in Europe (10%) and a number of Double Tax Treaties enabling the avoidance of the International Double Taxation when the same profits […]