Cyprus

Cyprus as a gateway to EU investment

There is no other place in southern Europe where it is easier to set up a business as an internationally focused entrepreneur. Cyprus is the low tax gateway in and out of Europe, with the lowest corporation tax in Europe, the most generous participation exemption imaginable, no capital gains tax and much more.

Cyprus company formation can help you benefit from all these characteristics. If you are looking for a holding company, a trading company or an advanced tax planning tool normally used only by wealthy corporations, you have come to the right place.

The Cyprus Limited Company

As a former colony of the United Kingdom, Cypriot company law incorporated many features from its former ruler, and a Cyprus limited company shares the same basic architecture with UK Limiteds. But that is where the comparison ends.

When you set up business in Cyprus, you will enjoy much lower taxes and the following Cyprus company benefits:

  • the lowest corporation tax in Europe,
  • the most generous participation exemption imaginable,
  • no withholding taxes except on outgoing royalties paid on rights exercised in Cyprus,
  • no capital gains tax except on real estate located in Cyprus,
  • the lowest social security tax rates in the EU,

When you set up business in Cyprus note that your company will be managed and controlled from Cyprus itself. This will provide the substance you need for your tax planning. Another reason for choosing Cyprus is its high confidentiality, with little information on public record, as well as its adequate banking secrecy.

Are you interested in setting up a company in Cyprus, and want to know what Freemont can do for you? Do not hesitate to Contact us
 
Asset protection with the Cyprus Trust

When applied appropriately, a Cyprus Trust is a very confidential way to manage funds. Trusts can be registered or unregistered, can exist for a hundred years and, most importantly, no taxation within Cyprus.

Perhaps you are looking to separate private income (and assets) from business income. Or maybe you want to simply protect your assets from the risk of lawsuits or to plan your estate the way you want it instead of your government taxing and deciding on your inheritance.

Cyprus Trusts are often used as a top entity in a tax planning structure. A Trust is formed when a Settlor transfers income to be managed on his behalf by a Trustee. This way legal ownership as well as tax liability can be transferred to a low tax jurisdiction.
 
Are you interested in setting up a Cyprus trust? Contact us.

More information

The Cyprus tax treaty with the UAE has some interesting aspects. Read the article to get some ideas. We also have an office in the UAE and can help to set up a structure for you. Feel free to subscribe to our Free Newsletter to keep up-to-date to the latest industry developments.
 
Are you looking for Cyprus residency or citizenship through investment? Discover more here.
 
Read more about the ultimate form of asset protection: the Cyprus International Trust.
 
This article was written by our Chairman Adriaan Struijk for IFC World: IFC World Cyprus Article.

 

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Thank you for your interest in Freemont Group, the specialists in company formation, asset protection and legal and advisory . Feel free to contact us with any inquiry you might have. We will provide you with a free initial consultation, and a customized solution for your personal situation.