Cyprus in International Tax Planning

The lowest tax rate in Europe coupled with a long list of double tax treaties, an enviable time zone location and a mature legal, accounting and banking infrastructure, places Cyprus high on the list of preferred jurisdictions for international tax planners.

Key benefits offered

  • Introduction of the concept of tax resident and non-resident companies
  • Taxation of worldwide income for tax residents and Cyprus-sourced income for non-residents
  • A uniform corporate tax rate of 12.5%
  • Tax-exempt business profits of non-resident companies
  • Tax-exempt gains on the trading and disposal of securities
  • Tax-exempt dividend income (subject to applicable criteria)
  • Tax-neutral group reorganisations
  • Tax-relief for group losses
  • Full adoption of the EU Parent-Subsidiary Directive
  • Full adoption of the EU Mergers Directive
  • Full adoption of the EU Directive on Mutual Assistance and Cooperation
  • Full adoption of the EU Royalty and Interest Directive

Read more advantages of Cyprus as an attractive jurisdiction for business entities,

Register or login to our Technical Resources Centre and download the FREE technical report “Cyprus in International Tax Planning”.