Since it started operating in the field of International taxation in 1975 Cyprus has become an important and reputable jurisdiction in this area. Its prime location as a stepping stone between three continents Europe, Asia and Africa, the excellent infrastructure, the low tax rate, coupled with an extensive double treaty network explains why many choose to use Cyprus.
Cyprus has more than 55 double tax treaties.
The existence of these treaties offers many possibilities for international tax planning on the island.
The advantages of using Cyprus:
•Member of European Union
•Excellent for Middle Eastern, Central and Eastern European Investors
•Extensive double tax treaties
•Common Law system
•Low tax rate
•Choice of corporate vehicle
•Zero withholding tax on dividends & interests paid to non-residents of Cyprus as well as royalties rights not used within Cyprus.
•No time restrictions on carrying forward tax losses
•Group relief for utilization of tax losses
•No stamp duties on normal trading activities
•Exemption from estate duty on shares in offshore companies if inherited in Cyprus