Cyprus offers a plethora of benefits for investors and companies looking to incorporate in the European Union. Since the country’s entry in the EU, they have restructured their finance regulations and their Company Law to conform to EU regulations and since 2004 have been offering a new form of resident and non-resident-based companies that are fully compliant with EU financial policies.
In addition, Cyprus provides many offshore company formation opportunities with the added advantages of having access to the European Union’s numerous economic and trade treaties. Furthermore, Cyprus is a traditional tax-based structure that has one of the lowest corporate tax rates in the EU at 12.5% and also offers non-resident-based companies that are completely free from all local taxation.
Cyprus offers international company vehicles that are perfect for a holding or investment account or trading purposes. Companies can easily be paired with an offshore bank account whether its a local or overseas bank.
The country has several dozen double taxation treaties in place and offshore companies can benefit from only having to pay 12% on global trading income, whereas non-resident companies can enjoy tax exemption on all foreign-sourced income.
Lastly, Cyprus’s geographical location as a semi-tropical climate, rich culture, and enticing financial incentives have attracted tens of thousands of companies to the jurisdiction over the past twenty years.