Over the past years, Cyprus has developed into one of the most favourable places for international business. A  tax transparent regime combined with its excellent geographical position and infrastructure and its ability to offer sophisticated planning structures, its ability to set up and manage investment funds – (Cyprus Alternative Investment Funds – AIFs), the enactment of the Cyprus International Trusts Law which provided for the formation and administration of international trusts combined with its excellent geographical position and infrastructure where the key factors for its success.

Important benefits when choosing Cyprus:

1.   Cyprus Double Tax Treaties Network

a. Acknowledge as having the best choice of inward/outward investment for certain countries e.g. Russia, Ukraine, Poland, and many CEE countries;

b. Vast double tax treaties network, etc.

 2.  Appropriate  Legal System

a. Flexible and workable Corporate and Trust laws based on the UK legal system;

b. To set up a Cyprus Company or a Cyprus trust is relatively quick, easy with clear responsibilities and duties of all parties such as directors, shareholders, trustees, protectors, investors, etc;

3.  Tax Efficient System for International Business

a. Zero Tax on dividends income;

b. Zero withholding tax on dividends to non-residents;

c. Zero capital gain tax on the sale of qualifying titles shares;

d. 12,5% tax on net interest income and/or other income.

4.   Quality of Accounting and Professional Services

a. Cyprus Accountants and Cyprus lawyers are:

i. mostly UK standard educated;

ii. member of self-registered bodies governed by ethical codes of the UK or International organisations.

5.   Cyprus Business Language

a. English

6.   Educated skill force for employment

7.   Ease of obtaining Residence (Visa/Cyprus Passport/Cyprus work permit) for Executives and Key personnel

8.   Good climate and place to live and do business

9.   Price

a. One of the cheapest places in the EU for fiduciary services and maintaining international companies/trusts, especially compared to Luxembourg, Switzerland, Holland, etc).