Cyprus is a small country that is situated in the far-eastern Mediterranean, Cyprus takes full advantage of its strategic location between the emerging Far-Eastern and African markets and the mature Western European economies. Cyprus is a full member of the European Union with the lowest corporation tax rate within Europe.
Cyprus has become an attractive country for doing business and investments, thanks to its beneficial tax system. Cyprus is also proving itself to be one of the most popular offshore jurisdictions for holding, trading and intermediary companies to conduct international business.
Advantages of Cyprus:
- One of the lowest corporate income tax rates in Europe (12.5%)
- Attractive system of tax incentives for specific types of businesses
- Access to international markets through network of trade agreements
- Tax regime fully compliant with EU and OECD recommendations
- Advanced communications and transport infrastructure
- Reliable legal system based on British law
Other key features to consider when establishing a company in Cyprus:
- The company needs a minimum of one Director, a Secretary and one Shareholder
- The name of the company must be unique and must be approved by the authorities
- Cyprus requires documents with original signatures in order to proceed with the incorporation
- The director and shareholder do not need to reside in Cyprus, but the Secretary does
- The minimum share capital for a Cyprus incorporation is EURO 1
- There is no withholding tax on dividends paid to non-resident shareholders
- A visit to Cyprus is not required when forming your company, everything will be done remotely
- Filing of annual accounts is a requirement in Cyprus.
Read more about Cyprus on Wikipedia.