Cyprus, an EU member state, enjoys the lowest EU tax rate of 10%,. Shipping companies pay even less at 4.25%. Cyprus is one of the most competitive shipping centers in the world. Private wholly foreign owned companies are designated International Business Companies. English is widely used by commercial and government sectors. There is no legally required minimum of issued and paid up share capital for a private limited liability company. Dividends may flow through Cyprus companies totally tax free, while the company may also enjoy the extensive network of double tax treaties.
Main features & Advantages
- Corporate tax rate of 10 % - The lowest corporate tax rates in the EU
- No withholding tax on dividends
- Double Tax Treaties covering more than 40 countries
- No legally required minimum amount of issued and paid up share capital
- Tax exemption for company profits if management based outside Cyprus
- Company secretary should be local for residency compliance, with local address required
- Local director – not required, but advisable for residency tax advantages
Start a New Company for $99 + state fee
IBC Company (Ltd)
An “International Business Company” is a tax-favorable corporation designed to engage in all forms of international business, especially trading.
- Annual Return (every company must complete an annual return within 42 days from the date of its Annual General Meeting, and must file immediately with the Registrar of Companies, a copy of the annual return, signed by a director and the company secretary).
- Accounting and Audit - Annual financial statements must be filed quarterly with appropriate authorities. Audits and VAT returns can be prepared by our accountants to comply with Cypriot law.