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Tax Advantages

Taxation of Royalties

No withholding taxes on Royalties payable to non-resident, when the right is used outside Cyprus For rights used in Cyprus there is 10% withholding tax unless a Double Tax Treaty provides for [...]

2017-12-27T15:51:47+00:00February 2nd, 2012|Tax Advantages|

Taxation of Interest

Interest earned from financing activities is taxed as ordinary business income at a rate of 12.5% (after deducting all business expenses). A very low profit margin of as little as 0,35% is [...]

2017-12-27T15:52:44+00:00February 2nd, 2012|Tax Advantages|

Taxation of Dividends

Dividends are exempt from corporation tax Dividends received by a company are not subject to Special Defence Contribution (SDC) unless: The non-resident company paying the dividend engages directly of indirectly by more [...]

2017-12-27T15:53:18+00:00February 2nd, 2012|Tax Advantages|

Double Tax Treaties

Cyprus differs from most other offshore jurisdictions, in that it offers a big number of double tax treaties (44 in total), for the avoidance of double taxation. In general most of the [...]

2017-12-27T15:55:38+00:00February 2nd, 2012|Tax Advantages|

Capital gains tax

Capital gains is taxed at 20% on gains but gain on disposal of securities is completely exempt. Gains on disposal of property situated outside Cyprus is also exempt from any taxation.

2017-12-27T15:56:43+00:00February 2nd, 2012|Tax Advantages|