Conditions, characteristics and advantages of offshore companies in Cyprus.

Basic information:

Location: The state, on the third largest island in the Mediterranean Sea, located to the west of Syria and south of Turkey;
Cyprus today is one of the most popular of the popular jurisdictions in the world. Offshore and Cyprus - are almost synonymous in the language of business.
But remember that, according to Ukrainian legislation, Cyprus is not included in the list of offshore zones, and therefore is not for our offshore strany.No Cyprus is often used to create a facade of offshore companies to implement schemes.


Resident Company:

Resident.

Capital:

There are no requirements for minimum size and payment. Shall be denominated in euro.

Stock:

Possible to issue any shares. Bearer shares are not allowed.

Shareholders:

At least 1. Restrictions on residence there. May be individuals or legal entities.

Annual Meeting of Shareholders:

mandatory. No requirements.

Directors / Board of Directors:

At least 1. May be individuals or legal entities. Resident status does not matter.

Secretary:

At least 1. May be individuals or legal entities. Resident status does not matter.

Registered office:

Must be in Cyprus.

Annual report:

Required.

Maintenance of registers:

Be sure to include inventories: shareholders, directors and secretaries.

Access to information:

Registers are open.

Annual Accounting:

Mandatory.

Audit:

Required.

Prohibited activities:

Only requires certain licenses.

Timeframe for incorporation:

2-4 weeks.

Taxation:

Subject to tax income earned worldwide.

Tax on profits:

Tax rate of 10%.

Tax on capital:

20% tax rate applies only to income in the form of disposal of real estate in Cyprus or the disposal of shares in a company that has a property in Cyprus.

Added tax stoimsot:

15% - a large trade in goods and services;

Reduced or zero rate - for certain activities.

Withholding tax:

Dividends - 0%;

Interest - 0%;

Royalty - 0% (10% of the royalties, which is used in Cyprus and 5% of the royalties from the theatrical release and TV).

Agreement on avoidance of double taxation:

With 45 countries (including Ukraine).

Advantages:

•      Membership in the EU;

•      The large number of agreements for the avoidance of double taxation;

•      Preferential tax treatment under the treaty in force between Ukraine and Cyprus;

•      Low tax rate.