World Bank reports show significant improvements in Cyprus business and Tax Regulatory Environment
World Bank reports show that Cyprus moved up 13 positions to become on of the top 50 most business efficient environments in the world. The new report shows that Cyprus has moved from the 60th position to 47th. Ease of doing business ranks economies from 1 to 189 with first place being the best. A low numerical rank means that the regulatory environment is conductive to business operation. 10 topics are taken into account in arriving at the results of this report including starting a business, dealing with construction permits, getting electricity, registering property, getting credit, protecting minority investors, paying taxes, trading across borders, enforcing contracts and resolving insolvency. View reportdownload full world bank report
Cyprus is on its way to recovery with banks being fully recapitilized
Two years after a banking crisis billionaires investors such as Wilbur Ross a U.S. billionaire, Viktor Vekselberg, Russia’s second-richest man and Kislyi have invested in Cyprus banks. The new moves trigger new interest in the country after a 10 billion euro ($ 11.3 billion) bailout from the European Union Cyprus returned to international markets in 2015 and It is evident that Cyprus is on its way to recovery. Cyprus began to record growth and it is expected that by the year 2016 it will exit its bailout program.
The most prestigious and expensive yachts in the world are now visiting Cyprus
88.5m M/Y Nirvana, 99m M/Y Madame Gu, 119m M/Y A and 72.6m M/Y Queen K where amongst of the most prestigious yachts in the world that are visiting Cyprus.These are just a handful of many great yachts that have visited or signed long-term agreements with the Cyprus Marinas. Many of these stays not only proved to be a great success, but have also turned into repeat visits. Billionaire Russian businessman Andrey Melnichenko has also been enjoying a visit to Cyprus with his family with his super-yacht which is one of the four most expensive yachts in the world costing an estimated of $300 million Many yacht owners commented that Cypriots could not have been more friendly and helpful. “Not only is the staff and first-rate facilities, but the surrounding area presented many safe and wonderful opportunities to experience, the fine cuisine, history and natural beauty of Cyprus”.
Cyprus yacht VAT taxation special scheme for short-term chartering
Due to the rabit growith of yatch in cyprus there was a necessity to build up quicly a scheem for short term chartering. A short-term charter agreement of a yacht is an agreement whereby the yacht owner / operator enters into an agreement for the use of a yacht that cannot exceed 90 days. The short-term charter to be used for leisure purposes is taxable at the standard rate of 19%. Before calculating the Cyprus yacht vat tax liability of 19% it is important to calculate the use of yacht within EU territorial waters. Though is very difficult to physically trail the movement of a yacht, certain percentages are set by the tax department which they correspond to the length of the yacht and its power to sail.Read more…
Granting Cyprus citizenship / passport to foreign investors
A non-Cypriot citizen, who meets certain economic criteria, either personally or through a Cyprus company/ companies in which he/ she participates as a shareholder – proportionally based on the percentage of participation, or even as a high-ranking senior manager of a company/ companies may apply for the acquisition of the Cyprus citizenship (Cyprus Passport) through Naturalization by exception. Read more…
Cyprus taxation incentives for high-net-worth individuals moving to Cyprus
The introduction of “Domicile” regime aims to exempt individuals moving to Cyprus from personal taxes. High-net worth non-domiciled individuals will need to declare Cyprus as their taxable jurisdiction and receive an exemption from Cyprus personal taxes on rents (3% on 75% on rent income), interest (30%) and dividends (17%) which are applicable to Cyprus domiciled individuals.The exemption will apply for 17 years as from the date of declaring Cyprus as their taxable jurisdiction. Read more…
New Cyprus taxation incentives for Cyprus Companies on new equity capital introduced after 1 January 2015
According to Cyprus new taxation laws, Cyprus companies financed by own funds shall be given notional Interest deduction (NID). This will mean a reduction of the overall effective tax rate of a Cyprus Company depending on the level of Cyprus Company capitalization. The notional Interest deduction (NID) will be granted annually for as long as capital is used in the Company. This will be applicable retrospectively as from 1 January 2015. Read more…
Extension period granted for companies which do not comply with the Cyprus Registrar of Companies List of companies to be de-registered for not complying
The Cyprus Registrar of Companies has granted an extension until March 31, 2016 to companies that have filed an objection for de-registration until 9 November 2015. The Cyprus Registrar of Companies published in the Cyprus Official Gazette the companies which will be de-registered for not submitting their annual returns together with the related financial statements as required by the relevant legislation. The relevant companies can be found at the following links: Gazette 4859 dated 8 5 2015 Gazette 4878 dated 17 7 2015 Gazette 4880 dated 24 7 2015 Gazette 4883 dated 31 7 2015 Gazette 4885 dated 7 8 2015 Read more…
Cyprus economic substance of Cyprus companies and beneficial ownership on dividends: The case of Cyprus
The viability of international tax planning and business structures has been affected by a coordinated effort by the G8 to address tax evasion of offshore companies. These changing regulatory requirements raise important questions for owners of Cypriot companies:…Read more
Why Cyprus company formation
Over the past twenty years, Cyprus has developed into one of the most favourable places for international business. A low tax regime combined with its excellent geographical position and infrastructure and its ability to offer sophisticated Cyprus tax planning opportunities, its ability to set up and manage Alternative Investment Funds (AIFs), the enactment of the Cyprus International Trusts Law which provided for the formation and administration of Cyprus International Trusts combined with its excellent geographical position and infrastructure where the key factors for its success. Read more…
Greek ship-owners are setting up offices in Cyprus
A number of Geek ship-owners are now thinking to set up offices in Cyprus. Leading ship-owners are now thinking to set up offices and accommodation in Cyprus with the aim of going out of Greece by the end of this year. Alongside, apart from the existing tax benefits applicable to ship owners of Cyprus vessels, the Cyprus government is now preparing a new law to exempt ship-owners children from army duty if they are to move to Cyprus. The law will apply to ship-owners who will move their families to Cyprus and transfer their shipping activities to Cyprus
Contact For more information please contact PKF Nicosia Cyprus on: Email: info.nicosia@pkf.com.cy Tel. No: +357-22-46-27-27
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