There are many factors that contribute to making Cyprus an advantageous environment for doing business:
Cyprus offers a range of tax and other advantages:
Corporate Tax
All companies are subject to a uniform tax rate of 12.5%, the lowest corporate tax rate in the European Union. Moreover, various tax exemptions apply for corporate tax such as:
- Exemptions in respect of dividends received from other companies•Exemption in respect of interest income under special conditions
- Favourable tax treatment of losses
- No tax on profits earned from permanent establishments abroad under certain conditions
- No tax on capital gains derived from the disposal of securities
- No tax on profits from company reorganisations
- Tax relief of foreign tax paid
Other Advantages
- Pro- business government
- Strategic EU and eurozone location
- Easy market access to Europe, Middle East and CIS Countries
- Low corporate tax (12.5%)
- Extensive network of 62 double taxation treaties
- Social and economic stability
- Renowned international shipping and financial centre• Broad network of legal, accounting and banking services• Advanced telecommunications network
- Highly educated, qualified and multilingual workforce• Easy access to decision makers
- Enviable quality of life with a low crime rate