CYPRUS, a European Country, has a strategic location close to the busy trade routes linking Western Europe with the Arab World and the Far East. Cyprus has an excellent Mediterranean climates with plenty of sunshine. Greek is the official language but English is widely spoken. Cyprus has a strong currency and the tax incentives combined with a high standard of living have led to the development of Cyprus as an international business centre.

The tax system of Cyprus and its extensive double taxation treaties with a number of countries including France and the U.S.A. have opened up new horizons for doing business on a worldwide basis and in particular with Europe.

OFFSHORE COMPANIES

CYPRUS as an island is deemed to be an ideal place for offshore activities due to high quality of life, low cost of living, modern telecommunications and efficient banking services. These combined with various tax incentives introduced to attract foreign companies, many enterprises established presences for their activities in Cyprus.

The offshore companies have to conduct their business activities and earn their incomes from sources outside Cyprus and the net profits of the companies are subject to a minimum of 4.25%.

The registration procedure of an offshore company is fast provided that satisfactory bank references have been given. We can be responsible for the provision of banking facilities ( to open the local disbursement current account of the offshore and the local account of the employees). We are well aware of the banking systems here in Cyprus and we will assist you to open all necessary banking accounts for your company.

The shareholders of an offshore company are the legal owners of the company and may be either individuals or trustees. Anonymity can be achieved by using nominee shareholders or trustee companies. Applications will be examined by Central Bank of Cyprus which will require that the beneficial owners of the shares in an offshore entity be disclosed to them. However, this information is treated with the utmost secrecy by the Central Bank, which is bound by statute not to disclose it to outsiders.

Offshore Banks may render services to other offshore companies whereas offshore companies are not allowed to offer services to other offshore companies in Cyprus.

Examples of offshore companies and financial institutions that established presences in Cyprus:

Another important advantage would be that no capital gains tax is payable by an offshore company except on capital gains on immovable property situated in Cyprus. The existence also of double taxation treaties empower the company to avoid the double taxation if the company is considered as resident in Cyprus.