Investors searching for a new business market
to set up a company
are advised to invest in Cyprus
, because the local authorities offer many tax and business incentives
, which can help a new business
grow in a faster pace. One of the top industries in Cyprus
refers to tourism, which had very good economic results in 2015 and throughout 2016. Our team of Cypriot lawyers
can offer assistance on the incorporation procedure
, which is performed following the same regulations, regardless the business field in which the company will carry its activities.
Tax incentives for businesses in Cyprus
An important aspect when setting up a new company
abroad is the taxation level
applicable to the respective business. The most important tax
in this sense is the corporate tax
, which is applicable in Cyprus
at the rate of 12,5%, being one of the smallest corporate taxes
imposed in the European Union (EU).
Moreover, the local government provides many tax exemptions for the following incomes:
• international transactions;
• financial gains obtained from permanent establishments;
• profits obtained for the sale of securities.
Another important tax exemption refers to the withholding tax, which is granted for the following:
When forming a new business in Cyprus
with activities in the construction sector
, the investors will receive an exemption
from paying the capital gains tax
on the sale of properties (usually applicable at the rate of 20%) to further develop this field; our team of Cypriot attorneys
can offer legal assistance on how to obtain a business permit in this field.
Business incentives in Cyprus
The Cypriot authorities provide an industrial free zone, where businessmen can benefit from custom duty exemptions and other financial or logistics facilities. Businesses can also be sustained through various funds and grants, which are available especially in the field of energy, environment or industrial development.