Incorporation of Company

Onshore Jurisdictions
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Cyprus is one of the favorite jurisdictions for the registration of holding companies due to preferential tax rules. All dividend income, in most cases, is tax exempt in Cyprus. Purchase and sale of shares or other securities are also not taxable in Cyprus in most cases. With the current tax rate of 12,5%, Cyprus is among the most attractive jurisdictions from which to enjoy benefits under Double Tax treaties with the EU and other countries. It is important to note that all companies registered in Cyprus are subject to strict regulations with respect of financial reporting under the applicable EU laws. Financial statements of Cypriot companies must be certified by a licensed auditor. Accordingly, the company owner is obliged to supply full business documentation of the company for the fiscal year.

Cyprus is an ideal financial center for:

  • Internet commerce
  • Intellectual property management
  • The custody of movable and immovable property
  • Inheritance provisions
  • Stockbroker/forex
  • Holding structures

Companies registered in Cyprus but managed and controlled from abroad, will only be taxed in Cyprus on their income generated in Cyprus. An offshore company formed in Cyprus is fully tax exempt.


Advantages of Incorporating in Cyprus

  • European jurisdiction
  • Advantageous vehicle for International Tax Planning and use
  • 0% tax on Dividends received (Dividends received by a Cyprus Company, on certain conditions, are free of tax making Cyprus the most competitive jurisdiction for holding companies)
  • 0% withholding tax on Dividend payments (Dividends payable by a Cyprus resident company to its foreign shareholders (whether a company or individual) are not subject to any withholding tax in Cyprus)
  • Full tax exception on the payment of dividends to its non-resident shareholders and has a real advantage over the other traditional holding jurisdictions
  • No capital gains tax is paid on the transfer of immovable property owned by a Cyprus Company abroad (outside Cyprus)
  • 12, 5% Taxation for tax resident companies. (Starting from accounting period of 2014)
  • 0% Taxation for NON tax resident companies
  • Double Tax Treaties (Cyprus has signed a considerable number of Double Taxation Treaties with various countries, to avoid the double taxation of income earned in any of the two contracting states)
  • The minimum number of directors is one. Director can be of any nationality and need not be resident, but Cypriot advisable for purposes of tax residency corporate directors are permitted
  • The minimum number of shareholders is one
  • Nominee Shareholders and Nominee Directors Allowed
Principal Corporate Legislation: Companies Law, Cap 113, as amended
Type of Law: Civil with many English Common Law influences
Language of Legislation and Corporate Documents: English and Greek
Type of Company for International Trade, Investment & Tax Planning: Private Limited Company


Cyprus Private Limited Company

Share Capital
Standard authorised share capital is EUR 1,000. Minimum paid up share capital is EUR 1.
Classes of Share Available
Registered shares, preference shares, redeemable shares and shares with or without voting rights.
Bearer Shares
Not permitted.
Restrictions on Trading
Banking, insurance, assurance, reinsurance, fund management, collective investment schemes, trust management, trusteeship business provision are not permitted.
Registered Office Required
Yes, must be maintained in Cyprus.
The minimum number of directors is one. Director can be of any nationality and need not be resident, but Cypriot advisable for purposes of tax residency Corporate directors are permitted.
The minimum number of shareholders is one.
Publicly Accessible Records
Nominee Shareholders and Nominee Directors
Location of Meetings of Directors and Shareholders
Anywhere, but Cyprus advisable for purposes of tax residency.
Disclosure of Beneficial Ownership to Authorities
Personal Presence Required
The corporate tax rate is 12.5%.
Cyprus companies trading from Cyprus may be registered for VAT purposes and the VAT prefix will be 'CY'.
Double Taxation Treaty Access
Azerbaijan, Armenia, Austria, Bulgaria, Belarus, Belgium, Canada, China, Czech Republic, Denmark, Egypt, France, Germany, Greece, Hungary, India, Ireland, Italy, Kuwait, Kyrgyzstan, Malta, Mauritius, Moldova, Norway, Poland, Romania, Russia, Singapore, Slovakia, Slovenia, South Africa, Sweden, Syria, Thailand, Ukraine, United Kingdom, USA, Uzbekistan.
Requirements to File Accounts
Audit Requirements
Exchange Control
Language of Name
Restricted Words
Words such as "Assurance", "Bank", "Building Society", "Royal", "Trust Company", "Trustee Company" etc. will require justification.
Name of a Company
The name of each company must end with the word "Limited" or "Ltd".
Time to Incorporate
Two weeks, subject to name approval.
Shelf Companies
Seychelles Shelf companies are available.


Cost of Formation: Request a quotation



Card PMT provides the following services in Cyprus:

  • Cyprus Company Formation
  • Registered Office Services
  • Company Secretarial Services
  • Nominee Shareholder/Nominee Director
  • Opening of Bank Accounts
  • Full Company Administration Services
  • Mailing Address
  • Virtual Office
  • Book Keeping & Audit
  • VAT Registration
  • EORI Registration
  • Trademark Registration
  • Yacht Registration

Please contact us for your free initial consultation.


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Please contact us for additional information about incorporation of companies in other offshore jurisdictions.


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