Cyprus
Cyprus is a major tourist destination in the Mediterranean. With an advanced, high-income economy and a very high Human Development Index, the Republic of Cyprus has been a member of the Commonwealth since 1961 and was a founding member of the Non-Aligned Movement until it joined the European Union on 1 May 2004. On 1 January 2008, the Republic of Cyprus joined the eurozone.
Cyprus has an open, free-market, service-based economy with some light manufacturing. Internationally, Cyprus promotes its geographical location as a "bridge" between East and West, along with its educated English-speaking population, moderate local costs, good airline connections, and telecommunications.
The economy of Cyprus is based on free enterprise, with most economic activity taking place in the private sector. The service sector, which dominates the Cypriot economy, accounts for about half of employment and almost two-thirds of its GDP.
The Cyprus financial services sector is diverse, comprising domestic banks, International Banking Units (IBUs), insurance and other companies that offer financial intermediation services. Several foreign banks from Europe, Middle East and Asia operate subsidiaries, branches or representative offices in Cyprus. Cyprus banking and financial services sector legislation is in line with international best practices and commercial banking arrangements. All banks maintain correspondent networks around the world and are able to carry out both traditional and specialised financial transactions. Cyprus as an effective and transparent tax system, fully EU, OECD, FATF, FATCA and FSF compliant in place.
Cyprus is a developed and established international business centre, with many tax and other advantages for international business.
The extensive network of treaties which Cyprus has formed for the avoidance of double taxation makes the island very attractive to international investors.
There are a large number of International Business Companies (IBCs) i.e. companies incorporated in Cyprus whose beneficial ownership and business activities lie outside Cyprus. It is worth mentioning that Cyprus has amongst the lowest corporation tax rate in the EU at 12.5% on operating profits. Furthermore, as holding companies in Cyprus are in practice free of any tax both on their income from dividends and on their proceeds on disposal of their investments, without any restrictions in relation to the time for which the investment was held or in relation to thin capitalisation, the island has become a favourable location for establishing holding companies by international businesses.
Residents of Cyprus are taxed on their worldwide income. Non-residents are taxed only on some specific income from sources in Cyprus.
Cyprus is well-known for its strong and open global trade environment for doing business. Apart from its advanced infrastructure and high quality of life, Cyprus is also one of the fastest-growing economies globally, making it an ideal business hub for foreign investors.
In recent years, Cyprus has introduced considerable changes to its Company Law (Cap 113) and its relevant regulations, rendering the island an attractive jurisdiction for many international businesses. At present, business in Cyprus may be conducted through the following legal corporate forms:
• Cyprus company (private limited company, public company, company limited by guarantee)
• Branch of a foreign company
• Re-domiciliation of a foreign company (where this is permitted)
• Societa Europea (SE).
Business can also be conducted through other legal forms such as partnerships, trusts, business names and sole proprietor business.
Intellectual property protection is comprised in the Common Law in Cyprus. The legislation is quite complex and contains the following legal frameworks:
-The Patents Law, 16/98;
-The Trade Marks Law that was amended a few times with the Law 63/62, Law 69/71, Law 206/90;
-The Partnerships and Trade Names Law;
-The United Kingdom Designs Law;
-The Intellectual Property Law also amended by Laws 63/77 and 18/93.
As the United Kingdom Designs Law proves, the Cypriot intellectual property protection legislation is mainly based on the English laws protecting intellectual property. At international level, as part of the European Union, Cyprus has signed the Paris Convention for Industrial Property, the Berne Convention for the protection of Literary and Artistic Works, the Universal Copyright Law and is also part of the World Intellectual Property Organization (WIPO).
The Republic's constitution is largely modelled on the American constitution. The Head of State is the President who is elected for a five-year term of office. The Council of Ministers, appointed by the President, is the executive organ of the Republic. Legislative power lies with the House of Representatives whose members hold office for five years. A multi-party system is in operation and the electoral system is based on proportional representation.
The island was under British administration from 1878 to 1960 when it became an independent republic. The legal system and all statutes regulating business matters are based essentially on English Law. Most laws are officially translated into English. English is widely used and anyone may correspond with government departments in this language.
Our law firm VLO provides legal services for corporate and private clients in Cyprus. These services include mergers and acquisitions, business and debt restructuring, tax and tax disputes, corporate disputes, investments, bankruptcy, litigation and arbitration.
If you have questions, please us right now.
E-mail: vlolawfirm@gmail.com
Cyprus has an open, free-market, service-based economy with some light manufacturing. Internationally, Cyprus promotes its geographical location as a "bridge" between East and West, along with its educated English-speaking population, moderate local costs, good airline connections, and telecommunications.
The economy of Cyprus is based on free enterprise, with most economic activity taking place in the private sector. The service sector, which dominates the Cypriot economy, accounts for about half of employment and almost two-thirds of its GDP.
The Cyprus financial services sector is diverse, comprising domestic banks, International Banking Units (IBUs), insurance and other companies that offer financial intermediation services. Several foreign banks from Europe, Middle East and Asia operate subsidiaries, branches or representative offices in Cyprus. Cyprus banking and financial services sector legislation is in line with international best practices and commercial banking arrangements. All banks maintain correspondent networks around the world and are able to carry out both traditional and specialised financial transactions. Cyprus as an effective and transparent tax system, fully EU, OECD, FATF, FATCA and FSF compliant in place.
Cyprus is a developed and established international business centre, with many tax and other advantages for international business.
The extensive network of treaties which Cyprus has formed for the avoidance of double taxation makes the island very attractive to international investors.
There are a large number of International Business Companies (IBCs) i.e. companies incorporated in Cyprus whose beneficial ownership and business activities lie outside Cyprus. It is worth mentioning that Cyprus has amongst the lowest corporation tax rate in the EU at 12.5% on operating profits. Furthermore, as holding companies in Cyprus are in practice free of any tax both on their income from dividends and on their proceeds on disposal of their investments, without any restrictions in relation to the time for which the investment was held or in relation to thin capitalisation, the island has become a favourable location for establishing holding companies by international businesses.
Residents of Cyprus are taxed on their worldwide income. Non-residents are taxed only on some specific income from sources in Cyprus.
Cyprus is well-known for its strong and open global trade environment for doing business. Apart from its advanced infrastructure and high quality of life, Cyprus is also one of the fastest-growing economies globally, making it an ideal business hub for foreign investors.
In recent years, Cyprus has introduced considerable changes to its Company Law (Cap 113) and its relevant regulations, rendering the island an attractive jurisdiction for many international businesses. At present, business in Cyprus may be conducted through the following legal corporate forms:
• Cyprus company (private limited company, public company, company limited by guarantee)
• Branch of a foreign company
• Re-domiciliation of a foreign company (where this is permitted)
• Societa Europea (SE).
Business can also be conducted through other legal forms such as partnerships, trusts, business names and sole proprietor business.
Intellectual property protection is comprised in the Common Law in Cyprus. The legislation is quite complex and contains the following legal frameworks:
-The Patents Law, 16/98;
-The Trade Marks Law that was amended a few times with the Law 63/62, Law 69/71, Law 206/90;
-The Partnerships and Trade Names Law;
-The United Kingdom Designs Law;
-The Intellectual Property Law also amended by Laws 63/77 and 18/93.
As the United Kingdom Designs Law proves, the Cypriot intellectual property protection legislation is mainly based on the English laws protecting intellectual property. At international level, as part of the European Union, Cyprus has signed the Paris Convention for Industrial Property, the Berne Convention for the protection of Literary and Artistic Works, the Universal Copyright Law and is also part of the World Intellectual Property Organization (WIPO).
The Republic's constitution is largely modelled on the American constitution. The Head of State is the President who is elected for a five-year term of office. The Council of Ministers, appointed by the President, is the executive organ of the Republic. Legislative power lies with the House of Representatives whose members hold office for five years. A multi-party system is in operation and the electoral system is based on proportional representation.
The island was under British administration from 1878 to 1960 when it became an independent republic. The legal system and all statutes regulating business matters are based essentially on English Law. Most laws are officially translated into English. English is widely used and anyone may correspond with government departments in this language.
Our law firm VLO provides legal services for corporate and private clients in Cyprus. These services include mergers and acquisitions, business and debt restructuring, tax and tax disputes, corporate disputes, investments, bankruptcy, litigation and arbitration.
If you have questions, please us right now.
E-mail: vlolawfirm@gmail.com
