Buisness

IT company in Cyprus

January 26, 2021

It has long been one of the favorite jurisdictions for IT due to a number of factors:

Features:

It is not an offshore, is not included in the black lists of offshore zones, although it has long been considered one of the main offshore jurisdictions; The corporate tax is 12.5%; Information about shareholders and directors can be obtained from the register. Now a register of beneficiaries is being formed, which will not be available to the general public; It is obligatory to submit audited reports to the tax authorities once a year. An audit is certainly a more complicated and more expensive process than the submission of financial statements; Cyprus gives the opportunity to open an account in the same country as the company. In Cyprus, it is possible to open an account both with a Cypriot bank and with a Cypriot payment institution. The second option is more dynamic, the account in the payment system is available for work after a couple of weeks of considering your case; Shareholder – at least one, natural or legal person. There are no residency requirements; Director – at least one, individual. There are no residency requirements, but if the director is not a Cypriot, the company is recognized as non-resident, such a company will not receive a tax residency certificate. Such a company is not acceptable, since you need a Tax Resident Certificate to pay dividends. A local secretary is required. For large IT companies, it is possible to organize an IP box mode.

The main advantage of Cyprus is flexibility and adaptability in all matters, Cypriots will always be happy to help you in solving your problems that may arise in the course of work (renting a real office, hired employee, registration in social. Fear, server placement, etc.) … One of the few jurisdictions that optimally quickly responds to all changes in the rules of international business. The country itself is inexpensive, which is why many IT companies organize offices here. Pleasant climate, developed infrastructure for tourism.

All of the above is undoubtedly the advantages of the jurisdiction, but the main advantage for CIS residents is the withdrawal of dividends and the receipt of royalties from Cyprus with minimal losses in the context of taxes.