Tax Benefits

Tax benefits for foreign investors in Cyprus

Cyprus has one of the lowest corporation tax rates in EU with a flat rate of 12.5% which is significantly lower than many other countries including UK.

There are also attractive tax regime for holding companies, which can benefit from exemptions on dividends received and capital gains from the disposal of shares.

Double taxation treaties are another key benefit of opening a corporate business in Cyprus. Having an extensive network of double taxation treaties, can help to reduce the tax burden for businesses operating in multiple jurisdictions.

Furthermore, Cyprus offers a notional interest deduction on new equity investments, which can help reduce the tax burden for expanding businesses.

Last but not least, Cyprus does not impose withholding tax on dividends paid to non-residents making it an attractive location for international investors.