CFC Controlled Foreign Company IBCCS TAX Cyprus

Controlled Foreign Company (CFC) Rule

Controlled Foreign Company Rules (CFC) were implemented in Cyprus following the approval by Cyprus of the EU Anti-Tax Avoidance Directive (ATAD), which may affect a variety of companies. Relatively limited number of companies may be affected whose profits are over € 750.000 annually provided their profits are not distributed as dividends up to 7 months …

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Individual Tax Return deadline 2020 2021 IBCCS TAX Cyprus

Personal Income Tax Return

Individual Income Tax Return Submission Obligation Individuals with gross income that falls under the criteria of Article 5 of the Income Tax Law (i.e., dividends, interest, and certain other income) must file a personal income tax return (Form T.D.1). According to the decree issued on July 09, 2021, in the Republic’s official gazette, the Council …

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Global CIT 15% OECD IBCCS TAX Cyprus

Global CIT rate of min. 15%

130 countries and jurisdictions, representing more than 90% of global GDP, have agreed on 1st of July 2021 on a new two-pillar proposal to overhaul international tax regulations and ensure that multinational corporations pay their fair share of tax wherever they operate. At a turning point for the global economy, the Organization for Economic Co-operation …

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IBCCS TAX Cyprus The Netherlands DTT Double Tax Treaty

The Netherlands – Cyprus: first-ever DTT

Cyprus approved the first-time Double Tax Treaty (DTT) between Cyprus and the Netherlands on June 4, 2021, after it had been signed on June 1, 2021. The Official Gazette has published of the same on June 4, 2021. After the appropriate legal procedures are completed, the treaty will enter into force. The treaty will take …

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IP BOX Regime Cyprus IBCCS TAX

Cyprus as an ideal location for Intellectual Property

Cyprus currently has one of the most favorable IP systems in the world, imposing only 2.5% – 0.0% of the effective tax rate on profits derived from IP structures (depending on the spending structure). And this is only one of the benefits. What precisely is an IP BOX? The Intellectual Property (IP) Box regime, also …

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NID Cyprus tax deduction IBCCS TAX Limassol

NID – instrument for tax-efficient return

The Notional Interest Deduction (NID) is a significant instrument available to both domestic and foreign companies that allows them to deleverage and realize a tax-efficient return on new (qualified) equity. This return is obtained by deducting a “notional” interest charge from their taxable income.As a result of the NID, Cypriot enterprises may now attain effective …

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Cyprus Permanent Residency by Investment IBCCS TAX

New legal framework for Permanent Residency by investment in Cyprus

The Cypriot government recently announced certain amendments to the provisions of Regulation 6(2) of the Aliens and Immigration Regulations, which became effective on the 24th of March 2021, in an effort to further attract foreign investment to the island and to aid economic recovery and further economic growth. Investment criteria The applicant must make an …

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