One of the most important services of PKF in Cyprus, is to provide services to its customers at an international level such as the formation of Cyprus Company that can be used internationally, the formation of the company abroad, the opening of a bank account in Cyprus and abroad etc
PKF Cyprus gives you the opportunity within a week to register a Cyprus Company which can have its own Cyprus bank account
In more detail:
The process of Cyprus Company registration and relevant documents required:
To speed up the Cyprus Company registration process, our firm maintains a list of already approved names from the Cyprus Registrar of Companies. Choosing one of the names, within a week we can deliver a fully registered Cyprus company which is fully in operation.
For Cyprus company registration for each shareholder / beneficial owner we will need the following:
- Copy of Passport / Identity Card
- Prove of residence address. For example a less than 3 months utility bill - electricity bill, telephone bill etc
Bank account opening process in the name of the Cyprus Company and relevant information required:
Following the Cyprus company formation, it takes 2 days for opening a fully active Cyprus bank account, provided that all required documents and relevant information have been submitted to the bank.
Bank account can be easily opened in Cyprus. In other countries, opening a bank account could be time consuming and complicated. This does not apply to Cyprus. For Cyprus banks the presence of the customer is not a requirement if the customer is represented by an approved professional service provider such as PKF Cyprus. This is important, as this will save valuable time, unnecessary expense, inconvenience and travel to Cyprus. We take fully responsibility of the process and data collection needed by the Cypriot banks for the opening of a Cyprus bank account.
Cyprus company formation benefits and advantages
- Low corporate tax rate (12.5%)
- Cyprus is well established as an international business center
- Transparent legal framework, EU member and Tax system fully compatible with the EU and OECD
- Extensive network of double tax treaties
- Full compliance with European directives such as the EU parent / Subsidiary directive / interest, royalties' directives etc.
- Cyprus Company's Taxation of dividends - 0%
- Cyprus Company's distribution to shareholders taxation - 0%. No withholding tax
- Cyprus Company's gain on sale of securities - shares - 0%
- Handling tax paid abroad - deducted from the Cyprus tax
- Minimum capital required for Cyprus company formation - 1 euro
- Cyprus Company's dividends
- Tax-free in foreigner shareholder's hands (taxed only in shareholder's country of residence)
- They can be distributed in time chosen by the shareholder
- Can be reinvested without limitation
- Confidentiality and shareholders protection - Cyprus limited Liability Company
- Flexibility in heritage issues (transfer of shares, there is no inheritance tax, etc.)
- Cyprus Company's foreign shareholder has the right to manage the company through his appointment in the Cyprus Company board or through proxy
- Cyprus Company's foreign shareholder can control his/her Cyprus bank account transactions
- Foreign shareholder asset protection
- Cyprus exporting companies or Cyprus international trade companies can do transactions without restrictions on capital movements
- Ability to open personal bank account, bank card, etc. and withdraw any amount money from any country in the world.
- Cyprus Company's running costs can be paid with a bank card from any country in the world, for example travel expenses, etc.
- Cyprus Company's corporate expenses can be paid with bank cards and accounted in the books of the Company
- Cyprus Company's costs are
deductible from Cyprus Company taxable income. General rule - Costs
associated with income are deducted, for example,
- Accounting and audit fees
- Interest expenses, exchange losses,
- Entertainment / transportation costs
- Travel abroad
- Wages and salaries including directors'
- Related supplies
- Depreciation of equipment (Computer, etc.)
- Surplus earnings of the Cyprus Company can remain undistributed or reinvested from Cyprus to other countries and profits can be remitted again in Cyprus Company.
Cyprus Company is not an offshore company but instead a Cyprus Company is a common European Company
Since Cyprus joined the EU, a Cyprus Company is not an offshore or tax haven Company. Cyprus Company is not a Cyprus offshore company but it is a common European Company. For many people there is confusion about the status and use of a Cyprus company, a fact which affect negatively the decision of entrepreneurs to register a Cyprus company.
Once Cyprus company formation process is completed, in order to apply the Cyprus tax regime, it is important that after the Cyprus company formation, Cyprus companies should always ensure that management and control of the Cyprus Company resides in Cyprus. That is, the majority of the Cyprus Company board of directors is Cyprus residents, Cyprus Company board of directors meetings are held in Cyprus, Cyprus Company board minutes are kept in Cyprus etc.
Other related Cyprus company services we provide:
Along with the Cyprus Company formation and Cyprus company ongoing services we can provide:
- Cyprus company representation services, including nominee director, nominee shareholders, registered office, Cyprus Company secretary, maintaining Cyprus Company's registry etc.
- Cyprus Company secretarial/ corporate services, preparation of minutes and resolutions of Board of Directors meetings, preparation of minutes and resolutions of extraordinary shareholders general meetings, preparation of Annual Return and submission to the Cyprus Registrar of Companies accompanied by a set of financial statements etc
- Cyprus Company's document preparation. Preparation of Trust deeds, powers of attorney, other related legal documents etc, requesting new certificates from the Cyprus Registrar of Companies i.e. Incorporation, Directors and Secretary, Registered office and Shareholders. Requesting Certificates of Good Standing from the Cyprus Registrar of Companies, issuance of Tax Residence Certificates from Inland Revenue Department, certification of documents by Certifying Officer, certification of documents by Ministries and/or Embassies (Apostile – Hague convention)
- Cyprus Company Cyprus banking administration services, handling of correspondence with banks, execution of bank payments, etc
- Cyprus Company Legal services. Preparation and review of agreements and contracts i.e. provision of services agreements, loan agreements, etc
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.