The Cyprus Non–Dom Regime – What Are Considered The Strong Points of a Non-Dom Regime?
Being at the crossroad of the three continents Europe, Asia and Africa, Cyprus is an EU member state with a stable economy low tax rates…
Read more
Non-Governmental Organisations (NGO’s) in Cyprus
A non-governmental organisation (NGO) is an entity that operates independently of any government with the primary aim of improving societal conditions.
The Cyprus Non–Dom Regime – Who Are the Potential Applicants?
Cyprus is increasingly positioning itself as a prime destination for high-net-worth individuals due to its attractive tax regime and other factors that support wealth management.
Decoding eIDAS
In an ever-evolving digital age, the eIDAS (electronic Identification Authentication and Trust Services) Regulation provides a framework for secure electronic transactions across the European Union (EU).
Ο Περί Εταιρειών (Τροποποιητικός) (Αρ.4) Νόμος 101 (Ι) του 2024
Ο Περί Εταιρειών (Τροποποιητικός) (Αρ.4) Νόμος 101 (Ι) του 2024 εισήγαγε σημαντικές αλλαγές…
Mergers & Acquisitions in Cyprus: Practical Law Global Guide
Mergers & Acquisitions in Cyprus: Practical Law Global Guide We are pleased to have contributed to Practical Law Global, the Cyprus part of the Private M&A Global Guide (Private Mergers and Acquisitions in Cyprus: Overview). The guide provides an overview of key legal and deal structuring issues relating to private M&A transactions in Cyprus, including as…
Structuring M&A Deals – Protecting the Seller’s Earnout Post-Acquisition
Earnouts, while offering the potential for additional compensation based on future performance, they also introduce a layer of uncertainty and risk for sellers.
Cyprus Tax Residency and Non-Dom for Individuals
As of 2017, an individual is considered a tax resident of Cyprus if they meet either the ‘183-day rule’ or the ’60-day rule’ for the tax year.
Reduction of Company Share Capital
Share capital refers to the funds contributed by shareholders to establish or expand a company.
Ongoing Obligations of a Cyprus Company
Incorporating a Cyprus company is an easy and relatively swift procedure, but what about the obligations regarding tax and statutory reporting?
Cyprus Trade Names
A Tradename, also known as a Business name, is the designation under which an individual or company conducts its business activities, distinct from the legal entity’s registered name.
Establishing a Business Entity in Cyprus
Cyprus is an EU member state and a common law jurisdiction with a legal system similar to that of the UK. It is located at the eastern end of Europe linking 3 continents, Europe, Africa and Asia and it has a long and strong reputation as an international business center.
The Impact of MiCA on Cross-Border Operations for Non-EU Crypto Businesses
The world of cryptocurrency and blockchain technology knows no borders. As crypto markets continue to expand globally, they attract a growing number of businesses offering a wide range of services.
Private M&A Cyprus Comparative Guide
We’re pleased to be the authors of the Cyprus law chapter in Mondaq’s Comparative Guide on Private Mergers & Acquisitions.
Directors’ obligation for keeping accounting records and company books
Directors are responsible for maintaining the company’s accounting books and records in accordance with applicable accounting standards and laws governing the country where the company is registered.
Υποχρέωση Διευθυντών Για Τήρηση Λογιστικών Αρχείων Και Βιβλίων Εταιρείας
Οι διευθυντές είναι υπεύθυνοι για την τήρηση των λογιστικών βιβλίων και αρχείων της εταιρείας σύμφωνα με τους ισχύοντες λογιστικούς κανόνες και τους νόμους που διέπουν τη χώρα όπου είναι εγγεγραμμένη η εταιρεία.
Understanding Reverse Takeover (RTO) Under Cyprus Law
In the dynamic corporate world, businesses are constantly exploring strategic options to expand their operations and enhance market competitiveness.
Update on the 50% Exemption of Employment Remuneration
On June 30, 2023, an amendment to the income tax law was published in the Government Gazette, specifically addressing the 50% exemption of employment remuneration under Article 8(23A).
MiCA and the Cyprus Crypto-Assets Legal Framework
The EU Council which represents all 27 EU member states, has unanimously approved earlier this month the Markets in Crypto-Assets Regulation (MiCA).
Trademark Registration in Cyprus
A Trademark is type of Intellectual Property Right that consists of a recognisable symbol, logo, name or design used to distinguish a company’s product or services from those of this competitor.
Why is the Cyprus Share Pledge an Excellent Type of Security?
Cyprus companies are frequently parties to financing transactions either as borrowers or guarantors. For this reason, it is often the case that the shares in the share capital of such Cyprus companies are being placed as security to secure the loan obligations.
The Importance of the SEC v Ripple Case
In late 2020, the US Securities and Exchange Commission (SEC) charged Ripple, a San Francisco-based company that offers a cross-border payment infrastructure, and two of its executives, with conducting an unregistered securities offering of $1.3bn by selling their cryptocurrency XRP.
Can a “Reverse Merger” Be Made Under Cyprus Law?
The term “reverse merger” refers to a reorganisation whereby a subsidiary company absorbs the assets and liabilities of its parent holding company.
Update on Public Access to Ultimate Beneficial Owners (UBOs) Register
In light of the recent Judgement of the Court of Justice of the European Union (CJEE) in joined cases C-37/20 and C-601/20, of November 22, 2022, access to the Register of Beneficial Owners for the general public was suspended as of the 23rd of November 2022.
Strike Off of a Cyprus Company
Under Cap. 113, the Registrar of Companies may remove from the Register any company which appears not to be doing business and is not operation.
Merger or Liquidation? Practical comparison under Cyprus Law
We are often approached by clients who wish to simplify their corporate structures, with the question whether it is best to opt for a merger between their group companies, or the liquidation of companies which no longer they wish to keep alive.
A Brief Guide to Shareholders’ Agreements
A shareholders’ agreement is a private agreement between shareholders which determines the manner in which shareholders exercise their rights with respect to the shares in the company or the rights attached to the shares in the company.
Reserving a Company Name in Cyprus
In order for a company to be registered, the name under which it is proposed to be registered must have been previously approved by the Registrar of Companies and Official Receiver (hereinafter the “Registrar”) after submitting a relevant application. According to the Companies Law Cap.113 the proposed name to be approved by the Registrar certain…
Cyprus Insolvency Procedures
The Legal Framework Insolvency matters in Cyprus are governed by the Bankruptcy Law Cap.5, which deals with the bankruptcy of natural persons, and the Companies Law Cap.113, supplemented by the Companies (Winding Up) Rules and certain provisions of the Bankruptcy Law which regulate the insolvency of legal persons. In 2015 the Cypriot Insolvency Law has…
Removal of Liquidator in Creditors’ Voluntary Liquidation
Possibility to remove current liquidator and possibility to appoint an additional liquidator in the procedure of creditor’s voluntary liquidation. Based on Section 277 of the Cyprus Companies Law, Cap.113, the creditors and the company at their respective meetings may nominate a person to be liquidator for the purpose of winding up the affairs and distributing…
When Creditors’ Voluntary Liquidation is Appropriate
A company may enter into the procedure of the voluntary liquidation by its creditors when it cannot pay its debts. This procedure’s objectives are the distribution of the insolvent company’s assets between its creditors and the company’s dissolution. The directors of the insolvent company shall prepare a statement of their position on the company’s affairs,…
Re-Domiciliation Out of Cyprus
Procedure of re-domiciliation of a Cyprus Company out of the Republic of Cyprus. Application for re-domiciliation abroad A Cyprus company registered under the provisions of the Companies Law, Cap. 113 may apply to a foreign country to be registered and continue its existence under that legal regime provided that the following has been obtained: (a)…
Πνευματική Ιδιοκτησία
Τι είναι η Πνευματική Ιδιοκτησία Σε αντίθεση με την ιδιοκτησία φυσικών αντικειμένων, όπως για παράδειγμα την ιδιοκτησία αυτοκινήτων, σπιτιών και άλλων αντικειμένων, η πνευματική ιδιοκτησία αναφέρεται στην ιδιοκτησία ενός φυσικού ή νομικού προσώπου επί δημιουργιών του ανθρώπινου μυαλού, όπως για παράδειγμα μία εφεύρεση, σχέδιο, διακριτικό σήμα, καλλιτεχνικά έργα. Τα δικαιώματα πνευματικής ιδιοκτησίας προστατεύονται τόσο από…
Private Mergers and Acquisitions in Cyprus: Overview
Q&A guide to private mergers and acquisitions law in Cyprus The Q&A gives an overview of key issues including corporate entities and acquisition methods, preliminary agreements, main documents, warranties and indemnities, acquisition financing, signing and closing, tax, employees, pensions, competition, and environmental issues. Private Mergers and Acquisitions in Cyprus: Overview Read the complete guide here……
Why is Cyprus a top location for founders to set-up
Owners of successful businesses sometimes like to exaggerate with extravagant lifestyles. Santa Clara mansions, private Hawaii islands, Bugattis and Lamborghinis, private yachts, submarines and jets it is not unusual to see them posted on TikTok. There are however also, down to earth successful founders and company owners, who prefer to maintain a lower profile and…
Headquartering or Setting Up a Base in Cyprus
Cyprus registered companies can employ third country (non-EU) nationals to work and live in Cyprus, under a fast-track scheme, if certain basic requirements are met. The new “Cyprus Foreign Interest Companies” scheme adopted by the Cyprus Government, under which Cypriot registered companies owned by foreign shareholders, may employ in Cyprus third country (non-EU) employees, in…
Smart Contracts and the New Reality
New market and new reality In front of the heavy bookshelves of the city’s law offices that store hard copies of the All-England Law Reports since 1890 to date, lawyers are talking with young people, clients and experts, about science-fiction computer-geek terms like “blocks” and “distributed” and “permissioned ledgers”, “hashing” and “mining”, “full” and “half…
Electronic Money Institutions
An authorisation for the operation of an electronic money institution is only granted to a legal person who has been incorporated and has its head office in the Republic of Cyprus. In accordance with the provisions of the Electronic Money Law 2012, which was enacted for the purposes of harmonisation with the act of the…
Δάνειο Ξένου Νομίσματος ή Σύνθετο Παράγωγο Χρηματοοικονομικό Μέσο;
Του Μιχάλη Ο. Ιωαννίδη Η κύρια και πιο γνωστή νομική επιχειρηματολογία για την προσβολή δανείων σε Ελβετικό Φράγκο είναι σαφώς αυτή που αναπτύχθηκε στην υπόθεση του Ευρωπαϊκού Δικαστηρίου C-26/13 μεταξύ Árpád Kásler v OTP. Η απόφαση καταπιάνεται κυρίως με το Ευρωπαϊκό Δίκαιο για τις καταναλωτικές συμβάσεις (Οδηγία 93/13/EC) και συγκεκριμένα καθορίζει εν ολίγοις ότι οι…
Η Παραίτηση του Διαχειριστή και η Κακοποίηση της Λαϊκής Τράπεζας
Του Μιχάλη Ο. Ιωαννίδη Σήμερα το πρωί η Cyprus Mail και το Sigma Live δημοσιοποίησαν μια διαμάχη μεταξύ του Διαχειριστή και της Κεντρικής Τράπεζας η οποία θα μπορούσε να οδηγήσει στην παραίτηση του διαχειριστή της Λαϊκής Τράπεζας. Η διαμάχη αυτή επιβεβαιώθηκε με την ανακοίνωση του διαχειριστή ότι “τα βρήκε” με την Κεντρική Τράπεζα. Το ενδεχόμενο…
Ανάλυση της πρόσφατης απόφασης Ελληνικού Δικαστηρίου για δάνεια σε ξένο νόμισμα
Της Μαρίας Αγγελίδου Μέγιστης σημασίας αποτελεί η πρόσφατη απόφαση του Πρωτοδικείου Αθηνών, η οποία φαίνεται καθαρά να ακολουθεί την τάση άλλων Δικαστηρίων ξένων χωρών, με παρόμοιες αποφάσεις, στο πολύ σημαντικό ζήτημα του δανεισμού σε Ελβετικά Φράγκα. Στην εν λόγω απόφαση γίνεται δεκτή αίτηση καταναλωτών με πληρεξούσιους δικηγόρους, το Δικηγορικό Οίκο LLPO Law Firm και εκδίδεται…
Double Tax Treaty Between Cyprus and Latvia
In the meeting of Secretaries of the Latvia State, was announced the draft law, prepared by the Ministry of Finance of Republic of Latvia, regarding Convention between Republic of Latvia and Cyprus for avoidance of double taxation and prevention of fiscal evasion in respect to taxes on income. The agreement aims to promote trade, foreign…
Άποψη: Σχέδιο για την Ανακεφαλαιοποίηση του Κυπριακού Τραπεζικού Συστήματος
Η παρούσα πρόταση επιδιώκει να επιλύσει το κύριο πρόβλημα το οποίο αντιμετωπίζει σήμερα η Κυπριακή Οικονομία το οποίο είναι η ανακεφαλαιοποίηση των Κυπριακών Τραπεζών οι οποίες αποτελούν συστημικό κίνδυνο, με τρόπο διαχειρίσιμο εν όψη της γνωστής πλέον πρόθεσης του Eurogroup για πιθανό κούρεμα των καταθέσεων. Η παρούσα πρόταση αποτελεί μόνον έσχατη λύση και νοουμένου ότι…
Cyprus Depositors to Bail out Cyprus: A short term hit for long term benefits
After 10 hrs of negotiations Cyprus has reached a bail-out agreement with European Union and IMF for Euro 10 billion. The agreement is reached on a condition of a one-time bail-in tax on all depositors to be implemented on Tuesday morning after a Monday bank holiday to avoid bank runs. The bail-in tax will be…
The Annual Company Levy of Euro 350 for Cyprus Companies
According to Companies Law (Amendments) (No.3) 2012 and 2013 voted by the Parliament, amendments were enforced in relation to the fixed annual levy of Euro350 for companies. With the amendments the annual levy of Euro350 has been imposed to all Cyprus companies. More specifically, the amendments made are as follows: All Cyprus companies, either dormant…
Cyprus signed a Double-Tax Treaty with Spain
Finally, the barrier was lifted as the two countries signed an agreement to be ratified for the avoidance of double taxation. Double taxation is perhaps the most vivid example of a barrier in international relations and economic cooperation, arguably, an unfortunate remnant of the past. Cyprus and Spain signed on 14 February 2013 an agreement…
Cyprus is up one rank in World Bank’s “Doing Business” rankings
This year’s “Doing Business” report, compiled by World Bank, ranks Cyprus in the 36th position out of 185 countries ranked. Cyprus in 2013 report moved up one position as its 2012 ranking was 37. It is noted however that Cyprus ranks better than its main competitors in the world-wide financial business centre arena. Luxemburg is…
The European Unitary Patent and the new Cyprus Royalties Tax
On 11th of December 2012 the European Parliament approved the EU regulation on Unitary Patent for Europe. The regulation creates a system where the EPO (European Patent Office) will be able to issue one single patent protecting rights in all 25 member states which opted in this system. Italy and Spain opted out of the…
Cyprus – Troika MOU: The new Cyprus VAT rate
In pursuance to the Cyprus – Troika memorandum of understanding, Cyprus will be obliged to raise the VAT tax rate. Currently the VAT rate in Cyprus is 17% after a recent amendment back in March of 2012. The Cyprus – Troika memorandum provides for a VAT rate of 18% from 1st of January 2013 and…
Cyprus – Troika MOU: The Annual Company Levy of Euro 350
In pursuance to the Cyprus – Troika memorandum of understanding, Cyprus will be obliged to abolish all exceptions for paying the Annual Levy of Euro 350. In accordance to existing rules and exceptions, the annual levy is only paid by Companies which have real activities and companies with assets in Cyprus. Abolishing the exceptions for…
Cyprus signs a Double Tax Treaty with Portugal
Following the removal of Cyprus from the Portuguese “black list”, on 19 November 2012 the representatives of Cyprus and Portugal have concluded and signed a Double Tax Treaty. The Portuguese Ministry of Finance has removed Cyprus from the country’s “black list” of jurisdictions which are considered to have privileged tax regimes, based on the Decree…
European Commission Action Plan to combat Tax Evasion
The European Commission will present today a Communication to the European Council and Parliament titled Action Plan to Strengthen the Fight against Tax Fraud and Tax Evasion. The Communication, sets out the practical steps to be followed the next couple of years by all involved institutions including EU member countries to battle tax evasion. In…
Cyprus signs a Double Tax Treaty with Finland
Cyprus and Finland signed an agreement on 15th November 2012 in Nicosia for the avoidance of double taxation, with both sides pointing out its significance for facilitating investments and strengthening bilateral ties. The agreement was signed by Cypriot Minister of Finance Vasos Shiarly and Ambassador of Finland in Nicosia Anu Saarela, at the Ambassador’s residence.…
Cyprus signs a Double Tax Treaty with Ukraine
On 8 November 2012 during an official visit of the President of Ukraine Viktor Yanukovych in Cyprus the two countries signed a new Double Tax Treaty (DTT). The agreement is to replace the 1982 treaty for the avoidance of double taxation as concluded between Cyprus and the USSR. The DTT will come into effect on…
Cyprus – Troika MOU, Cyprus Tax and International Investment
Last week, Cyprus government and Troika agreed in principle on an MOU on Specific Economic Policy Conditionality. The MOU contains several provisions and measures relating to: The Financial and Banking Sector; Fiscal Policy; Fiscal and Structural Measures; Labour Market; Goods and Services Markets; Beside the austerity measures which are costly in terms of growth, at…
European Union: Cyprus is Becoming the Jurisdiction of Choice for Intellectual Property Rights
Royalties are the payments of license fees by one individual or entity to another for the use of intellectual property (IP). Intellectual property can take several forms as follow: Patents that protect inventions or new processes; Trademarks that relate to the names of products and perhaps also their design and packaging; Copyright, which attaches to…
Annual Charge for the year 2012 for Cyprus Companies
As from 2011 all registered Cyprus companies are obliged to pay an annual charge of Euro 350 in order for the companies to be in good standing and to remain in the register of Cyprus companies at the Registrar of Companies. For Cyprus companies which belong to a group of companies the total amount of…
Increase of Cyprus VAT as from 1st March 2012
The VAT rate in Cyprus will increase from 15% to 17% effective from the 1st March 2012. Any goods or services falling within the reduced VAT rates of 5%, 8% and 0% will remain unaffected from the increase of the VAT rate. All taxable persons affected by the change of the VAT rate must –…
Cyprus company formation: The use of the EU business hub as an offshore tax shelter
If you have business activities of international scale, and want to find a reputable offshore tax shelter, the Mediterranean basin is the place to look. Cyprus these days poses as one of the most reputable tax efficient jurisdiction, which although onshore EU destination, still offers some very competitive offshore tax advantages. Such advantages made Cyprus…
Annual Charge for Cyprus Companies
As from 2011 all registered Cyprus companies are obliged to pay an annual charge of Euro 350 in order for the companies to be in good standing and to remain in the register of Cyprus companies at the Registrar of Companies. For Cyprus companies which belong to a group of companies the total amount of…
India to renegotiate Mauritius Double Tax Treaty
In a recent article of the Economic Times, published on the 19th of April, is reported that the Ministry of Finance is requesting for a renegotiation of the India – Mauritius Double tax treaty. More specifically the article reports that: “The finance ministry has written to MEA for renegotiation of the tax treaty to ensure…
Tax on Dividends of a Greek legal entity to another EU based legal entity
In a recent article published, our tax advisor and auditor Charis Hadjioannou explains how a Greek legal person is exempted from withholding tax on dividends or other payments, towards another legal entity resident in another European Union state (i.e. Cyprus). For review of the full article. Φορολογία μερισμάτων που διανέμουν νομικά πρόσωπα σε εταιρείες άλλου…
LLPO Law Firm assists Splash Water for the Stock Exchange
P.C.Splash Water Limited, the well-known importer and distributor of POKKA Coffee, is now on track for stock exchange. The first act of this play will be the Private Offering of 7.000.000 shares of nominal value of Euro 0.25 each in the share capital of the company, offered for the price of Euro 1.20 per share…