Cyprus and Italy. Double taxation question

[Leomilano]

Hi there,


I have a simple question:


if I own some shares of a Cyprus company, I receive some dividend and I pay the Cyprus taxes, do I have to pay other taxes in Italy?


If the answer is NO, do I have to declare the incomes and saying I already paid the taxes or I can simply avoid to declare?


Thanks


Leo

 

[JohnLocke]

Well, it is the opsite of what you describe and how it works with a Cyprus company! The Cyprus company will need to be controlled and Managed in Cyprus in order to make use of the DTA between Italy and Cyprus, this is most often accomplished with nominees. You will need to declare the income in Italy but if you can proof the above mentioned, the tax has to be paid in Cyprus i.e. 10% corproate tax.