Cyprus tax optimization for stock, crypto traders?

[Matade]

If you have non-dom in Cyprus which voids SDC 19% tax obligation, how does that apply to cryptocurrency sales or trading and stock, options sales or trading?

What is the best structure to setup in Cyprus for Cyprus non-dom resident to optimize tax for trading activities both in stocks and in cryptocurrencies?

 

[tradecys]

You can trade under a Cyprus company and pay 12.5% taxes on it (which is not too bad) or trade under an 0% tax offshore company and pay yourself dividends from it. Now dividends are tax free in Cyprus. But this needs a solid setup so contact a lawyer.

 

[aniglo22]

You can trade under a Cyprus company and pay 12.5% taxes on it (which is not too bad) or trade under an 0% tax offshore company and pay yourself dividends from it. Now dividends are tax free in Cyprus. But this needs a solid setup so contact a lawyer.

This won't work with the "0% tax offshore company " .

In accordance with the Corporate Income Tax Law, a company is considered to be a tax resident of Cyprus if its management and control are exercised in Cyprus.

 

[ilke]

This won't work with the "0% tax offshore company " .

Well...

It's not legal but the law is not currently enforced. It is done by a large number of residents in Cyprus, that is not to say it is recommended or it won't be enforced later on. But it's not a priority for them at the moment.

 

[aniglo22]

Well...

It's not legal but the law is not currently enforced. It is done by a large number of residents in Cyprus, that is not to say it is recommended or it won't be enforced later on. But it's not a priority for them at the moment.

Yeah that's true , but it's just a matter of time with the Eu pressuring Cyprus . https://www.reuters.com/world/europ...l-failing-implement-corporate-tax-2024-10-03/ ( I know it's only for multinational companies but it's just the beginning)
Especially if you are founding a new company, I’m not sure if it’s the best decision (but that’s just my opinion and my judgement)

 

[CyprusLaw]

Yeah that's true , but it's just a matter of time with the Eu pressuring Cyprus . https://www.reuters.com/world/europ...l-failing-implement-corporate-tax-2024-10-03/ ( I know it's only for multinational companies but it's just the beginning)
Especially if you are founding a new company, I’m not sure if it’s the best decision (but that’s just my opinion and my judgement)

You can trade under a Cyprus company.

Stock trading is non-taxable in Cyprus. With crypto the situation is slightly different but still a Cyprus company is an optimal solution. I have PMd you.

 

[BLINKERCY]

So if it's mostly stocks & options it's better to do it under your own name, no company? It shouldnt be taxable if it's stocks & options traded on recognized exchanges like the NYSE, right?

Do you pay GESY on capital gains?

 

[tomek711]

Is it a tax event in Cyprus if I change Crypto to another Crypto for example Ethereum (ETH) to USDC (Stablecoin) as a private investor, no thru a company? I live In Cyprus and have the non-dom status.

Thank you for your help.