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Having a legal company in cyprus

Discussion in 'Cyprus Company formation' started by wachu, Apr 3, 2017.

  1. wachu

    wachu New Member

    Hello,

    I want to incorporate a legal company in cyprus for my web business.

    So according to this :
    Cyprus

    I will have the 12.5 company tax rate and my personnal tax in my country.

    Is that correct ?
     
    diablo and bountymounty like this.
  2. negon

    negon Offshore Agent Mentor Group Business Angel

    Seems you never got a reply to your thread :)

    Yes that is correct you pay 12,5% tax. You can also register the company non resident so there is no tax to be paid! This is sometimes a better solution depending on what business you are into.
     
  3. Starlights

    Starlights Active Member Entrepreneur

    where can i find cheap and good accounting service for my cyprus company i try search internet but not find any good someone could recommend any?
     
  4. clemens

    clemens Corporate Services Mentor Group Business Angel

    You typically find it with the service provider that register the company for you!
     
  5. Starlights

    Starlights Active Member Entrepreneur

    Okey thanks for the TIP :)
     
  6. Admin

    Admin Forum Moderator The Forum Cleaner

    That's correct. You can register the company non-resident and avoid to pay tax at all! You can also register the company simply onshore and pay the 12,5% tax on profits but ask your CPA to help you to reduce the profits legally! So you can register the Cyprus company for VAT and comply to the European VAT regulations.
     
  7. bountymounty

    bountymounty Trusted Member Mentor Group Business Angel

    where did you get your company setup?
     
  8. Royce Office Cyprus

    Royce Office Cyprus New Member

    If you register your company as a non-tax resident, then you'd have to pay taxes in your home country.
     
  9. Admin

    Admin Forum Moderator The Forum Cleaner

    That's correct, the question is about corporate tax and not personal tax. There are hundred of threads on this forum alone that outline it clearly that you have to pay personal tax from your personal income i.e. when you transfer money from the company to your self.
     
  10. diablo

    diablo Banned Users Business Angel BANNED MEMBER

    Agree, if one is looking for 0% corporate tax you simply register the Cyprus company non resident! You can't get a certificate of residency nor can't you get VAT registration for this company if you do so. For most it will work just fine.
     
  11. GrumpyMess

    GrumpyMess New Member

    Doing this way will be any corporation tax in my home country(no cfc law)?
     
  12. negon

    negon Offshore Agent Mentor Group Business Angel

    you can't make use of double tax treaty if you don't pay tax somewhere.
     
  13. extremedox101

    extremedox101 Trusted Member Business Angel

    i'm so glad and thankful i don't have to pay taxes/vat on my income , the taxation sound so taxable .hi%#
     
  14. GrumpyMess

    GrumpyMess New Member

    so if I am not paying the corp tax in Cyprus I will have to pay this corp tax in my country?
     
  15. lostman

    lostman Active Member Entrepreneur

    that is how it works normally! But this only apply if you want to make use of double tax treaties.
     
  16. GrumpyMess

    GrumpyMess New Member

    By double tax treaties you mean witholding tax? I don't care of it. I just don't want to pay the corporation tax for Cyprus company in my home country.
     
  17. Admin

    Admin Forum Moderator The Forum Cleaner

    No, double tax treaty means if you pay tax in country A you don't have to pay in country B where you live! This is only available for corporate tax in the situation where you can proof the company has paid tax in country A.
     
  18. GrumpyMess

    GrumpyMess New Member

    So owning a Cyprus non resident company has no benefits if I am still liable to a corporation tax in my country
     
  19. diablo

    diablo Banned Users Business Angel BANNED MEMBER

    it is the exact same thing with any offshore company. The question is if you pay tax or not that's why people setup anonymous corps from time to time.