What is the tax rate applicable to Cyprus companies?

Legal entities/Companies are liable at the rate of 12.5% tax on taxable Net profit for a calendar year (1ST of January to 31st of December)

What about corporation Tax Losses?

Corporation tax losses are carried forward for 5 years.

When Tax is paid and when it is full settled?

Tax is paid by the way of Provisional Tax during the tax year in two installments and the balance in the following year at the latest on the 1st of August

What is the percentage of tax on Dividends paid to Shareholders?

Shareholders who are not resident in the Republic of Cyprus received dividends without any withholding tax, 0% tax.

Shareholders who are resident in the Republic of Cyprus received dividends after the deduction of 20% tax.

An individual is resident in Cyprus, if he/she resides therein for a period or more which in aggregate exceed 183 days. The Tax is payable by the Company for the account of the Shareholder.

What are the Income Tax issues applicable to individuals who are Residents and Non Residents in the Republic of Cyprus.

The income liable to income tax includes, inter alia, trade income, income from salaried services, pensions, interest, dividends, royalties, etc.

Individual resident in Cyprus are liable to income tax in respect of their worldwide income.

Non- tax residents are liable to tax in respect of Cyprus source income only.

The first €19.500 are taxed at 0% and after: