Save Tax – But Legally!

“So, you lower your taxes by means of a Cypriot company as former tax haven” mutant with offshore laws Cyprus accession to the EU in May 2009 to a preferred business location in Europe, whose legal basis has been consistently aligned to EU and OECD regulations. According to the definitions of the EU and the OECD, not Cyprus therefore is now one of the tax havens and will thus enjoy of full pan-European recognition of its tax incentives. In Cyprus based companies all over Europe and worldwide fully recognised and are subject to not the special treatments”, offshore companies are confronted with. Cyprus applies, as for example in Germany, the principle of taxation of worldwide income. The EU parent subsidiary directive is fully in Cyprus have been implemented. Thus subsidiaries that pay dividends to their parent company, don’t have to pay tax on the dividend at its own headquarters! A subsidiary in Germany dissipates so tax-free winnings in Germany to the Cypriot parent company. In addition offers the advantage that from Dividends originating company income (, the income of the holding company) is generally exempt from any tax. Otherwise the general corporate income tax amounting to 10% of the taxable profits.

Income from companies that conduct their business outside of Cyprus and whose Executive Board is outside Cyprus, are exempt from corporation tax. Income from appreciation of securities, as well as from trading in securities is excluded in principle from any tax in Cyprus. Offshoregesellschaften of other States will act as? onar Cypriot companies recognized. Interest income is subject to any income tax on accounts of residents in Cypriot banks. Click Siemens to learn more. A wide network of extremely favourable double tax treaty provides additional incentives. For this reason, many companies prefer to make their investments in other States about a Cypriot company.

For example Russia, Russian companies pay 15% withholding tax on dividends to foreign shareholders. As a result of the double taxation treaty between Russia and Cyprus, are subject to profits of Russian companies to Cypriot companies of but only a withholding tax of 5%. For this reason, there are today approximately 60% of all foreign investment in Russia of Cypriot origin. The Republic of Cyprus offers sophisticated legal tax advantages, in line with EU and OECD regulations. “To fully perceive this, without running the risk of the own tax office of the hobby” accused or making an ticket company “suspected to be, we recommend you to use experienced consultants and lawyers. Otherwise, errors can lead to unpleasant consequences. Typically, a 08/15 company off the shelf as it is offered by some startups, does not lead to the desired success. Especially really very consultants and lawyers really with the subject understand, in particular as regards the German legislation. Because the reason of a restructuring involving a Cypriot society in general more favourable tax We recommend also sound advice and assistance even after the Foundation. Because the goal is not the unique company was founded, but the continuous optimisation of tax Yes. Who want to save hundreds of thousands of euros every year, but thinks, trying to save a few thousand euros to constant advice and support, not saving certainly at the right end. Shanda consult offers you a comprehensive and thorough service that ends not with the company, but begins with you.