The below is information we send to our client in 2010 in regards to the Tax Returns and Tax Payment, we thought to publish it here for the interest of new and existing clients.

The first set of financial statements can cover up to 18 months and then every 12 months.

As the Tax Year is a calendar year ie 01/01 -31/12, we prefer financial year to end 31/12 so that the 2 years coincide.

If a company is registered after 30th of June, then we can prepare financial statements for more than 12 moths. For example, if a company was registered on 5th of July 2010, then the first set of financial statements will cover the 18 month period from 05/07/10 -31/12/11. If a company was registered on 5th of June 2010, then the first set of financial statements will cover the 7 month period from 05/06/10 -31/12/10.

The Tax Return must be filed within 12 months after the end of the tax year. For example, the Tax Return for 2010 must be filed by 31/12/11 the latest.

All Cyprus companies, whether Tax Resident or Non Tax Resident, must prepare audited financial statements and must file a Tax return. In the case of Non Tax Resident, the tax will be zero.

For companies that had no activity, we charge a fee of Euro 1000 for preparing dormant accounts and filing the Tax Return.

Please note! : All Cyprus companies must keep records, prepare audited financial statements and file a Tax Return.
With regards to filing a Tax Return and payment of taxes, please see below some additional information.

We can offer to our clients accounting and auditing services. Our fee for recording the books is based on the volume and complexity of the transactions. Assuming that transactions are not complex, we charge approximately Euro 1.600 for up to 100 transactions per year. We also charge a fee EUR 900 for preparing audited financial statements and submitting the Tax return.

If a Vat Return must be filed, then we do not charge extra for the Quarterly Return but we charge a EUR 100 filing fee in case a monthly VIES form has to be submitted.

Above 100 transactions, we can negotiate the fee with the client (you).

Please inform us as soon as possible your expectations, wether you will have a taxable profit for the year 2010 and if so, to submit the computation of temporary tax assessment together with the 1/3 of the provisional tax on 1st August.

Failure to make a tax provision of at least 75% of the final year's taxable profits will result in payment of an additional tax of 10% on the difference between final tax and provisional tax. Failure to pay the provisional tax on time will result in an 8% interest payable on overdue tax.

The installment payable on 1st August can be paid until 31st August 2010 without any interest charged. It is possible to revise an assessment upwards before the end of the year.

Tax Returns and Tax Payment Dates

Tax year is on a calendar basis ie Tax year 2010 is from 01/01-31/12/10.

For Tax year 2010 tax is payable as follows:

A provisional assessment of the tax should be made for the Tax year 2010 and any taxes due must be paid in 3 equal installments as follows:

• 31/08/2010
• 31/10/2010
• 31/01/2011

The provisional assessment should be at least 75% of the final tax to be assessed; otherwise, there is a 10% penalty on the difference between final tax to be determined and provisional tax.

A provisional tax assessment can made any time between 01/08 -31/12/10.

The difference between final tax determined and provisional tax must be paid by 31/08/11 the latest.

If above taxes are not paid on time, then interest of 5.35% is charged.

The Tax return for the Tax year 2010 must be submitted by 31/12/10 the latest otherwise there is a 5% penalty on final tax to be assessed.

For any additional questions or if you require any additional information, please do not hesitate to contact us!

Sometimes we can do that, it depends very much on how the Cyprus company is incorporated.

The best you can do is to send us copies of the corporate docs. We need to know if there are any nominees. If there nominees, we cannot proceed with the strike off.

Our fee is EUR 995 for this service, in the case it is possible.

You can send your documents including a brief description of what it is you require through our ticket system : https://www.cclogic.com/support

We have 2 types of Cyprus companies, as far as their tax status is concerned. These are:

(a) A Cyprus resident company which is taxed at 10% on its profits.

(b) A Cyprus non-resident company which is not taxed.

The place where management and control of the company is exercised determines the residence status of the company. If the majority of the company Directors are Cypriots, then it can be assumed that decisions are taken in Cyprus and the company is Cyprus resident. This is why we use Cypriot nominee directors.

A Cyprus resident  pays 10% tax, can get Cyprus Tax Resident Certificate and can distribute to its shareholders all remaining profits without any withholding taxes. Also the company can take advantage of more than 40 double tax treaties that Cyprus signed with various countries. It can get a VAT Registration number.

A Cyprus non-resident company,  pays no taxes, but it cannot take advantage of the double tax treaties network and cannot get a Cyprus Tax Resident Certificate. It cannot get a VAT Registration number.

Registered Office must be in Cyprus since it is a Cyprus company. It cannot be anywhere else (any other country)

For more information on our Cyprus Company Formation, please click the link!

This is a broad question but to explain some general guidelines and answers to this often asked question, please read the below: Depending on how you want to structure your Cyprus Company, then the following applies, if you want the shareholder of your Cyprus Company to be a Holding company or Foundation which is registered in another country for instant, Belize, Seychelles or Panama, but you want to act as director for the company then the steps are the following:

- You complete the Cyprus Company formation application, sign and return it to us by e-mail.
- We will send the extracts from the Memorandum of Articles in English and Greek, you ONLY sign them and return them by e-mail and if okay by courier service to our Office in Cyprus.
- We will need a copy of passport for the director and a utility bill or Bank statement
- We will need a copy of the corporate documents of the holding company or Foundation
- Once all documents are received the incorporation of the Cyprus Company will take about 1 week.

Please note that for foundations we will require the passport copy and utility bill from the protector of the foundation and also the registration documents itself of the Foundation. For regular Holding Companies located in another country like Belize, Seychelles, BVI etc. we will need a copy of passport and utility bill from the director of the particular Holding company together with the corporate documents and shareholder certificate.

In general and where we speak a business with a high number of transactions, it is recommended to have another corporation in another country to act as Holding Company, CCLOGIC Ltd offer this service for Belize, Seychelles, BVI, Delwaware and Bahamas, and most often it is faster and less expansive to have us to incorporate both companies. Furthermore we are able to register Cyprus Trusts / Foundations which are able to register companies for instant in the Seychelles, BVI, Belize and other parts of the world.

When it comes to closing an existing company, one can choose to dissolve or strike off the company, below we will briefly explain the differences.

Dissolve a Cyprus Company

Dissolution’ means appointing liquidator who will collect all money from debtors, pay all creditors and pay the remaining balance to shareholders. This implies convening meetings of creditors, publications in the Government Gazette. The whole procedure may take 6 months.

Strike Off a Cyprus Company
Strike – off’ means de-registering the company from the Companies Registry and this is only possible if the company has no assets / no liabilities.

Please do not hesitate to contact us if you need any help or have questions.

The required minimum share capital is EUR / USD 1.000 which not need to be paid up, however, if you need the share capital to be above the EUR / USD 1.000 a 0.60% stamp duty apply for every amount above the 1.000.

The stamp duty will be invoiced together with our fee for the registration of the Cyprus company, regardless the amount of the share capital then it isn't required to pay it up.

For more information and fees, please visit - Cyprus Company Registration

Their is no "best way" however, we would recommend to get in touch with us with a brief description from you on how you plan to conduct business wtih your Cyprus Company, thats the best answer we can give you at this stage.

Since no business is the same, it is always good to write down, explaining what it is you want to do and how you think it should be, that will make it much easier for us to come up with the right solution for your Cyprus Company formation business case.

For more information on Cyprus Company Formation, please click the link.

YES it is possible to have a V.A.T. number (to register your Cyprus company for VAT) we just require a additional application for the registration by the Cyprus house of Companies and Tax authorities, that's all, the application will be pre filled so you almost only need to sign it and return.

You will pay some administration fee in the range of EURO 50 to 200 for this.

For more information about Cyprus Company Formation, please click the link.

Yes, you will become a POA (Power of attorney) with which you can close business deals and act on behalf of your Cyprus Company as you like.

For more information about Cyprus Company Formation, click this link.

No, you don't need that, the share capital is only used for the formal registration documents and don't need to be paid.

For more information about Cyprus Company Formation click here

Cyprus Company - Tax Status

We have 2 types of Cyprus companies, as far as their tax status is concerned. These are:

(a) A Cyprus resident company which is taxed at 10% on its profits.

(b) A Cyprus non-resident company which is not taxed.

The place where management and control of the company is exercised determines the residence status of the company. If the majority of the company Directors are Cypriots, then it can be assumed that decisions are taken in Cyprus and the company is Cyprus resident. This is why we use Cypriot nominee directors.

A Cyprus resident pays 10% tax, can get Cyprus Tax Resident Certificate and can distribute to its shareholders all remaining profits without any further taxes. Also the company can take advantage of more than 40 double tax treaties that Cyprus signed with various countries and can get a Vat Registration number.

A Cyprus non-resident company, pays no taxes, but it cannot take advantage of the double tax treaties network and cannot get a Cyprus Tax Resident Certificate. It cannot also get a Vat Registration number.

It is up to the particular circumstances of each individual investor to decide whether a Cyprus resident or non-resident company is suitable for his/her case.

Cyprus Company Formation fast and secure

If a company is Cyprus tax resident, then it is taxed on its worldwide income at the rate of 10%.

If a company is not a Cyprus Tax resident, then tax is zero.

For more information about the formation and fees, please visit Cyprus Company Registration

About the taxation of a physical person – If the physical person is tax resident in Cyprus, then, as a general rule, he is taxed in Cyprus on his worldwide income. If he is non tax resident, then he is taxed in Cyprus only for the income which results from sources within Cyprus. Double tax treaty is useful where somebody is taxed in a country other than the country that he is tax resident and he makes use of the provisions of a double tax treaty so that he is not taxed in his country of tax residence on the same income or if taxed, taxed at a reduced rate or get credit for the tax that he has already paid in that other country.

For more information and fees please visit Cyprus Company Formation

Defence tax at 10% is charged on the following cases:

(a) If the company is Cyprus tax resident – there is a 10% defence tax ( withholding tax) on interest receivable

(b) Dividends receivable from abroad are in general not subject to defence tax, but there is one exemption

(c) There is no defence tax on trading profits.

For more information about our Cyprus Company Registration, please click the link.

A Nominee director is used for companies where the beneficial owner don't want to be registered in the public register of companies in Cyprus and
mostly used for a Pre Registered Cyprus company to anonymously the company.

Extendend information
Nominee directors and corporations serving as directors (”corporate directors”) can also be misused to conceal the identity of the beneficial owner, and their use renders director information reported to the company’s registry less useful. Nominee directors appear as a director on all company documents and in official registries (if any) but pass on all duties required to be performed by a director to the beneficial owner of the company. In many jurisdictions, the nominee or corporate directors is not required to own the shares in the company in which it serves as a director.

Certain jurisdictions, including most OECD Member countries and OFCs such as Cyprus, Isle of Man, Jersey, Malta and the Netherlands Antilles, do not recognize nominee directors. Consequently, a person who accepts a directorship is subject to all of the requirements and obligations of a director, including fiduciary obligations notwithstanding the fact that he is acting as a nominee. In certain jurisdictions, directors cannot be indemnified by the beneficial owner. Non-recognition of the concept of nominee director has one indirect benefit - those furnishing or acting as professional directors are likely to take greater precautions to ensure that their client, the beneficial owner, does not misuse the corporate vehicle for illicit purposes. In the Netherlands Antilles, which does not recognize the concept of nominee directors, reputable trust companies that are asked to serve as directors will conduct a rigorous background check on their clients and, in the case of bearer share companies, will insist on the immobilization of those shares as a condition to accepting a directorship.

For Cyprus Offshore Companies this is commonly used by many online businesses conducting their business ultimately on the Internet.

[Cyprus Company Registration Feesreadon2 url="http://www.cclogic.com/index2.php?option=com_rsform&task=forms.menuadd.screen&formId=2&Itemid=17"]Register Company Online Now![/readon2]

A Nominee Shareholder is used for companies where the beneficial owner don't want to be registered in the public register of companies in Cyprus and
mostly used for a Pre Registered Cyprus company to anonymously the company.

In Depth explanation.
Nominee shareholders are utilized in most jurisdictions. With respect to publicly traded shares, nominees are commonly, and legitimately, used to facilitate the clearance and settlement of trades. The rationale for using nominee shareholders in other contexts, however, is less persuasive and may lead to abuse. For example, many jurisdictions require corporations to maintain shareholder registers and file annual returns containing shareholders list and directors information. The use of nominees, however, reduces the usefulness of the shareholder register or the shareholder list because the shareholder of record may not be the ultimate beneficial owner.

Where nominee shareholders are used, most jurisdictions employ investigatory means to discover the identity of the beneficial owners. In the United Kingdom, Section 212 of the Companies Act 1985 provides companies with a procedure to identify the beneficial owners of their shares. Under this Section, a company can ask the nominee to disclose the identity of the beneficial owner. If the nominee refuses, the company can apply sanctions such as suspending voting rights, withholding dividends, or refusing to register any subsequent transfer of shares-

However, this doesn’t apply for Cyprus Offshore Companies and is therefore commonly used by many online businesses conducting their business ultimately on the Internet.

Yes, CClogic works with several Acquiring partners and payment gateway service providers which are able to help you to setup a merchant acount to

accept credit cards for your online business and in the name of your Cyprus Company

It only takes 24 hours after we received your payment before you can start trading with your pre registered company.

However it will take about 2 - 4 days before the documents are available for you to be couriered.

Typically it takes about 1 to 2 weeks; this includes the registration and the issuing of all company documents.

The large explaination about Cyprus Company TAX regulations

Cyprus company formation fees and requirements

Cyprus personal or business account, follow this link

Don't got all information about Cyprus TAX regulations ? follow this link

Cyprus Company formation fees and requirements

Cyprus personal or business bank account, rates and fees

On dividends payable

• There is a 15% withholding tax on dividends distributed to shareholders who are residents of Cyprus, but there is no tax on dividends paid to non-resident shareholders.
• There is a deemed distribution of dividends for an amount equal to 70% of profits if not actually distributed within two years after the end of the tax year in which the profits arose and payment of 15% withholding tax on deemed distribution.
• Profits allocated to non-resident shareholders are not subject to this tax.

On dividends receivable

• Dividends received from a foreign company are not subject to withholding tax of 15% provided that:
• The company receiving the dividend owns at least 1% of the company paying the dividend;
• Not more than 50% of the paying company's activities result in investment income; and
• The foreign tax is not significantly lower than the tax rate payable in Cyprus;
• There is no tax on dividends paid by a Cyprus resident company to another Cyprus resident company.

On interest earned

• There is a 10% tax on any interest earned by any individual or company resident in Cyprus.

On interest and royalties payable

• There is no withholding tax on payment of interest and royalties to non-resident individuals or companies.

On rents

• There is a 3% withholding tax on rents earned by a Cyprus resident (after deduction of 25%).

Note: The special defence contribution on dividends, interest and rents is treated as income tax for the purposes of Double Tax Treaties as well as for the purposes of unilateral tax credit.

For more information about to open a personal or business Cyprus Bank Account, follow this link

For Fees on the formation of a Cyprus Company, follow this link

The tax legislation adopts the relevant EU directive whereby reorganisations, amalgamations, mergers and acquisitions can be effected without any tax implications.

Was this not enough information?please follow this link about Cyprus Company Tax and more

For Fees and Cyprus Company formation, follow this link

How to open a personal or Businrss Cyprus Bank Account, please follow this link

• Dividend income received in Cyprus by a foreign corporation is wholly exempt from tax in Cyprus.
• Profits earned from a permanent establishment abroad are fully exempt from corporation tax except if:
• More than 50% of the paying company's activities result in investment income; and
• The foreign tax is significantly lower than the tax rate payable in Cyprus.
• Profits from the disposal of securities are not taxable for all Cyprus tax residents (individuals and companies).
• 50% of interest earned other than interest earned in the ordinary course of business (although other interest is subject to defence tax as explained below).

Read all about the TAX regulations for Cyprus company's by following this link.

For Fees and required documents to form a Cyprus Company, please follow this link

Tax losses can be carried forward indefinitely to be set - off against future profits.

For more information about Cyprus Company Tax and how to lower it, follow this link

There is no distinction between local companies and International Business Companies. A uniform corporation tax rate of 10% is applicable for all companies.

You can reach much more about this topic by following this link

Very simple contact CCLogic today and we will send you the required forms.

Also read our articles about the Cyprus Company formation, it's up's and downs, follow this link

General Information about how to register a Cyprus company:

Cyprus is the third largest island on the Mediterranean Sea. The economy of Cyprus is well-off and is a suitable base for offshore business due to is efficient infrastructure. The local or off-shore companies have to be registered by the government so as to perform any business transactions in the country. Company registration in Cyprus is no hard task and the prerequisites required for one to register are not exaggerated. The registration process can take a week or less. The Cypriot authorities have authorized the Cypriot nationals, European nationals as well as the non- European nationals to register Cyprus Company.

The process of registering a company in Cyprus does not require that the shareholders or beneficiaries be on the island. The shareholder can choose anonymity by appointing a nominee shareholder, nominee director, or else a nominee secretary to represent him or her. This is possible since the Cypriot authorities issued a declaration of trust by the nominee so that interests of the beneficiary shareholder are safeguarded in support of the beneficiary shareholder(s). For that reason, the public records at the registry about the ownership of the company indicate the name of the nominee and the actual owner is not disclosed. While you register Cyprus Company one has the right to request for equal treatment whether you are a non-European national or a Cyprus citizen.

Some of the expenses that are expected to be incurred in the process of registration are; the set up fee, annual fee for nominal services incase of anonymity, accounting fee/ auditing fee, annual expenses payable to the registrar of companies, document charges, taxes and incase of consultancy; consultancy charges and so forth. The registration fees (set up fee) and charges are paid once; they are the company creation charges, normally affordable. Registering a company in Cyprus could cost from 1200 euros to 3000 euros approximately, depending on who you register with. When one submits the company name for approval they are charged 8.54 euros for the search, incase the name is urgent the fee is higher, up to 25.63 euros.

The accounting and auditing fees differ from time to time, that is depending on the variety of dealings the company carries out each month or year, and it also depends on the accountant that you use that is if it is a miniature accounting firm or one of the big companies. A registered company must have annual returns each end year which includes any changes on the company ownership or directors and so forth. The stamp used on these documents costs around 100 euros.

There are two means that one could use to register Cyprus Company which are either expedited or non-expedited. It is estimated that the time taken to register is about a week or so but this period is dependant on the amount of workload the registration department of the registrar of companies has. The first step is to give the company name to the registrar for approval, then afterwards you can fill in the forms for registration.