Questions, answered.
Short, dated answers on setting up, registrations, bank accounts, moving to Cyprus, the yearly filings and documents, and the questions people from each country ask first. Information on the published rules, not advice; where your situation needs advice, we say so.
Updated
141 answers
Setting up
- Who incorporates a Cyprus company?A practising advocate. In Cyprus, the documents that create a company are reserved to practising advocates: the name application, the Memorandum and Articles of Association, the HE1 declaration and the filing with the Registrar of Companies.
- What are the Memorandum and Articles of Association?The company's founding document, setting out its objects, share capital and internal rules. In Cyprus it is drafted, signed and sealed by a practising advocate.
- What is the HE1 declaration?The advocate's sworn statement that the formation requirements have been met, filed with the incorporation.
- How is a company name approved in Cyprus?The advocate applies to the Registrar of Companies for name approval. The Registrar refuses names that are too close to existing companies, or that contain words it restricts.
- How long does incorporation take?The Registrar's processing times are set by the Registrar and change from time to time; an accelerated service is available for an additional government fee.
- Do I need to be in Cyprus to set up a company?Not for the incorporation. Identity checks and signatures are completed remotely; where a document has to be certified, we tell you by whom and how.
- Is a Cyprus company an offshore company?No. Cyprus is a member of the European Union. A Cyprus company is an EU company that pays corporate income tax, at 15% from tax year 2026, files its financial statements with its Annual Return and records its beneficial owners in a public register.
- What is the corporate tax rate in Cyprus?Corporate income tax is 15% from tax year 2026.
- What does substance mean for a Cyprus company?Substance is the word banks, payment providers and tax authorities use for the question: is this company really run from Cyprus?
- How much does a Cyprus company set-up cost with TH. Manau?Our prices are very competitive, and the partner advocate's incorporation work is included. You get your price in writing before anything starts.
- What does TH. Manau do?We set up and look after Cyprus companies: the incorporation with our partner advocate, the tax and VAT registrations, the bank application, the registered office through our licensed audit partner, and the yearly filings.
- When is a Cyprus company tax resident in Cyprus?From 2026, a company is tax resident in Cyprus if it is managed and controlled here. A company incorporated in Cyprus is also resident, unless a tax treaty gives it to another country.
- Is there a minimum share capital for a Cyprus company?No, not for a private company limited by shares, the usual form. It can have from one to 50 shareholders; only a public company offering shares has a minimum capital.
- How many directors does a Cyprus private company need?At least one director, aged 18 or over, and one company secretary; a public company needs at least two directors. The sole director cannot also be the secretary, except in a private company with a single member.
- Can one person own and run a Cyprus company?Yes. A private company can be formed by one person, who can be its only shareholder and its only director, and in that case also its secretary; the Registrar's upper limit for a private company is 50 members.
- Can a non-EU citizen own 100% of a Cyprus company?Yes. The Companies Law, Cap. 113 lets any one or more persons form a private company and sets no nationality or residence condition for shareholders, and the Registrar's guidance has none either; living and working in Cyprus is a separate question, decided by the residence rules.
- Does a Cyprus company need a company seal?No. Since a 2009 amendment of the Companies Law, Cap. 113, a document signed for the company by a person with its authority has the same effect as if it carried the common seal; a company may still keep a seal and use it as its Articles provide.
Registrations
- What is CY Login?The government's single sign-on account. Most online filings, including the Tax For All portal and the UBO Register, are reached through it.
- What is the UBO Register?The Registrar's register of beneficial owners: the natural persons who ultimately own or control a Cyprus company.
- What are Tax For All and the Tax Identification Code?Tax For All is the Tax Department's online portal; the Tax Identification Code is the company's tax number.
- When does a Cyprus company have to register for VAT?Registration becomes compulsory once taxable supplies in Cyprus exceed €15,600 in a twelve-month period, and it is available voluntarily before that.
- What is VIES?The EU's VAT Information Exchange System. A VIES registration lets the company sell to VAT-registered businesses in other member states without charging Cyprus VAT, with a monthly statement of those sales.
- What is OSS?The One Stop Shop: one quarterly return for VAT on sales to consumers across the EU, instead of a registration in each country.
- When does a company register as an employer?Before the first employee starts, including a founder who takes a salary.
- Do I need a Tax Identification Code before registering for VAT in Cyprus?Yes. The Tax Department registers the company in the Tax Register first and issues its Tax Identification Code; the VAT application is accepted only after that, or with the reference number of a pending online application written on it.
- What is the standard VAT rate in Cyprus?19% on most goods and services, with reduced rates of 9%, 5% and 3% for listed items and a zero rate for exports and some other supplies. The 3% rate is the newest, in force since 21 July 2023.
Banking
- What is an electronic money institution (EMI)?A licensed payment provider that holds client money, issues IBANs and cards and makes transfers, without being a bank.
- Can a firm open the bank account for me?No, and no firm can. The company is the account holder and you are the applicant and the signatory.
- Does a Cyprus company need a Cyprus bank account?Not necessarily. Many trading companies run on an EMI account.
- Are EMI balances covered by the deposit guarantee?No. A bank deposit in the EU is covered by a deposit guarantee scheme up to €100,000 per depositor; an EMI balance is not.
- Can I open a Cyprus company bank account without visiting Cyprus?It depends on the bank. Cyprus anti-money-laundering rules allow identity to be verified remotely, but each bank sets its own policy and some still ask to meet at least one director or owner; electronic money institutions usually onboard fully online.
- What documents does a Cyprus bank ask for to open a company account?The company's certificates from the Registrar and its founding documents, identity and proof of address for every director, signatory and beneficial owner, a description of the business with evidence of it, and, where the risk is higher, proof of where the money comes from.
Office and officers
- Does a Cyprus company need a registered office in Cyprus?Yes. Every Cyprus company has a registered office in Cyprus: the address where official notices are served and where the statutory registers are kept.
- What does a company secretary do?Keeps the statutory registers, prepares the minutes and the Annual Return and files changes with the Registrar.
- Do I need a Cyprus-resident director?Not as a rule of company law, but often in practice. Most Cyprus banks expect one, and a company whose management and control is meant to be in Cyprus needs its decisions taken here.
Relocation
- What is the Business Facilitation Unit route?The route for a founder who is moving to Cyprus with a real business and wants to employ people from outside the EU, including themselves. The company registers with the Business Facilitation Unit, now part of the Business Support Centre.
- Who can apply for the Cyprus Digital Nomad Visa?Non-EU nationals who work remotely for employers or clients based outside Cyprus. No Cyprus company is needed.
- What is the yellow slip?The registration certificate (form MEU1) that EU, EEA and Swiss citizens receive when they register their residence with the Migration Department, formerly the Civil Registry and Migration Department.
- How do I become a Cyprus tax resident?By spending more than 183 days in Cyprus in a calendar year, or under the 60-day rule, which since 1 January 2026 no longer asks you to show that you are not tax resident anywhere else.
- What is non-domiciled (non-dom) status?A Cyprus tax resident who is not domiciled in Cyprus pays no Special Defence Contribution on dividends and most interest, for up to 17 years, and since 2026 can extend that by paying €250,000 for each further five-year period.
- Can my family join me in Cyprus?Yes. Under the Business Facilitation Unit route, directors and key personnel can bring their spouse and minor children through family reunification. Family members of EU citizens register their residence with you.
- What are the personal income tax rates in Cyprus for 2026?From tax year 2026: nothing on the first €22,000 of taxable income, then 20% up to €32,000, 25% up to €42,000, 30% up to €72,000 and 35% above that.
- How are dividends taxed in Cyprus from 2026?Cyprus tax residents who are not domiciled in Cyprus pay no Special Defence Contribution on dividends. Those who are domiciled pay 5% on dividends from 2026, or 17% on dividends paid out of profits made up to 2025 within six years.
- Who qualifies for the 50% tax exemption on salaries over €55,000 in Cyprus?Someone whose first job in Cyprus starts on or after 1 January 2022, who was not resident in Cyprus for at least 15 years in a row before it, and who is paid more than €55,000 a year. Half the salary is then tax-free for up to 17 years.
- How is a foreign pension taxed in Cyprus?A Cyprus tax resident can choose to pay a flat 5% on foreign pension income above €5,000 a year instead of the normal rates. The choice is made year by year.
- How are crypto gains taxed in Cyprus from 2026?Gains from disposing of crypto-assets are taxed at a flat 8%, under the 2026 tax reform.
- What is the difference between the yellow slip and the pink slip?The yellow slip is the registration certificate (MEU1) for EU, EEA and Swiss citizens living in Cyprus. The pink slip is the everyday name for the visitor permit for people from outside the EU: a year at a time, with no right to work.
- How much do I need to invest for permanent residence in Cyprus?At least €300,000 plus VAT, usually in a new home bought from a developer, under Regulation 6(2). You also show a secure income from abroad of at least €50,000 a year, plus €15,000 for a spouse and €10,000 for each child.
- Can a non-EU citizen buy property in Cyprus?Yes, with the Council of Ministers' permission under the Immovable Property (Restriction of Purchase by Aliens) Law, Cap. 109. Until it is granted, the sale contract gives no right to the property, and a registration made without it is void.
- How long does a BFU residence and employment permit take?Two published timeframes apply: the Business Support Centre registers an eligible company in the Register of Companies with Foreign Interests within ten business days of a complete application, and the Migration Department's policy sets the examination time for the residence and employment permit at one month.
- Is Cyprus in the Schengen area?Not yet, as at 15 October 2026: Cyprus is an EU member that takes part in Schengen cooperation, but the Council has not lifted the checks at its internal borders. So Cyprus runs its own border checks and visas, and days spent in Cyprus do not count as Schengen days.
Every year
- When is the UBO confirmation due?Every year between 1 October and 31 December, including for a company whose owners have not changed and a company that has not traded.
- What is the Annual Return (HE32)?A yearly snapshot of the company's directors, secretary, shareholders, share capital and registered office, filed with the financial statements for the previous year.
- Is there still an annual company levy in Cyprus?No. The annual company levy was abolished from 1 January 2024. Levies for the years up to 2023 are still owed if they were never paid.
- Does a dormant company have to file?Yes. Every registered company files an Annual Return with its financial statements and confirms its beneficial owners each year, whether or not it traded.
- Does a Cyprus company need audited accounts?Every company keeps accounting records and prepares financial statements, which are audited and filed with the Annual Return.
- When is a Cyprus company's first Annual Return (HE32) due?The first Annual Return is drawn up to the day after 18 months from incorporation and filed with the Registrar within 28 days of that date. After that, a return is drawn up every year on the anniversary of that date and filed within the same 28 days.
Documents
- How do I get an apostille in Cyprus?Apostilles are issued only by the Ministry of Justice and Public Order, which has counters in Nicosia and Limassol.
- Can a document issued abroad get an apostille in Cyprus?No. An apostille is issued by an authority of the country whose public body issued the document.
- What is a certifying officer?A person appointed under Cyprus rules to certify signatures and true copies of documents.
- Who makes certified translations in Cyprus?Since July 2019, official translations in Cyprus are made only by sworn translators listed in the Register of Sworn Translators, kept by the Council of Sworn Translators.
- What if the receiving country is not in the Hague Convention?Countries outside the Hague Convention do not accept apostilles. Documents for them go through diplomatic and consular legalisation instead.
- Do I need an apostille to use a Cyprus public document in another EU country?Not for documents covered by Regulation (EU) 2016/1191, such as birth, marriage, death, residence and clean-criminal-record certificates: other member states accept them without an apostille since 16 February 2019. Company documents are not covered, so a Registrar certificate for use in the EU still gets an apostille.
- Can a power of attorney be apostilled in Cyprus?Yes, once a certifying officer has certified the signature on it: a power of attorney is a private document, so the apostille from the Ministry of Justice and Public Order certifies the officer's signature, not the content. The receiving country decides what it accepts.
- What is a certificate of good standing (incumbency) for a Cyprus company?A certificate from the Registrar of Companies showing the company's position on the register at the date of issue. There is no Registrar certificate called incumbency; what a bank or counterparty means by it is usually the set: good standing, directors and secretary, shareholders and registered office.
Agreements
- Do I still need a stamped rental agreement for the yellow slip in 2026?Stamp duty was abolished from 1 January 2026, so a lease signed from then cannot be stamped in the old way. But the Migration Department's published checklists still ask for a stamped lease, so check what it accepts before your appointment.
- Can I pay rent in cash in Cyprus?No. Since 1 July 2026, rent may be paid only by bank transfer, card or another recognised electronic payment.
- Do I need a lawyer to draft a tenancy agreement in Cyprus?Not by law. The Advocates Law reserves to advocates the documents that form a company, among other things, but not ordinary leases. Most people still have a lease drafted or reviewed by an advocate, because it is what they rely on if anything goes wrong.
- Does the Rent Control Law apply to my rental in Cyprus?Only to homes and shops in declared controlled areas that were completed by 31 December 1999. It does not cover furnished lets of under six months or holiday lets.
- Is stamp duty still payable on contracts in Cyprus?No. Stamp duty was abolished from 1 January 2026, so rental agreements and other contracts signed from that date are no longer stamped.
- How much are property transfer fees in Cyprus?The Land Registry charges 3% on the first €85,000 of the price or market value, 5% on the part between €85,000 and €170,000 and 8% on the rest, then halves the result. Nothing is charged where VAT was paid on the same purchase.
- Do I need to be in Cyprus to buy or sell property?No: a buyer or seller abroad usually acts through a power of attorney, with the signature certified at an embassy abroad or by a certifying officer in Cyprus, as the Land Registry's own guidance suggests. A non-EU buyer also needs the Council of Ministers' permission before the transfer.
From the UK
- Can a British citizen still move to Cyprus after Brexit?Yes, as a non-EU national. Unless you were living in Cyprus legally before 1 January 2021, you need a residence permit for any stay longer than 90 days in any 180.
- How long can a UK citizen stay in Cyprus without a visa?Up to 90 days in any 180-day period, as a visitor. Cyprus is not in the Schengen area, so days in Cyprus are counted separately from days in Schengen countries.
- How much income do I need for a Cyprus pink slip as a British retiree?At least €2,000 a month (€24,000 a year) for one person, paid into a Cyprus bank account, plus 20% for a spouse and 15% for each child. The visitor permit, the pink slip, does not allow you to work.
- Do I still pay UK tax after moving to Cyprus?Not on your worldwide income once you are non-resident under the UK's Statutory Residence Test. Income from the UK, such as rent from a UK property, can still be taxed there, and the UK–Cyprus tax treaty decides who taxes what.
- What happens if I move back to the UK within five years of leaving for Cyprus?The UK's temporary non-residence rules can tax, when you return, some income and gains you received while abroad: capital gains, pension lump sums and dividends from your own close company among them.
- Does UK inheritance tax still apply after I move to Cyprus?It can, for up to ten tax years after you leave. Since 6 April 2025, UK inheritance tax on worldwide assets depends on being a long-term UK resident, not on domicile.
- Is my UK pension taxed in Cyprus or in the UK?Under the UK–Cyprus tax treaty, private and workplace pensions and the UK State Pension are taxed only in Cyprus once you live there. UK government service pensions stay taxable only in the UK, unless you are a Cypriot national.
- Will my UK State Pension be frozen if I live in Cyprus?No. A UK State Pension paid to someone living in Cyprus goes up every year in line with the UK rate, whenever you moved.
- Can I pay voluntary National Insurance from Cyprus after April 2026?Only Class 3, and only if you meet the stricter test that applies from 6 April 2026: ten years in a row living in the UK, or ten qualifying years of contributions. Class 2 can no longer be paid for time abroad.
- Can I get an S1 for healthcare in Cyprus if I move now?Yes, if you receive the UK State Pension. The S1 lets you register with Cyprus's General Healthcare System (GHS, also called GESY), with the UK paying for your care. You cannot have one if you also receive a Cyprus state pension.
- Can I move my UK limited company to Cyprus?Not its registration: UK law has no way for a company to move abroad, and the government's 2026 consultation on re-domiciliation proposed a route into the UK only. A UK company also stays UK tax resident wherever its owner lives.
- Can I set up a Cyprus company while still living in the UK?Yes. Owning a Cyprus company does not require living in Cyprus, and the incorporation is done remotely. But a Cyprus company whose decisions are really taken in the UK is UK tax resident in HMRC's eyes.
- Can I drive in Cyprus on a UK licence?Yes as a visitor, with a UK photocard licence. Once you are resident, GOV.UK says you must exchange it for a Cyprus licence within six months, without a test.
From the Netherlands
- Do I need a permit to move from the Netherlands to Cyprus?No visa or work permit. As an EU citizen you can live and work in Cyprus freely; if you stay longer than three months, you register with the Migration Department within four months of arriving and receive the registration certificate known as the yellow slip.
- When do I deregister from my Dutch municipality when moving to Cyprus?If you expect to spend at least two-thirds of a year (eight months) outside the Netherlands, you must deregister from the BRP. You report your departure from five days before you leave up to the day you leave.
- Which Dutch tax return do I file in the year I emigrate to Cyprus?The M return (aangifte M), which covers a year in which you lived in the Netherlands for only part of the time.
- Is there a tax treaty between the Netherlands and Cyprus?Yes. The first Netherlands–Cyprus tax treaty was signed on 1 June 2021, came into force on 30 June 2023 and applies from 1 January 2024.
- What happens to my BV shares when I emigrate to Cyprus?If you hold a substantial interest (5% or more, together with your partner), you are treated as having sold the shares when you leave, and the Belastingdienst issues a protective assessment (conserverende aanslag) on the gain. It does not expire.
- Can I keep my Dutch BV after moving to Cyprus?Yes, but it stays a Dutch company for tax: a BV formed under Dutch law is always treated as based in the Netherlands for corporate income tax and dividend tax, wherever you live.
- Is my Dutch pension taxed in Cyprus or in the Netherlands?Under the treaty, pensions, annuities and social security pensions are taxed only in Cyprus, unless their total from the Netherlands is more than €15,000 gross in the year. Above that, the Netherlands may tax them too, and Cyprus gives a credit.
- Will I still get my AOW if I move to Cyprus?Yes, the AOW is paid to you in Cyprus. But you stop building it up after you emigrate, and each year without AOW insurance reduces it by 2%.
- What happens to my Dutch health insurance, zorgtoeslag and kinderbijslag when I move to Cyprus?Dutch basic health insurance ends by law when you are no longer insured under the Wlz, which usually happens when you emigrate without Dutch income. Zorgtoeslag and kinderbijslag usually stop too.
From Germany
- Do Germans need a visa or permit to live in Cyprus?No. As an EU citizen you can live and work in Cyprus freely. If you stay longer than three months, you register with the Migration Department within four months of arriving and receive the registration certificate known as the yellow slip.
- Do I have to deregister in Germany (Abmeldung) when I move to Cyprus?Yes, if you give up your German home and do not take a new one in Germany: within two weeks after moving out, and at the earliest one week before. But deregistering does not by itself end German tax residence.
- Do I still pay tax in Germany after moving to Cyprus?On your worldwide income, as long as you keep a home in Germany that you can use, or stay there more than six months. Without either, only German-source income stays taxable in Germany, and the Germany–Cyprus tax treaty decides who taxes what.
- Will Germany keep taxing me for ten years after I move to Cyprus?It can. Under the extended limited tax liability rules (§2 AStG), a German citizen who moves to a low-tax country while keeping substantial economic interests in Germany is taxed more widely there for the year of the move and the ten years after, in each year that income exceeds €16,500.
- Do I pay German exit tax (Wegzugsbesteuerung) when I move to Cyprus?Yes, if you were fully taxable in Germany for at least seven of the last twelve years and held at least 1% of any company, German or foreign, at any time in the last five years. Leaving is taxed as if you had sold the shares at their market value.
- Will Germany tax my Cyprus company's profits under the CFC rules?Only the passive income of a company that people in Germany control (more than half the votes, capital or profit rights) and that is taxed at less than 15%. Cyprus's corporate tax is 15% from 2026, so what matters is the tax actually charged on that income.
- Can I run my Cyprus company from Germany?Not without German tax: a company whose place of management, the centre of its top-level management, is in Germany pays full German corporate tax on all its income, and its management site is a German permanent establishment.
- Is there a double tax agreement between Germany and Cyprus?Yes. It was signed in Nicosia on 18 February 2011 and has been in force since 16 December 2011. A protocol signed in 2021, in force since 8 December 2021, added a rule that denies treaty benefits where obtaining them was one of the main purposes of an arrangement.
- Is my German pension paid and taxed in Cyprus?The Deutsche Rentenversicherung pays pensions to people living in other EU countries, including Cyprus. A statutory pension stays German-source income, and the treaty lets Germany tax pensions paid under its social security system.
- Do we keep Kindergeld after moving to Cyprus?Usually not, unless you keep a home or habitual abode in Germany, are treated as fully taxable in Germany on application, or still work or draw a pension there. A family living in Cyprus with no German job or pension normally falls under Cypriot family benefits.
From Israel
- Can Israelis live in Cyprus?Yes. Israelis can visit Cyprus without a visa for up to 90 days in any 180; to stay longer, you need a residence permit from the Migration Department, and which one depends on what you will do here.
- Do Israelis need a visa for Cyprus, and how long can they stay?No visa is needed for stays of up to 90 days in any 180-day period. Cyprus is not yet a full member of the Schengen area, so its permits and day counts are separate from Schengen's.
- Is there a tax treaty between Israel and Cyprus?No. Neither country's list of tax treaties includes the other, and Israel's notification under the OECD's multilateral tax convention leaves Cyprus out. Israel relieves double taxation only through its own foreign tax credit.
- How do I stop being an Israeli tax resident when I move to Cyprus?By moving your centre of life out of Israel. Israel presumes you are resident if you spend 183 days or more there in a tax year, or 30 days in the year and 425 days over that year and the two before; both presumptions can be rebutted.
- Is there an exit tax when leaving Israel for Cyprus?Yes. When you stop being an Israeli resident, your assets are treated as sold on the day before. You can pay the tax then, or wait until you actually sell; if you wait, the Israeli share of the gain is the real gain multiplied by the time you held the asset before leaving, divided by the total time you held it.
- Where is my Cyprus company taxed if I run it from Israel?In Israel. A company is an Israeli resident if it is incorporated in Israel or if its business is controlled and managed from Israel, so a Cyprus company run from Israel is taxed there.
- Is my Cyprus company a controlled foreign company under Israeli tax rules?It can be. An Israeli resident with 10% or more of the means of control can be taxed on profits the company has not paid out, if its income is mostly passive and taxed at an effective rate of 15% or less. Cyprus's 15% rate does not take a passive company out of the rules.
- What happens with Bituach Leumi when I move to Cyprus?For the first five years abroad, the National Insurance Institute normally keeps treating you as resident. That keeps your benefits and state health cover, but contributions stay due: at least NIS 266 a month with no income, in 2026.
- Can an Israeli buy an apartment in Cyprus?Yes, with permission. As a buyer from outside the EU, you need the Council of Ministers' permission under the Immovable Property (Restriction of Purchase by Aliens) Law, Cap. 109; without it, the property cannot be validly registered in your name.
From the US
- Can an American move to Cyprus?Yes. US citizens can visit Cyprus without a visa for up to 90 days; to stay longer, you need a residence permit from the Migration Department, and which one depends on what you will do here.
- How long can a US citizen stay in Cyprus without a visa?Up to 90 days in any 180-day period. Cyprus is in the EU but not in the Schengen area, so days in Cyprus are counted separately from days in Schengen countries.
- Do I still have to file US taxes if I live in Cyprus?Yes. The US taxes its citizens on their worldwide income wherever they live, so you keep filing a US return every year, even when exclusions and credits mean no US tax is due.
- How much is the foreign earned income exclusion for 2026?$132,900 per person for tax year 2026 ($130,000 for 2025), for wages and self-employment income earned while your tax home is abroad and you pass the bona fide residence or the physical presence test.
- Is there a tax treaty between the US and Cyprus?Yes. It was signed in Nicosia on 19 March 1984 and has been in force since 31 December 1985. Its saving clause lets the US tax its citizens as if the treaty did not exist, with a few exceptions.
- Do I still owe state income tax after moving to Cyprus?It depends on the state. California and New York, for example, can keep treating you as a resident after you move abroad unless you meet their specific tests.
- Do I have to report my Cyprus bank account to the US (FBAR and Form 8938)?The FBAR, if your foreign accounts together exceeded $10,000 at any time in the year. Form 8938 as well, if you live abroad and your foreign financial assets exceed $200,000 at year-end or $300,000 at any time ($400,000 and $600,000 if married filing jointly).
- Do Cyprus banks report American account holders to the IRS?Yes, through the Cyprus Tax Department. Cyprus has a Model 1 FATCA agreement with the US, in force since 21 September 2015: banks report US accounts to the Tax Department, which passes the information to the IRS.
- What US forms do I file if I own a Cyprus company?If you own 10% or more of it, usually Form 5471 every year, and the penalty for not filing is $10,000 per company per year. If US shareholders own more than half, it is a controlled foreign corporation (CFC), and some of its income can be taxed to you before it is paid out.
- How does the 2025 US tax law (NCTI) affect a Cyprus company?For tax years starting after 31 December 2025, GILTI became net CFC tested income (NCTI). The return on physical assets is no longer excluded, the deduction falls to 40% and the credit for foreign tax rises to 90%. Cyprus's 15% rate is below the 18.9% needed for the high-tax exception.
- Can my Cyprus company be a disregarded entity for US tax?It can choose. Only the Cyprus public limited company is on the US list of entities that must be taxed as corporations, so a private company limited by shares can elect its classification on Form 8832. Without an election, it is taxed as a corporation.
- Do I pay US Social Security tax while living in Cyprus?If you are self-employed, usually yes. There is no US–Cyprus totalization agreement, so US self-employment tax of 15.3% applies once your net earnings reach $400, and the foreign earned income exclusion does not reduce it. Cyprus social insurance can apply to the same income.
From Greece
- Do Greek citizens need a residence permit in Cyprus?No permit, but a registration. If you stay longer than three months, you apply for the registration certificate (form MEU1, the yellow slip) within four months of arriving.
- How do I move my tax residence from Greece to Cyprus?Through AADE's procedure for transferring tax residence abroad: you apply in the first ten days of March of the year after you leave, and send the supporting documents in the first ten days of September; the final deadline is 31 December.
- Do Greek CFC rules apply to my Cyprus company?They can. Greek rules on controlled foreign companies cover individuals as well as companies: they apply when you control more than half of the company, it pays less than half the tax it would pay in Greece, and more than 30% of its income is passive.
- Is there a tax treaty between Greece and Cyprus?Yes. It was signed on 30 March 1968 and has been in force since 16 January 1969.
From India
- Do Indians need a visa for Cyprus?Yes. Indian nationals need a visa, unless they hold a valid double- or multiple-entry Schengen visa or a Schengen residence permit, which lets them stay up to 90 days in any 180.
- Is Cyprus still a notified jurisdictional area for India?No. India rescinded Cyprus's notification as a notified jurisdictional area on 14 December 2016, with effect from 1 November 2013, and a new India–Cyprus tax treaty came into force the same day.
- When do I stop being resident in India for tax after moving to Cyprus?Under the Income-tax Act 2025, in force since 1 April 2026, you are resident if you spend 182 days or more in India in the tax year, or 60 days in the year and 365 days over the four years before. Indian citizens leaving India for a job abroad are judged on the 182-day test only.
- Can I set up a Cyprus company from India under the LRS and ODI rules?Within limits. An Indian resident can send up to USD 250,000 abroad in each financial year (April to March) under the Liberalised Remittance Scheme, and an individual may set up or control a foreign company only in an operating business, not in financial services.
From Ukraine
- How long does temporary protection for Ukrainians in Cyprus last?In EU law, until 4 March 2027. On 15 July 2026, EU countries agreed to extend it to 4 March 2028, with the formal decision to follow.
- Can I work or open a company in Cyprus with temporary protection?Yes. EU rules on temporary protection allow you to work as an employee and to be self-employed for as long as the protection lasts, and owning a Cyprus company does not depend on your residence status.
- Do Ukrainian CFC rules apply to my Cyprus company?They can, while you are a Ukrainian tax resident. A foreign company is controlled if a Ukrainian resident owns more than 50%, or more than 10% when Ukrainians together own 50% or more, and the owner files a CFC report.
- When do I stop being a Ukrainian tax resident if I live in Cyprus?Ukraine checks residence in order: where your home is, where your permanent home is, where your centre of life is, whether you spend 183 days or more in Ukraine in the tax year, and finally citizenship.
From Lebanon
- Do Lebanese citizens need a visa for Cyprus?Yes. Lebanese citizens need a visa for Cyprus, though EU rules allow Cyprus to accept a valid Schengen visa instead; check with the Cyprus consulate before you travel.
- Why do Cyprus banks ask Lebanese clients more questions?Because Lebanon is on the EU's list of high-risk third countries for money laundering since 2025, so EU banks must apply enhanced checks to business linked to it. Expect more paperwork and a slower account opening.
- Is there a tax treaty between Lebanon and Cyprus?Yes. It was signed on 18 February 2003 and came into force in April 2005.
- Can I move my business from Lebanon to Cyprus through the fast-track route?Through a Cyprus company of foreign interests, registered with the Business Facilitation Unit of the Business Support Centre. It needs an initial investment of at least €200,000 and an office lease of at least 12 months, in premises separate from any home.
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For software and AI assistants: the same answers as knowledge.json and llms.txt.
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