Search News and Articles
Cyprus – The Ultimate Royalty and Holding Structure Jurisdiction
In May 2012 the Cypriot House of Representatives voted on certain amendments to various tax laws aiming to establish Cyprus as the ultimate royalty and holding structure jurisdiction.
The most important change in the law is the creation of a specific tax regime for companies owning any kind of intellectual property right out of which royalty income is generated, making “The Cyprus Royalty Company” the best vehicle for holding intangible assets
- Kinanis LLC
May 2012 – Tax Department of Kinanis LLC
In March 2012 the Cyprus VAT Authority launched a special scheme making Cyprus as one of the most attractive EU jurisdictions for yacht registration.
In May 2012 the Parliament of Cyprus voted on certain amendments to various Tax Laws aiming to establish Cyprus as the ultimate royalty and holding structure jurisdiction.
The most important change in the law is the creation of a specific tax regime for companies owning any kind of intellectual property right out of which royalty income is generated, making “The Cyprus Royalty Company” the best vehicle for holding intangible assets.
With the new tax incentives enacted, the tax rate applicable on the Cyprus Royalty Company will not be higher than a maximum of 2% on its Royalty net Profits. The effective rate can be further reduced by the deduction of the relevant capital allowances granted with the new law.
The additional Tax incentives granted to holding and other companies are listed in our attached report.
This publication along with all our other publications can also be downloaded from our website at [ http://www.kinanis.com/publications.html ]http://www.kinanis.com/publications.html.
Our Tax Department is ready to assist you with any clarifications you may need and to provide any consultations on the future steps
that need to be taken by your company in light of the above amendments.
For more information please visit www.kinanis.com