Cyprus vnzh Schengen
Cyprus & mdash; A major center of international trade, located in the eastern Mediterranean. The island is famous for its beautiful beaches, sunny weather all year round, high quality medical and educational services. Foreign investors are attracted by highly qualified personnel in the labor market and a mild taxation system. The program for acquiring the citizenship of Cyprus through investment is the fastest in Europe.
Language: Greek and Turkish (widely spoken English)
13 September 2017.
You can obtain citizenship of Cyprus through investments using one of the following methods:
Invest EUR 2 million in the financial assets of companies in Cyprus (bonds, securities), real estate or projects related to residential or commercial buildings or infrastructure; To acquire, create or participate in the management of companies in Cyprus, and to invest at least EUR 2 million in these companies. At least 5 Cypriots must be employed in the company; Combination of the above investments, where the total amount should be EUR 2 million (special government bonds with an amount not exceeding EUR 500,000 may be included here).
All investments must be retained for at least three years from the date of acquisition of citizenship. Each applicant is obliged to have permanent housing in Cyprus for a minimum market value of EUR 500,000 (plus VAT) for life. This amount can be taken into account in the necessary EUR 2 million when choosing the option of investment in real estate.
The applicant’s spouse, children under the age of 18 and parents may apply for the citizenship of Cyprus. For parents, it is necessary to invest EUR 500,000 (plus VAT) in residential real estate.
Procedure and timing of registration.
The time for consideration of documents takes an average of about 6 months from the date of submission of documents. Once the application has been approved, the applicant must personally arrive in Cyprus to take the citizen’s oath.
Participants in the program do not need to reside in Cyprus to obtain citizenship.
Cyprus recognizes dual citizenship.
Taxation.
Citizens and residents of Cyprus pay a tax on global income. Income tax rate & mdash; from 20% to 35%. Non-taxable minimum for income tax & mdash; EUR 19,500 per year. The calculation of the tax base does not include certain types of income (for example, income from dividends, from the sale of securities, interest income, etc.). Standard income tax rate for legal entities & mdash; 12.5%. This is the lowest rate in the EU. At the same time, taxes are not levied on the income from trading in securities, dividends, income from the shipping business, income from the activities of the company’s representation abroad. Capital gains tax & mdash; 20%. Standard VAT rate & mdash; 19%.
The annual property tax is between 0.6% and 1.9% and depends on the market value of the property as of January 1, 1980. Until the end of 2016, the tax on the transfer of real estate is reduced by 50% or is not paid if the property is subject to VAT.
* Tax information is current at the time of writing and includes only basic information about the country’s tax system. We recommend that you seek specialist advice from tax specialists.
Benefits.
The citizenship of Cyprus allows you to live, work and acquire real estate in all countries of the European Union. Visa-free entry to 157 countries. The opportunity to live and work in any of the countries of the European Union and in Switzerland. There is no requirement for residence in the country, knowledge of the state language or business experience. Short time for consideration of the application. Soft tax regime.
Disadvantages.
A large amount of necessary investment. The need to own a real estate for life in Cyprus.
To obtain the residence permit of Cyprus it is necessary to fulfill the following conditions:
Purchase one or more properties in Cyprus for the amount of EUR 300,000 (plus VAT); Prove the existence of a stable income from abroad, which is regularly transferred to a bank account in Cyprus. Work for hire in the territory of Cyprus is prohibited; Deposit money to a deposit account with a bank in Cyprus for three years.
Procedure and timing of registration.
The process of reviewing the application takes about 2-3 months. Standards of compliance and reliability checks are less complex and more stringent than other countries. The holder of a residence permit must come to Cyprus at least once every two years to maintain this status.
Citizenship.
After 7 years of residence in Cyprus, the resident can apply for citizenship. In this last year, he must be in the country permanently. Cyprus recognizes dual citizenship.
Taxation.
Citizens and residents of Cyprus pay a tax on global income. Income tax rate & mdash; from 20% to 35%. Non-taxable minimum for income tax & mdash; EUR 19,500 per year. The calculation of the tax base does not include certain types of income (for example, income from dividends, from the sale of securities, interest income, etc.). Standard income tax rate for legal entities & mdash; 12.5%. This is the lowest rate in the EU. At the same time, taxes are not levied on the income from trading in securities, dividends, income from the shipping business, income from the activities of the company’s representation abroad. Capital gains tax & mdash; 20%. Standard VAT rate & mdash; 19%.
Owners of the above-mentioned type of residence permit do not have the right to work in Cyprus, but they can be shareholders and receive income from dividends of a company registered in Cyprus, paying a low corporate tax on net profit of 12.5% and zero tax on dividends for non-tax residents.
The annual property tax is between 0.6% and 1.9% and depends on the market value of the property as of January 1, 1980.
* Tax information is current at the time of writing and includes only basic information about the country’s tax system. We recommend that you seek specialist advice from tax specialists.
Benefits.
Short time for consideration of the application. Soft tax regime. The requirements for visiting the country are minimal. Low volume of necessary investments.
Disadvantages.
Cyprus is not included in the Schengen zone, therefore Cyprus residence permit does not provide much opportunities for visa-free travel around the world. It is forbidden to work in Cyprus.
Useful links.
Summary of the programs for the country.
Additional Information.
In the descriptions given, only the main aspects of the current programs are reflected. In each investment program there are nuances that can change and influence the final result, the government’s decision. The Port Nansen team provides free consultations and selection of suitable options, and links with the best experts in the field of immigration. Ask a question about investment programs with the help of the form & laquo; Ask question & raquo ;.