Registration of Companies with Foreign Interests - Employees - Family Members

Registration of Companies with Foreign Interests - Employees - Family Members

WHAT ARE COMPANIES WITH FOREIGN INTERESTS?

Cyprus companies with Foreign Interests are companies duly incorporated in the Republic of Cyprus, with the majority of shares held by non-EU nationals. Cyprus Companies of Foreign Interests may be 100% owned by non-EU nationals.

THE NEW STRATEGY

Cyprus continues to be a preferred International Business Centre since through the years the governments implemented new strategies to promote Cyprus as an attractive Island for foreign entrepreneurs.

The Cyprus Council of Ministers approved on 15th of October 2021 the “Strategy for Attracting Businesses for Activities or/and Expansion of their Activities in Cyprus” and the issuance of temporary residence and employment permits for third country nationals working for Companies operating in or from Cyprus.

ELIGIBLE COMPANIES MUST FALL TO THE FOLLOWING REQUIREMENTS

  • The Majority of the Company’s shares are owned by third-country nationals.
  • It is noted that if the percentage of the foreign involvement in the share capital of the Company should be higher than 50% in order to avoid the minimum capital invested requirement of EUR 200.000.
  • Public companies registered on any recognized stock exchange.
  • Companies of international activities (formerly off-shore), which operated before the change of regime, whose data are held by the Central Bank
  • Cypriot shipping Companies or Cypriot high-tech* / innovation Companies
  • Cypriot pharmaceutical companies or Cypriot Companies active in the fields of biogenetics and biotechnology.

HOW MARICORP CAN ASSIST YOU?

Step 1: Submit the application for registration the Company with Foreign Interests in “Business Facilitation Unit” (BFU) that has been introduced by the Ministry of Energy, Commerce, Industry, and obtain an approval.

Step 2: Arrange an appointment to the Migration authorities in Nicosia.

Step 3:  Prepare all the relevant documentation in original, certified, and translated in English language.

Step 4: The day of the appointment the documents must be submitted to the Migration department in relation to the Company.

Step 5: The eligible companies can enjoy the employment of non-EU nationals while at the same time the family members of the employee’ can be granted Cyprus residence permit as well.

Eligible Categories of employment

  • Directors;

In this category the following third-country nationals are included:

  1. Directors or Partners registered with the Registrar of Companies and Official Receiver;
  2. General Managers of branches and of subsidiary companies of foreign companies;
  3. Departmental Managers;
  4. Project Managers;

The following are the main requirements for hiring highly skilled non-EU nationals:

  • The non-EU citizen must have a university degree / diploma, or, proof of at least 2 years of relevant experience in a corresponding employment position;
  • Employment contract for a period of at least 2 years;
  • Minimum gross salary of €2.500 per month.

Validity and Fees of Temporary Residence

The duration of the residence and employment permit it is up to three (3) years, with a right of renewal.

The fees for issue of a Temporary residence Permit and Registration are 150 EUR.

Tax benefits related to non-EU nationals having their first employment in Cyprus

  • The new Article 8(23A) for the 50% exemption provides the following: As from 1 January 2022, 50% of the remuneration of employees, whose first employment in Cyprus began from 1 January 2022 onwards, is exempt from income tax for a period of 17 years (starting from the month of employment) , if their remuneration per year exceeds €55,000.
  • Non-domicile status which again applies to first time employees in Cyprus based on the above structure ensures that all dividend and interest income for such individuals form lal over the world once they become Cyprus tax residents is exempted from Income or Capital Gains Tax. However, since they will be living in Cyprus and enjoying the benefits of the island such as medical care General Health System contributions on dividedn income are applicable capped at EUR 180.000 Annual Income @ 2.65% = EUR 4.770 per year.

Please read our article on Non-Domicile Tax

https://cyprusconsultancy.com/cyprus-non-domicile-registration-service/   

Disclaimer: The foregoing does not constitute legal advice and should not be relied upon as such. If you are interested that we will assist you with the process of the trademark registration, please contact us and we will be happy to investigate the case.

Cyprus Corporate Services Simplified

В MariCorp мы стремимся упростить корпоративное обслуживание в целом и предложить нашим клиентам простое и понятное решение.

Registration of Companies with Foreign Interests - Employees - Family Members

Lambriani Alexandrou

Legal & Corporate Administrator

Свяжитесь с нами

Где нас найти:

81, проспект Грива Дигени, суд МАРИНОС, 2-й этаж, офис 203

P.O. BOx 42656, P.C. 6501, 6043

Ларнака - Кипр

Тел: +357 24663402 , Факс: +357 24663409

E-mail: admin@cyprusconsultancy.com


    By clicking send below, you consent to allow MARICORP CYPRUS CONSULTANCY LIMITED to store and process the personal information submitted above to provide you the content requested.