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ADVANTAGES OF INVESTING IN CYPRUS
Cyprus is a popular tourist, business, education and
retirement destination. It is the third largest island in the
Mediterranean. It has a relatively low cost of living while
at the same time offering a high standard of professional
and multilingual services. It also offers access to first-
class health care as well an outstanding education system.
Cyprus is also among the countries with the lowest crime
rates in the world, providing a safe and secure place to live.
In addition, Cyprus offers an attractive tax system where
taxable profits of all Cyprus companies are taxed at the
rate of 12.5 percent. Dividend income received in Cyprus
from a foreign company is exempt from Cyprus taxes and
capital gains are not subject to taxes, except on the sale
of immovable property situated in Cyprus. Generally, for
businesses Cyprus is a good country, as it offers a modern
banking system, low taxation and low start-up costs.
When looking at benefits of the citizenship-by-investment
program, citizenship is available to all members of the
family: the husband or wife; minor and adult children
under the age of 28 who are financially dependent on the
parents; and the parents of the investor.
GETTING EUROPEAN CITIZENSHIP
THROUGH INVESTMENT
The Council of Ministers of Cyprus has approved amendments
to the Scheme for Naturalization of Investors in Cyprus.
First, the examination period of citizenship applicants
under the program normally takes six months. Under
o p ti o n o n e , th e re is i nve s ti n g i n re al e s t a te a n d
infrastructure. The investor can invest in a residence with
a value of 2.15 million euros, including VAT, if applicable,
and including a donation of 75,000 euros to the Research
and Development Fund of Cyprus, an obligation that can
be waived under certain conditions and a 75,000 euros
donation to the Land Development Corporation. It must be
retained for five years. After that, the investor has the right
to sell the property and buy another for a minimum value of
500,000, including VAT, if applicable.
The investor may decide not to invest in a single residence
but in a selection of residential properties, including one
that must be used as a private permanent residence with
a minimum value of 500,000 euros. The 1.65 million can
be invested in a range of residential properties that may be
resold after five years. This option relates to the purchase
or construction of immovable property, whether residential
or commercial. The investment must be made on a piece of
land where there is an investment plan for its development.
Purchasing land in the zone of zero growth is prohibited.
The second option is purchasing, incorporating or
participating in Cypriot businesses and companies.
The economic criteria for such an investment is at
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