Question Answered:

1. Why choose Cyprus as a business and relocation destination?

• Cyprus offers one of the lowest corporate tax rates in the EU (12.5 %) and has a network of double tax treaties with over 40 countries.

• The legal and business environment is robust and based on English common-law principles, making it familiar for international entrepreneurs.

• Geographically and strategically located between Europe, Asia and Africa, Cyprus serves as a gateway for international trade, investment and relocation. 

• Quality of life for you and your family: English-friendly schooling, sunshine, EU access, excellent connectivity.
   

2. Can anyone register a company in Cyprus?
Yes. Regardless of nationality or residence, individuals may set up a private company in Cyprus. 
You’ll need at least one director, one shareholder, a company secretary and a registered office in Cyprus.

3. What are the key steps and timeline for company formation?
Typical steps:

• Reserve the company name and prepare incorporation documents.

• Submit to the Registrar of Companies; in many cases the company can be incorporated within 1-2 weeks.

• Open a bank account, register for VAT if needed, and appoint any required Cyprus-resident directors if you want full tax treaty and substance benefits. 
   

4. What are the ongoing obligations after incorporation?

• Filing audited annual financial statements and the annual return to the Cyprus Registrar. 

• Corporate tax at 12.5% on net profit (subject to conditions) and other compliance (e.g., registered office, nominee services if used).

• If your company claims Cyprus tax resident status and relies on double tax treaties, you’ll need to ensure management & control is effectively in Cyprus.
   

5. What is the “Non-Dom” / tax-resident status for individuals?

• Under Cyprus tax law, an individual can become tax resident via the 183-day rule (spend ≥183 days in Cyprus) or the 60-day rule (spend ≥60 days and meet certain conditions).

• Being a tax resident but non-domiciled (i.e., you have not been Cyprus tax resident for 17 of the last 20 years) gives you significant tax advantages: e.g., exemption on dividends and interest for up to 17 years.
   

6. What are the main tax benefits for non-dom individuals?

• Exemption from Special Defence Contribution (SDC) on dividends/interest for non-dom tax residents.

• No inheritance tax, no wealth tax, no gift tax in many cases. 

• Attractive for entrepreneurs, investors and high-net-worth families looking for relocation + business base.
   

7. Do I have to live in Cyprus full-time?
Not necessarily. Under the 60-day rule you can become tax resident in Cyprus while spending part of your time elsewhere — as long as you meet the conditions:

• Stay at least 60 days in Cyprus within the tax year. 

• Have a permanent home in Cyprus (owned or leased).

• Do not become tax resident of another country in the same year.

8. Is opening a bank account in Cyprus required?
Yes, a local bank account is typically part of the set up if you are operating through a Cyprus company. Many clients choose to open an EU-based account or international account as part of the strategy, depending on their business model. 

9. Are physical presence or office premises required?
To access certain tax benefits (via substance requirements), it may be needed for the company to demonstrate “effective management & control” in Cyprus — e.g., majority of directors resident in Cyprus, board meetings held in Cyprus, a local office, etc. 

10. How quickly can we move and scale?
With the right structure and professional coordination, clients can often go from strategy to execution in a matter of weeks: company registration, residency application (if needed), bank account set up and operational readiness — especially when utilising experienced local partners.

11. What costs should I expect?
Typical incorporation costs vary depending on complexity and services. For example, a simple company formation may range from €1,600-€2,300 including fees and service provider costs. 
Annual maintenance costs (audit, registered office, secretarial) should also be budgeted.

12. What are typical risks or things to watch?

• Ensure your business model is clear and permissible under Cyprus law (some regulated activities require special licences).

• Substance requirement: If you claim treaty benefits, make sure decision-making is genuinely in Cyprus, not just nominal.

• Tax residency: simply owning a house isn’t enough — you must meet the criteria (days, ties, etc.).

• Bank account opening delays: banks do have due diligence processes; having proper documentation ready speeds things up.

• Regulatory changes: Always keep an eye on evolving EU/OECD standards (e.g., anti-tax avoidance, economic substance rules).
   

13. How does Bennett Cyprus Advisory help?

• We act as your direct connection to Cyprus — with American clarity, Cypriot expertise.

• We simplify: company registration, non-dom / residency planning, EU banking & accountants, property or office coordination, ongoing advisory.

• We manage communication discreetly, step by step — fast, compliant, and right from the start.