Cyprus taxes, is this true?

[Researcher]

Read this on forum

Cyprus is not a low tax country unless you are a very high income earner under the non-dom system. For example although dividends are not subject to income tax they are subject social security contribution and GESY which together come to almost 20% and if you don't have non-dom status also add another 17% for SDC.
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So wait, I thought dividends are NOT taxed in Cyprus.
Are they taxed or are they not taxed if you have non dom?

So if you have Cyprus non dom + Cyprus company, what taxes will you end up paying in the end if you take dividends out of company?
20% for dividends is not acceptable.

 

[ShillGates]

no upto 5k max
https://www.offshorecorptalk.com/threads/social-contributions-in-cyprus.39574/#post-246805
divivdends with non dom status - on cyprus company you need to have the non dom certificate for tax fee divdends.

on non cyprus companies this is not applicable, nor the 2.85% GESY

 

[Researcher]

ShillGates said:
no upto 5k max
https://www.offshorecorptalk.com/threads/social-contributions-in-cyprus.39574/#post-246805
divivdends with non dom status - on cyprus company you need to have the non dom certificate for tax fee divdends.

on non cyprus companies this is not applicable, nor the 2.85% GESY
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Ok, so that is wrong info then?
Where can I read the official law or documents from their official .gov websites on this?
And do I understand correctly, that smartest move is to get non dom in Cyprus, live in Cyprus, but have company in a different jurisdiction?

 

[wonderfulboy]

@CyprusLawyer101 @CyprusBusiness @CyprusLaw may be able to help you out here.

 

[CyprusLaw]

Researcher said:
Ok, so that is wrong info then?
Where can I read the official law or documents from their official .gov websites on this?
And do I understand correctly, that smartest move is to get non dom in Cyprus, live in Cyprus, but have company in a different jurisdiction?
Click to expand...

Your information is wrong. Social contribution applies only on personal income, not on dividends. Dividends (for a domiciled individual) has an obligation of 2.65% GESY plus 17% SDC. If you you have non dom status then dividend distribution is SDC free for 17 years.

 

[ShillGates]

2.65% with a cap of 180k of income max = 4770 euro
so for non dom - 10Million profit cyprus corp. 1.25M euro corp tax. 8.75M dividend - pay 4770 euro

 

[cardholder]

what if you're a resident of another country (for example, UAE), owning a corp in cyprus - does your cyprus company only pay 12.5% in taxes? do you also have to pay 2.65% GESY?

 

[Zoxin Development]

I assume I have to pay the 2,65% on my dividend in my Cyprus corp, I live in Asia