Matters to be considered
- Avoidance of permanent establishment in Russia by making sure that no services are provided in Russia by employees of the Cyprus company.
- Avoidance of having mind and management in the investors’ country.
- Maintenance of oﬃce in Cyprus where administrative services are provided.
- Employment of personnel in Cyprus either expatriate or local.
- The majority of the Board of Directors are residents of Cyprus.
- Bank accounts are maintained and operated from Cyprus.
- Keeping of accounting records is carried out in Cyprus and all documents are kept in Cyprus.
See also Cyprus as a Base for Investing in Russia introductory article.
Advantages offered by Cyprus to companies establishing offices in Cyprus
- Availability of oﬃce and housing accommodation at very competitive rates and of high standard.
- Telecommunication facilities rank amongst the best in the world.
- Air connections with Europe, Russia and the Middle East.
- Qualiﬁed personnel at very competitive rates. Salaries are about 60% of rates in Europe.
- Excellent climate and very high standard of living and education facilities.
- Duty free goods of a capital nature for the company and the expatriate employees.
- Working permits are easily granted to expatriate employees.
- Low taxation for expatriates working in Cyprus.
- There are no payroll taxes for expatriate employees.
The above is intended to provide a brief guide only. It is essential that appropriate professional advice is obtained.