Cyprus Citizenship and Residence Program - New Website

Cyprus – Become a Permanent Resident – Bring Your Family- €300,000 Property Purchase

Cyprus is a modern country, member of the European Union since 2004 and the Euro zone since 2008 that enjoys a strategic geographical position. It lies at the crossroads of three continents, Europe, Africa, and Asia, providing unlimited business investment and travel opportunities. The country is located in the Mediterranean Sea, a short distance from Lebanon, Syria, Turkey and Egypt.

Soon after independence in 1960 the Republic of Cyprus became a member of the United Nations, the Commonwealth, the Non-Aligned Movement and the Council of Europe. Cyprus subsequently became a member of other international organisations, including the Organisation for Security and Cooperation in Europe and the World Bank.

The Mediterreanean lifestyle and more…

Cyprus enjoys an idyllic Mediterranean lifestyle, beautiful beaches, 340 days of sunshine a year and welcoming friendly people in a relaxed environment. With its excellent flight connections and first class airports, the island is perfectly placed for working and travelling within and beyond the European Union.

Cyprus is well known for its rich heritage and diverse culture, beautiful blue flag beaches with the cleanest bathing waters in Europe, a wonderful Mediterranean climate and cosmopolitan cities. The island offers a low cost but high standard of living and is a very popular year – round destination for tourists seeking a coastal summer or mountain winter holidays.

Cyprus has a modern, free – market, service based economy and is a favoured business destination due to its strong set of business and taxation advantages. The island is also well known for its safe and stable environment that makes it an ideal location for families and students.

Cyprus offers a high standard of living, modern transport and infrastructure, excellent academic institutions (several accredited European Universities such British, American and more), access to quality medical services, a stable government and a robust legal structure which is based on British law and fully harmonised with EU directives.

How Safe is Cyprus?

Cyprus SafetyThe island is also well known for its safe and stable environment that makes it an ideal location for families and students. Cyprus in general is a family-friendly location with a low crime rate. Cypriots are known for their warmth and friendliness so visitors and foreign residents will have little trouble feeling safe and at home in Cyprus.

Once a British colony the country still accommodates many British nationals and Cyprus has the third highest percentage of foreign citizens in the EU. Also citizens from non-EU countries reside on the island and the expat community is large. Newcomers moving to a country with an already existing expat community benefit from this as it makes the transition process much easier.

Business and Taxation

Not only does Cyprus have the lowest and most favourable tax rates in Europe, it also has many tax exemptions for non-residents. Non-residents are only liable to pay taxes in Cyprus for income generated in the country. Moreover, there is no withholding tax on interest income derived in Cyprus or dividends earned in the country. Cyprus has signed a Double taxation treaty with 43 countries to ensure that taxable income derived in Cyprus is credited from the country of tax residence of the individual.

Personal Income Tax Rates

First EUR 19.500 Nil , from 19.501 – to 28.000 – 20 per cent, from 28.001 – to 36.300 – 25 per cent, from 36301- 60,000 – 30 per cent and above 60,000 – 35 per cent

Foreign pension income is taxed at the flat rate of 5%. An annual exemption of €3.420 is granted. However, the taxpayer can elect to be taxed at the normal tax rates as above set out. This choice can be made year-on-year.

Corporate Taxation Rates

The corporation tax rate for all companies is 12,5 per cent

Income exempt from taxation in Cyprus

Dividends

Profits from the sale of securities

Profits of a permanent establishment abroad, under certain conditions

Certain interest not arising from ordinary activities or closely related to the ordinary activities of a company

Dividend income from Cyprus tax resident companies with a Cyprus resident individual shareholder 17 per cent

Dividend income from Cyprus tax resident companies with foreign corporate shareholders such as UAE, Seychelles etc. companies -Nil

Economy, Business and Banking

Economy Business And Banking in CyprusCyprus is rapidly recovering from recent economic turmoil thanks to significant activities in the shipping, tourism, financial & legal services sectors. The recent discovery of huge hydrocarbon reserves in its Exclusive Economic zone makes Cyprus an emerging regional energy hub attracting major foreign investments.

The immigration programs – residency and naturalization, which the Cyprus Government started promoting in the past few years have proved to be extremely popular creating strong demand in the property sector. Cyprus enjoys world – class property rights and solid investment, trade, labor, business and financial freedom. Cyprus is a favoured business destination for international companies for its strategically geographical location between Europe, Middle East and Africa. Cyprus is considered a great hub for international banking not only for companies registered in Cyprus but for those which are registered in other tax jurisdictions such as UAE, UK, BVI, Seychelles, Belize, etc. The Cypriot banking system has a good understanding of International trust law and the use of nominee services for those who wish to have anonymity, privacy and desire the highest level of confidentiality. The Central Bank of Cyprus permits all major currencies to be held and traded in Cyprus.

Currently Ongoing Construction Projects

The recent discovery of huge oil and gas reserves in its exclusive economic zone makes Cyprus an emerging regional energy hub attracting major foreign investments.

Another project is the development of one of the biggest casinos in the world. This Super Casino is projected to include malls, restaurants, shopping and entertainment venues unlike any other in Europe or the Middle East. This project comparable to casinos seen in Las Vegas is aimed to attract an additional half to one million tourists a year.

The economic restructuring in 2013, the privatisation of marinas and all major ports as well as an new western style leading government make Cyprus a much more appealing place to invest and an even more ideal travel destination.

Cultural Treasures in Cyprus

Arts and culture have a long tradition in Cyprus with historical monuments dating back to 10,000 BC. There are nearly twenty museums in the capital Nicosia exibiting a broad accumulation of archaeological collections.

The rock off the shore along the main road from Paphos to Limassol, has been regarded since ancient times as the birthplace of Aphrodite, the goddess of love and fertility.

Cyprus has so many sites an monuments and is on the list of the UNESCO with four World Heritage sites.

Sport in Cyprus

The most popular sport on the island is football. Below is a wikipedia list of further sports activities in Cyprus.

Sport in Cyprus

  1. Athletics
  2. Football
  3. Rugby union
  4. Basketball
  5. Olympic Games
  6. Cyprus Rally
  7. Tennis
  8. Skiing
  9. Paragliding

Easy to reach Destination

With its excellent flight connections and first class airports, the island is perfectly placed for working and travelling within and beyond the European Union.

Many flights from the Middle East, Asia, Europe including Scandinavia and Russia fly non-stop to Cyprus on a daily basis.

The Residence Program

The Republic received in excess of €2.1bn over the past 24 months (Sep 2015) from the property-for-residency scheme the Minister of Interior Mr Socrates Hasikos said. The scheme allows third country nationinals to obtain permanent residence in Cyprus if they buy property priced at €300,000 or more.

This has brought the Republic €2.1bn and more since 2013.

The RPP Program gives any Non-EU national the right to permanently reside in Cyprus. The Program eliminates immigration entry procedures such as a visitor’s visa when travelling. The family is also entitled to obtain the permit, this includes the married spouse, children under 18 years old and financially dependent children up to 25 years of age.

The Permit is issued for an indefinite duration. Non-EU citizens must fall into the following categories:

Purchased in Cyprus at least one new real estate property with a total purchase cost of at least €300.000 (excluding VAT).

A steady annual income transferred on a regular basis from abroad to a bank operating in Cyprus. The income should derive from sources other than employment in Cyprus.

The usual processing time is 60 -90 days.

Residence Criteria for non EEA-Citizens

  • Purchase a property of minimum €300,000 plus VAT
  • Open a Cyprus bank account and deposit a minimum of €30,000 pledged for at least 3 years – we arrange the issue of a premium credit card with the same bank
  • Proof of a minimum disposable income annual income of €30,000 increased by €5,000 for every dependent person (wife, children etc.)
  • Minimum payment towards the purchase price of €200,000 at the time of application
  • The company needs to be registered in the name of the applicant and/or his spouse and they need to be the sole shareholders
  • The purchase of the residence must must be from a developer company to a purchaser (applicant in person or his/her company)
  • The applicant can purchase up to two residential units (apartments or houses), or 1 residential unit and 1 shop with an area of up to 100 m2 or 1 residential unit and office with an area of up to 250 m2 to be the total value of €300,000 plus VAT
  • The properties may be independent from each other but both must be sold by the same company

Qualifying Criteria

  • Clean criminal record from their country of residence
  • The applicant and his spouse must declare that they do not intend to be employed in any direct or indirect way in Cyprus
  • The applicant and the members of his family who were included in the applicant’s PR Permit must visit Cyprus at least once every two years
  • All the necessary documents attached to the application of PR Permit must be translated in Greek or in English and be duly certified
  • The ministry estimates that the period of examination of the application shall not exceed a period of two months from the submission of a duly completed application form with supporting documents

Residence Criteria for EU-Citizens

On the basis of the EC Treaty, residence permits are not required for EU citizens who wish to move from one EU member state to another. However, in Cyprus the requirement is to register their presence with the local authorities.

  • Employment and Self Employment (operating your own business in Cyprus)
  • Many international businesspeople run their business from Cyprus and benefit
    • not only from the climate but also from financial advantages such as tax rates
    • and the proximity to Europe, Africa and Asia
  • Students
  • Economically non-active
  • Staying as a family member of a citizen of the Union
  • Pensioners who wish to enjoy the beautiful Mediterranean climate

Qualified applicants

  • A permanent residence permit will be issued to an applicant and his dependent spouse and children who are under 18 years old
  • Financially dependent adult children between 18 and 25 years old
  • Unmarried financially dependent children e.g. students between the age of 18 and 25 can submit their own application to obtain a permanent residence permit
  • The permanent residence permit will continue to have effect after the age of 25

Cyprus