Ship registration in Cyprus
• The reasons to register your boat in Cyprus are many
• The costs of registering and managing are the lowest in Europe
• Ideal structure for a boat that will be offered for rent
• You do not pay VAT on the purchase of your boat
Some things to know for ship registration in Cyprus:
1 – A ship may be registered in Cyprus if more than half the shares of the ship are owned by a Cypriot or a company registered in the Republic of Cyprus or by an offshore company whose control is in the hands of Cypriots.
Do not worry, we are specialists in this kind of registration and within a short time, your company will be registered in Cyprus
2 – To register a vessel under the flag of Cyprus, the following conditions must be met:
I. The majority of shares in the ship must be owned by Cypriots or
II. Over the majority of shares in the ship must be owned by a company registered in Cyprus, irrespective of the nationality of the owners of the company.
You already love these conditions, read more:
Advantages of incorporation of a yacht in Cyprus:
• No tax on profits from the operation or management of a Cyprus ship.
• No tax on dividends received from a company that owns the boat.
• Cyprus has concluded treaties on double taxation with 50 countries.
• Cyprus does not impose stamp duty on mortgage deeds on a ship or other security documents.
• No income tax on compensations for officers and crew.
• Shipping companies are practically free of any type of tax.
Tax benefits with registrating a yacht in Cyprus:
In the context of European harmonization, Cyprus has ratified a wide range of international conventions on maritime safety. Cyprus has also concluded a number of bilateral treaties to avoid double taxation.
• A shipowner whose company is registered in Cyprus is fully exempt from income taxes from operations in international waters.
• No tax is payable on the wages of the crew of Cypriot ships, which operate in international waters.
• No tax on capital gains is payable on the sale or transfer of a ship or shares in a shipping company.
• No tax is payable on any dividend received from a shipping company in Cyprus.
• No registration duty is payable on the shares of a shipping company.
• The ship management companies owned by non-residents, and ships operating in international waters will pay tax on their profits limited to the rate of 4.25%.
Cyprus has a long maritime history and the laws of Cyprus are perfect for holding a boat.
Cypriot legislation provides that all documents which refer to ships are eligible provided they are submitted in a language understandable to the officials, English in this case.
This provision makes the registration of vessels faster and saves on translation costs.
For starters it is very simple, fill out this short questionnaire, we will contact you upon receipt.
In order to learn more please email us through our contact form.
CKSA Advises you!