cyprus – a competitive tax system

Electus provides its clients with tailor-made tax recommendations and advice with reference to any domestic (direct and/or indirect) tax aspects relevant to a proposed transaction/s, with a view to achieving an optimal Cyprus tax exposure. As an experienced services company in Cyprus, Electus assists clients to benefit from Cyprus’s tax system.

Cyprus’s favourable and competitive tax system (comprising attractive features such as one of the lowest corporation tax in Europe and expanding international tax treaty network) has been central to Cyprus’s success as a European financial services centre.

Persons carrying on business activities in or from Cyprus typically secure the lowest net effective tax rates available in the European Union.

In addition, Cyprus’s tax system was thoroughly scrutinised by the European Commission and the EU Code of Conduct Group upon Cyprus’s accession to the European Union and has since been certified as fully compliant with EU law.

In order to meet the complexities of international tax along with local regulations our team offer the following broad tax services:

  • Segregation of duties – separating authorisation, custody, and record keeping roles to prevent fraud or error by one person.
  • Authorisation of transactions – review of particular transactions by an appropriate person.
  • Retention of records – maintaining documentation to evidence transactions.
  • Supervision or monitoring of operations – inspection or evaluation of ongoing operational activity.
  • Physical safeguards – usage of cameras, locks, physical barriers, etc. to protect property, such as range of inventory.
  • Top-level reviews-analysis of actual results versus organizational goals or plans, periodic and regular operational reviews, metrics, and other Key Performance Indicators (KPIs).
  • IT general controls – controls linked with securityand change management
  • IT application controls – controls over information workflow, data transfer between IT applications, validation of data manual entries and review on numerical sequence and whether they line within the normal entries made, and comparing file totals with control accounts.