A Cypriot Ltd is registered in 2–4 weeks, costs €1,500–4,500 for a turnkey first year, and pays 15% corporate tax — the reform raised the rate from 12.5% on 1 January 2026. The €350 annual levy was abolished back in 2024.
Fees and timings
| Stage | Cost | Time |
|---|---|---|
| Name approval | €10, €30 expedited | 3–4 days expedited |
| Registration (HE1+HE2+HE3) | €165 + €100 to expedite | 6–8 working days |
| Annual return HE32 | €20 | 28 days after the AGM |
| Annual levy | abolished since 2024 | — |
| A company with no share capital | €235 | same timings |
| Directors' consent (HE5) — public companies only | €20 | — |
| Certified copies of the incorporation documents at registration | €120 if the articles are attached; €130 if not | — |
The incorporation documents can only be signed by a licensed Cypriot lawyer — you cannot register a company yourself. Legal fees run €1,200–3,000. There is no minimum share capital; €1,000 is typical.
What you need every year
- At least one director. For the company to be tax resident, management and control must be in Cyprus, meaning most directors are residents.
- A secretary, a registered address and a register of beneficial owners (UBO).
- Bookkeeping €80–150 a month, VAT returns €100–200 a quarter, the audit €1,000–2,000.
- The first general meeting must be held within 18 months of registration.
Company taxes
- 15% corporate tax from 1 January 2026 (previously 12.5%). Losses carry forward for 7 years instead of the previous 5.
- Provisional tax in two instalments: 31 July and 31 December.
- R&D — the 120% super-deduction has been extended to 2030; entertainment expenses up to €30,000.
- Stamp duty was abolished from 2026.
The IP Box — the key point for IT
80% of qualifying intellectual property profit is exempt, giving an effective rate of around 3%. Patents and copyright-protected software qualify: SaaS, apps, algorithms. Brands and trademarks do not.
VAT
| Rate | What it covers |
|---|---|
| 19% | standard |
| 9% | restaurants, hotels, transport, household electricity |
| 5% | food, medicines, a first home within the limits |
| 3% | books, newspapers, magazines |
| 0% | exports, intra-EU supplies, international transport |