The Right Response at the Right Time Law Support

Lawyer in Cyprus Location

8 Kennedy Ave., Office 101, CY-1087, Lefkosia, Cyprus Mon - Fri 09:00-18:00 Online Chat : 24/7

Logo

C. Hadjivangeli & Partners LLC

Advocates – Legal Consultants

Сonsultation

Cyprus lawyer INT:+357-22366777

E-COMMERCE COMPANY IN CYPRUS

E-COMMERCE COMPANY IN CYPRUS

E-COMMERCE COMPANY IN CYPRUS

E-commerce has long become an integral part of our lives. Thanks to the COVID 19 pandemic, online trading has increased exponentially.

What is e-commerce?

E-commerce is an area of the digital economy that includes all financial and trade transactions carried out using computer networks, and the business processes associated with such transactions.

Today, having a digital platform for any business is of paramount importance, as it significantly expands sales options.

You can start or expand your e-commerce business in Cyprus and enter new markets.

E-commerce owners can also benefit from online marketing, networking, and data collection to increase their revenue and profits.

Why use Cyprus as a jurisdiction?

  1. Cyprus is an ideal jurisdiction to start your e-commerce business due to its favorable tax and tourism regime.
  2. Cyprus also has a fast company registration process, as well as a stable, business-oriented government, making it a very attractive option for e-entrepreneurs.
  3. Since Cyprus is a member of the European Union, you have access to business and trade throughout its territory. Online trading is very popular in the EU.

Taxation of e-commerce business in Cyprus

Cyprus has ideal conditions for starting your online shopping business thanks to its favorable tax regime. The island’s 12.5% corporation tax rate, one of the lowest in the EU, is a major pull factor.

In addition, if you have not resided in Cyprus for the last 17 out of 20 years, there is a beneficial opportunity for you to become a tax resident of Cyprus and gain the long-awaited tax status without a permanent residence. This allows you to pay minimal taxes on the dividends you declare on your worldwide income in Cyprus and overseas.

A nice bonus is that Cyprus has no inheritance or wealth taxes and is not expected to do so in the coming years.

Cyprus has a number of beneficial double taxation treaties which could be exploited in the future.

Key legal aspects of doing business in e-commerce in Cyprus:

  1. You will also need to obtain an e-commerce license applicable to all online businesses in Cyprus. Compliance with privacy laws is also critical given the nature of online business.
  2. In addition, you must comply with the Electronic Commerce Law (156(I)/2004), which governs all electronic transactions.

How to open a bank account in Cyprus?

Reliable banking services are a must for any online business.

Opening a business account can be simplified through us. And with the correct documentation.

Several banks offer customized services for online businesses, including internet banking, mobile banking and card trading services. Cypriot banks widely support payment gateway integration, which is required for online transactions.

Disclaimer: This publication has been prepared as a general guide and for informational purposes only. This is not a substitute for professional advice. He/she should not be relied upon without obtaining independent advice based on the specific facts of his/her own case. The authors or publishers do not accept any liability for any damages arising from acts or omissions in reliance on this publication. This article is for informational purposes only. For further advice, please contact us using the contacts listed on the website.

Post A Comment

Your email address will not be published. Required fields are marked *