Article: Taxation Of The European Company (SE): The Cyprus Perspective.

Since its the accession on May 1, 2004, Cyprus has been widely considered to be the E.U. Member State with the lowest corporate tax rate (10 percent). Due to various other tax advantages, such as exemption possibilities for inbound and outbound dividend payments, no withholding taxes on interest for non-residents, a network of double taxation treaties, tax deductions in respect of borrowing costs, no thin capitalisation rules, narrow and flexible CFC legislation as well as group relief, to name just a few advantages, the island is generally recognised by tax experts as one of the more attractive locations for the establishment of a holding company in Europe. The ...

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