Cyprus Shipping Companies
MN and Associates aims to cater ship owners, ship companies and other professionals connected in the shipping business in Cyprus.
The team of skilled and established lawyers, financial advisors and accountants cooperate in order to provide for the needs and requirements of their shipping clientele. The established team of professionals advises on all affairs relating to shipping services.
- The registration of shipping companies
- The registration of ships, yachts, vessels
- Deletion of ships
- Alteration or change of a ships name
- Transfer of ownership regarding ships, yachts and other vessels
- Finance matters concerning ships
- Payroll of the crew
- VAT and other taxation matters
Under the provision of Cyprus Company Law a Cyprus Shipping Company is recorded as a private company with limited liability in terms of shares. The whole procedure to register a Cyprus Shipping Company is completed within a week. The current legislation includes conditions and terms which assist in accelerating the majority procedures entailed.
Taxes and other Advantages concerning a Shipping Company
- There is no income tax imposed on the emoluments of the ship’s crew and other officers on board a Cyprus Ship.
- There is no Estate Duty imposed concerning inheritance of shares.
- There is no Stamp Duty requirement concerning a ship’s mortgage deeds and other security documents.
- Vat is not imposed concerning international transport services on the condition that the use of services occurs outside the European Union.
- Special taxation system exists concerning a shipping company. That is, a ship owner, ship manager or ship charterer that participates in the Cyprus Tonnage System, is excused from paying income tax, or any other tax or charge on dividends that are rewarded to the shareholders, on any revenue made after the sale of a ship or on interest earned regarding the working capital.
Under the tonnage tax system, established in 2010, owners of ships in Cyprus are exempted from paying Income tax, but are viable to pay a Tonnage Tax every year which is calculated by estimating the net tonnage of the ships they have possession of as recorded under the Merchant Shipping Law of 2010. The Tonnage Tax concerns ship owners, Ship managers and ship charterers who either owns, manages or charters a ship in any qualifying shipping activity.