Trust Services
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- Category: Content
- Published: Monday, 29 September 2014 15:15
- Written by Super User
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A trust may be defined as the obligation of a person(i.e. a trustee) to whom property is transferred by the owner of the property and creator of the trust(i.e. the settlor),to hold and manage such property for a designed period according to the wishes of the settlor, oral or written as expressed in a letter of wishes, in favour of a specified person or person(i.e. the beneficiaries).A trust is not a separate legal entity.
Our firm can assist you and explain how you can benefit by setting up a Cyprus International Trust.
Cyprus International Trusts are based on the International Trusts Law of 1992 (as amended in 2012) and they enjoy very important tax advantages, thus providing significant tax planning opportunities. The main advantages can be summarized as follows:
- Income and gains of a Cyprus International Trust are exempt from Cyprus tax
- Dividends, interest or other income received by a Cyprus International Trust are not subject to Cyprus tax
- No capital gains tax is imposed on the disposal of assets by a Cyprus International Trust
- No withholding tax on distributions made by a Cyprus International Trust
- The above exemptions do not apply if the beneficiary of a Cyprus International Trust is a tax resident of Cyprus.