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3.5. Potential Acquisition of Tax Residence Status by Foreign Entities

A foreign company may transfer its domiciliation to Cyprus and continue its corporate operations from Cyprus under the laws of the Republic of Cyprus. The following are some of the requirements that need to be met by the foreign company:

  • It's Memorandum of Association/equivalent constitutional document allows for re-domiciliation
  • Resolution authorizing the Directors to re-domicile the company in Cyprus
  • A certificate of good standing (or equivalent) from the country of first incorporation
  • A formal declaration of its decision to re-domicile in Cyprus to the authority of the country of the first incorporation
  • no criminal or administrative procedures should be pending against the corporation
  • An affidavit statement by a director, duly authorized resolution declaring the solvency of the company stating clearly that the persons signing do not know of any circumstances that would negatively and materially affect the solvency of the company within (12) months of the date of application
  • Adoption of International Financial reporting standards (IFRSs) as adopted by the EU