CONNECTEDSKY LEGAL & CORPORATE CONSULTANTS LIMITED. Citizenship & Residency Schemes, and investment Opportunities in Cyprus

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1 CONNECTEDSKY LEGAL & CORPORATE CONSULTANTS LIMITED Citizenship & Residency Schemes, and investment Opportunities in Cyprus

2 Table of contents 1. Introducing ConnectedSky 2. Why Cyprus? 3. Citizenship and residency schemes 4. Conclusion

3 Introducing ConnectedSky

4 Introducing ConnectedSky The Samir Group

5 Introducing ConnectedSky Through its association with C. Samir & Co. LLC, ConnectedSky maintains its headquarters in Nicosia, the Capital City of Cyprus and has representative offices in 22 locations within 16 Countries: BEIJING BERLIN BRUSSELS BUDAPEST DUBAI FRANKFURT HAMBURG HONG KONG KONING- WUSTERHAUSEN LIMASSOL LONDON LUGANO MILAN MOSCOW MUNICH NICOSIA PALMA DE MALLORCA PRAGUE ST. JULIANS VIENNA WARSAW WIESBADEN

6 Global professional services provider ONE-STOP-SHOP Services & Solutions Introducing ConnectedSky In addition to its representative offices, ConnectedSky maintains Subsidiaries in: Russia OOO ConnectedSky Malta ConnectedSky (Malta) Limited Hong Kong ConnectedSky (HK) Limited London ConnectedSky (UK) Limited

7 Introducing ConnectedSky Top 20 Services By ConnectedSky 1. Formation and Full Management of Foundations and Trusts Worldwide 2. Formation of Cyprus Investment Firms (CIF) 3. Formation of Alternative Investment Funds (AIF) 4. International Tax Planning 5. Obtaining Cypriot and Foreign Citizenship and Residency 6. Opening and Maintenance of Bank Accounts Worldwide 7. Formation and Re-domiciliation of Companies Worldwide 8. Fiduciary, Trustee, Administrative and Secretarial Services Worldwide 9. Mergers & Acquisitions

8 Introducing ConnectedSky Top 20 Services By ConnectedSky 10. Insolvency and Restructuring 11. Dispute Resolution 12. Real-estate and Construction 13. Intellectual Property 14. International Corporate Intelligence 15. International Compliance 16. Family Office 17. Legal Opinions and Legal Due Diligence Exercises 18. Accounting, Bookkeeping and Audit Assistance 19. Assistance with Recruitment, Training and HR 20. Registration of Ships, Vessels and Private Yachts

9 Introducing ConnectedSky Our Values: Performance based work ethics Uncompromising attention for details We Grow When You Grow

Why Cyprus Cyprus offers a strategic location, favourable tax environment, educated work force, excellent telecommunications, modern banking

10 Why Cyprus Cyprus offers a strategic location, favourable tax environment, educated work force, excellent telecommunications, modern banking and legal infrastructure which make the country the perfect business bridge for the European Union and the Middle East. THE WALL STREET JOURNAL

11 Why Cyprus EU Membership Geographical location Shipping

12 Why Cyprus Legal System English Common Law principles FULL compliance with - all EU AML directives - OECD - FATCA - FATF

13 Taxation corporate tax rate of 12,5% Dividend income received from abroad is tax exempt (subject to conditions); No thin capitalisation rules; Capital gains from the sale of immovable property situated outside Cyprus is tax exempt; Capital gains on sale of qualified Securities: 100% exemption; No withholding tax on outward payments (Dividends-Interest- Royalties) to non Cyprus tax residents (companies or individuals); Foreign Permanent Establishment profits exempt (subject to conditions); IP Box Regime with only 2.5% effective Taxation. Why Cyprus

14 Citizenship and residency schemes

15 Citizenship and residency schemes Cyprus Citizenship

16 Cyprus Citizenship by Investment INCENTIVES EU citizenship No language requirement, medical test or interview Visa-free travel to more than 150 countries in the world, including all the European Union countries, Canada and Australia amongst others Protection by EU legislation and regulations Dual-citizenship is allowed Combination of tax incentives for investors who were granted the citizenship

17 Cyprus Citizenship by Investment REQUIREMENTS Fulfil one of the following Economic criteria 1. Investment of at least 2 million in real estate developments and infrastructure. 2. Purchase or incorporation or participation of at least 2 million in Cypriot businesses and companies. (Must have physical presence in Cyprus, with significant activity and turnover, and must employ at least five (5) Cypriot or European citizens) 3. Investment of at least 2 million in Cyprus alternative investment funds (AIF s) or financial assets or Cypriot organizations licensed by the Cyprus Securities and Exchange Commission, CySEC

- Under this criterion, the investor may also invest in government bonds of Cyprus for the amount up to 500.

18 Cyprus Citizenship by Investment OR a combination of the aforementioned investments - Combination of the above investments, provided that the total investment will amount to at least 2 million. - Under this criterion, the investor may also invest in government bonds of Cyprus for the amount up to (Included in the 2 million Investment), which will be issued for this purpose by the Public Debt Management Office of the Ministry of Finance, for a period of at least three (3) years.

19 TERMS AND CONDITIONS Cyprus Citizenship by Investment 1. Clean criminal record 2. Residential property in the republic of Cyprus with a value of at least plus VAT. 3. Residency in Cyprus Following the recent amendments, the investor may invest more and qualify to obtain Cyprus Citizenship for his/her parents as well.

20 Citizenship and residency schemes Cyprus Residency

21 Cyprus Permanent Residency INCENTIVES Right to permanent residence in Cyprus Visa Free travel to Cyprus Granted for Life Includes spouses, parents, underage children and adult dependent children up to 25 years old.

22 Cyprus Permanent Residency Requirements Purchase of Property in Cyprus of a minimum value of and proof of payment for at least Deposit of minimum , in a 3-year Fixed Deposit Account.

23 Terms and Conditions Cyprus Permanent Residency Clean criminal record certificate Submit a statement of non-employment in Cyprus Visit Cyprus at least once every two years

24 Citizenship and residency schemes Cyprus Non-Domicile Program

25 Cyprus Non-Domicile Program CRS / FATCA Global Issues CLIENT Tax Authorities

26 Cyprus Non-Domicile Program CRS / FATCA Global Issues Substance Tax Authorities

27 Cyprus Non-Domicile Program Personal Substance Tax Residency Corporate Substance Real Physical Presence

28 Cyprus Non-Domicile Program Definitions: Tax Residency In Cyprus : physically present on the island for 183 days or more during a calendar year Domicile : a person who has either his/her domicile of origin (given at birth) in Cyprus or domicile of choice (establishing a home with the intention to reside in Cyprus permanently or indefinitely)

29 Cyprus Non-Domicile Program KEY BENEFITS Tax exemption of 50% of the remuneration from any employment exercised in Cyprus ( When the remuneration exceeds 100,000 per annum.) Tax exemption of 20% of the remuneration or 8,550 (whichever is the lower) from any employment exercised in Cyprus Income tax exemption for overseas employment. Remuneration from rendering services outside Cyprus to a non-resident employer for more than 90 days is exempt from income tax

30 Cyprus Non-Domicile Program KEY BENEFITS No tax on dividend and interest income No tax on gains arising from the disposal of investments Nil/reduced withholding tax on income received from abroad Exemption from capital gains tax (CGT) on sale of non- Cypriot real estate

31 The Cyprus Non-Domicile Program SAMPLE COMPUTATION Sources of income Amount Taxes Comments Employment Income 150,000 20,000 ( After application of the progressive Personal Tax Rates of 20%,25%,30%,35%) 50% Tax Exempt Dividend Income 70,000 NIL 100% Tax Exempt Interest Income 30,000 NIL 100% Tax Exempt Gains from the Disposal of shares Capital Gains on sale of non-cyprus real estate 5,000 NIL 100% Tax Exempt 200,000 NIL 100% Tax Exempt Total 455,000 20,000

32 The Cyprus Non-Domicile Program SAMPLE COMPUTATION For an income of 445,000 Per Annum Only Personal Income Tax And FULL exemption on all Investment income

Conclusion Within an increasingly demanding regulatory and legal environment Cyprus clearly stands out with a vast array of investment opportunities for both individuals and corporate entities.

33 Conclusion Within an increasingly demanding regulatory and legal environment Cyprus clearly stands out with a vast array of investment opportunities for both individuals and corporate entities. ConnectedSky translates such a multi-faced matter into an integrated global service. We thoroughly understand the need for cost efficiency, strategic commercial guidance, and most importantly, mindfulness throughout.

34 Thank You Charalambos Samir is an International Corporate lawyer and member of the Cyprus Bar Association. He is the founder and CEO of ConnectedSky and C. Samir & Co. LLC, and specialises in International Corporate Law, Mergers & Acquisitions, and International Corporate (Re) structuring, the setting up of Trust and Foundations, Fiduciary, Tax and Dispute Resolution.

Cyprus EU Citizenship By Investment

Cyprus EU Citizenship By Investment CYPRUS EU CITIZENSHIP BY INVESTMENT Cyprus became a member of the European Union in May 2004 and joined the EU Monetary Union in 2008 Cyprus has a stable legal and tax