Abolition of the Annual Levy for Companies in Cyprus

Abolition of the Annual Levy for Companies in Cyprus

One of the targeted supportive measures recently announced by the Government of Cyprus is the abolition of the annual levy on companies.

The abolition of the mandatory annual levy of €350, that was payable by all companies registered at the Cyprus Registrar of Companies, is applicable from 2024 onwards.

The move is one of the measures aimed at facilitating economic expansion and attracting increased foreign investment, thus encouraging both local as well as international businesses to establish and operate their companies in Cyprus.  As well as reducing operating costs for enterprises, it supports the decision to streamline administrative processes.

This move is part of a broader package of economic measures aimed at boosting the attractiveness of Cyprus’ business environment and enhancing Cyprus’ global competitiveness.

It is worth noting that the annual levy, payable by all companies registered in Cyprus, was first introduced back in 2011 and was a mandatory measure intended for fiscal consolidation.

Companies incorporated during or prior to 2023 that have not yet paid the annual levy must execute this payment, plus applicable penalties. The companies that have already paid the annual levy for the year 2024 will receive a refund.

By implementing such measures and supporting the interests of enterprises, Cyprus maintains its position as a dynamic and modern business hub with favourable, attractive conditions for entrepreneurship and investment.

Our Cyprus Operations

Our fully licensed network firm in Cyprus, AK Kotsomitis Accountancy and Tax Ltd is regulated by the Professional Regulatory Authorities (ICPAC) and is licensed to carry out accounting, audit and tax services.

Ilcom Ltd is a group subsidiary operating since 2003. It is licensed by CySEC (The Cyprus Securities and Exchange Commission). Ilcom Ltd is a leading Cyprus trust and corporate services provider offering a full scope of services including incorporation / registration of all legal entity types.

Please check out our Cyprus member firm website www.fbscyprus.com and contact us if this is of interest to you. 

You may also want to check out our UAE network firm website www.fbsemirates.com.

Or our Malta network firm website www.fbsmalta.com to see if their services are of interest to you.