A high-tax country entity can set up a Cyprus Company to employ all its executives that work internationally. In this way the tax payable by the executives and the social contributions payable by the employing company are reduced (also depends on local legislation in actual performance country). Such an arrangement benefits both the company, by reducing its executive employment costs, and the executive by increasing the amount of the net remuneration.
The concept of the Payroll Company can be extended to cover the hiring of workers for international contracts (the case of international contracts that are manned by workers from various jurisdictions).
For more detailed information about the Uses of Cypriot Companies by Corporations, please either scroll up or down this page (quicker) or click below to go to the relevant section:
Int'l Trading, Commission Agent & Service Companies | Investments | Holding Companies | Group Finance Companies | Royalty, Patent & Trademark Companies | Construction & Engineering | Internet & E-Commerce | Leasing | Printing & Publishing | Real Estate | Headquarter Companies | Administration & Treasury Management | Employment Companies | Executive Recruitment & Employment | Int'l Banking Units | Captive & General Insurance | Financial Services | Shipping & Ship Management
For more detailed information about the Uses of Cypriot Companies, please either use the main menu on the left or click below to go to the relevant section (quicker):
Uses by Corporations | Uses by Individuals | Non - Tax Uses