A Cyprus Company can own equipment and lease it to a high-tax country entity (HTCE).
Such an arrangement allows the HTCE entity to take advantage on the leasing payments. The equipment may come into the ownership of the Cyprus Company under a sale and lease back agreement with the HTCE entity.
A HTCE can sell its already depreciated assets to a Cyprus Company. The Cyprus Company is entitled to capital allowances on these newly acquired assets and will charge a leasing fee to the original owner. Such an arrangement will reduce the taxable profit in the country of the original owner.
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