An EU VAT number and VIES reporting make B2B invoicing across the EU straightforward when rules are followed.
Your Cyprus Accountant
Stay compliant without the hassle. Monthly bookkeeping, VAT and payroll handled, with year-end and audit support built in. A good accountant helps you keep more of what you earn by planning within the rules, spotting deductions, and preventing needless tax and penalties.
Why choose Trustank Corporate
One contract, one team, all services. Accounting, VAT/VIES, payroll, nominee governance, registered office and in-house audit run under the same roof. You get clean books that match your minutes and contracts, faster answers for banks and regulators, and a single point of contact. We work with fixed pricing for the full bundle, so costs are clear up front with no hidden fees. Work is planned within the rules to keep you compliant and to avoid unnecessary tax and penalties.
Simple Cyprus Accounting Setup
Start-up checklist
A brief call to understand your business activities and transaction volume.
Software access
We give you a login to the accounting portal so you can start uploading invoices
Calculations & filings
After VAT, VIES and employer registrations are active, we run monthly payroll (PAYE & Social Insurance) and submit statutory returns on schedule.
Financial statements
We prepare corporate tax calculations, compile transaction listings and invoices, build the audit pack with trial balance and schedules, and coordinate the annual financial audit.
One Contract • All Services
Cyprus, in Simple Business Terms
IFRS
as standard
Financial statements follow IFRS, in English if you wish, so banks, investors and auditors understand them without translation.
Broad
clear deductibility relief
Business costs that are wholly and exclusively incurred are deductible with proper invoices. Fewer grey areas, predictable results.
Digital
compliance workflow
Online portals for VAT, VIES, payroll and Registrar e-filings keep submissions predictable and traceable.
Losses
you can use
Tax losses carry forward and group relief can offset profits across Cyprus entities in the same year.
Treaty
network & light outbound frictions
A wide treaty network and generally no withholding on dividends to non-residents help you move profits cleanly when the structure is right.
EU
VAT + VIES ready
Good to know
An inexperienced accountant can cost you needless expenses, penalties for late or wrong filings, and hours lost fixing errors. Bad advice can even expose you in front of your clients, damaging trust and reputation. At Trustank, your file is led by our Chief Accountant (15+ years’ experience) and double-checked. Deadlines are tracked, records stay clean, and mistakes are not acceptable.
Frequently Asked Questions
What do you need from the client each month?
Invoices in and out, bank or EMI statements, payroll changes, and any contracts that affect revenue or costs.
How fast can you start?
As soon as onboarding is done and we have portal access and opening balances. We can take over mid-year and tidy the books to date.
What’s the VAT registration threshold in Cyprus?
€15,600 of taxable turnover on a rolling 12-month basis. We track it and let you know when registration is required. Many clients choose to register from day one if they need to issue VAT invoices immediately.
How often are VAT and VIES filed?
VAT is usually quarterly. VIES is monthly for intra-EU supplies.
Can you work with our existing auditor?
Yes. We prepare a clean audit pack, answer routine queries, and keep numbers aligned with minutes and contracts.
What about provisional tax?
We calculate provisional tax and handle the two instalments each year, then true-up at year end to avoid interest and penalties.
How does provisional tax work?
Companies estimate current-year profit and pay in two equal instalments on 31 July and 31 December, with a revision possible later if needed.
Can you get a Tax Residency Certificate or Tax Clearance?
Yes. We prepare the application and supporting schedules and file it with the Tax Department.
How are dividends handled from an accounting or tax angle?
We calculate and document dividends, update registers, and handle SDC or GHS and any filings. You receive clear statements per shareholder.
Are my expenses deductible?
If expenses are wholly and exclusively for the business and properly documented, they are generally deductible. An experienced accountant can advise on handling them in the company’s best interests.
What if volumes spike as we grow?
We scale bookkeeping and payroll capacity, automate data capture where sensible, and adjust the package so filings remain on time and audit packs stay clean.
Can we switch from our current accountant to you?
Yes. We run onboarding, collect the handover file, reconcile to date, and continue without gaps. We can also speak to your old provider if you prefer.
How do you keep us on track with deadlines?
We maintain a compliance calendar for VAT, VIES, payroll, Annual Return and UBO confirmation, with reminders before anything is due.
Is our data safe?
Yes. We follow Cyprus and EU privacy rules, restrict access to need-to-know staff, and maintain a clean digital file for audits and banks.
Do you offer fixed pricing?
Yes. One contract covers the bundle, including accounting, VAT or VIES, payroll, and the audit handover, with no hidden fees.
What is the Cyprus tax year and when is the corporate return due?
Calendar year from 1 January to 31 December. The TD4 corporate return is due 31 March of the second year after the tax year. The balancing tax is generally due 1 August of the following year.
What is the Interest Limitation Rule (ILR)?
Net interest, also called exceeding borrowing costs, is deductible up to 30% of tax-EBITDA or €3m, whichever is higher. Unused interest capacity and disallowed interest can be carried forward up to 5 years, subject to carve-outs and group rules.
Does Cyprus have an IP box?
Yes. 80% deduction on qualifying profits from qualifying IP, aligned with the Nexus approach.
SDC on dividends, who pays?
Individuals who are Cyprus tax-resident and domiciled pay SDC 17% on dividends. Non-dom individuals are exempt from SDC on dividends.
Use our Dividends Calculator.
Is GHS (GeSY) due on dividends?
Yes. Dividends to Cyprus tax-resident individuals, dom or non-dom, attract GHS 2.65%, subject to the €180,000 annual income cap for contributions. These are withheld at source and reported or paid via the Tax Department.
Are there outbound withholding taxes (WHT)?
Generally no WHT on dividends or interest paid to non-residents. No WHT on royalties for rights used abroad except for defensive WHT on payments to entities in EU Annex I non-cooperative or certain low-tax jurisdictions. Rates can apply such as 17% on dividends, with other rates for interest or royalties under recent laws.
Capital gains, what’s taxed?
20% CGT on gains from Cyprus-situated immovable property and on shares of companies that directly or indirectly derive 50% or more of value from Cyprus immovable property. Listed shares are excluded.
How does the 60-day tax residency rule work in Cyprus?
It is an alternative to the 183-day rule. You can be Cyprus tax-resident if the statutory 60-day conditions are met within the calendar year. See the next question for the exact conditions.
How are days counted for the 60-day or 183-day rules?
In the same calendar year, you must: (1) spend at least 60 days in Cyprus; (2) not spend over 183 days in any other single country; (3) not be tax-resident anywhere else; (4) have ties to Cyprus such as carrying on a business, being employed, or holding an office like director of a Cyprus tax-resident company; and (5) have a permanent home in Cyprus, owned or rented. All conditions must be met within the year.
What confirms tax residency for treaty relief?
A Tax Residency Certificate from the Cyprus Tax Department, often required by banks or counterparties. We handle the application and schedules.
How does the non-dom status interact with dividends?
Non-dom Cyprus residents do not pay SDC on dividends or interest. GHS on passive income can still apply up to the annual cap.
Do Cyprus companies prepare IFRS accounts and audit?
Yes. IFRS financials and a mandatory annual audit by licensed auditors are standard, which supports banking and due diligence.
What is a Cyprus tax ruling?
A written advance ruling from the Tax Department on how tax law applies to your specific facts such as NID, IP, PE, withholding, or residency. It is generally binding on the Tax Department provided your facts are complete and accurate and the law does not change.
When should I seek a tax ruling?
When a material transaction needs certainty such as financings, IP licensing, complex restructurings, cross-border dividends, interest or royalties, or to support management-and-control evidence. We prepare the facts, legal analysis, supporting documents, and handle the submission.
Do you work with EU VAT OSS and IOSS?
Yes. We register and file OSS for intra-EU B2C distance sales and IOSS for low-value imports up to €150 sold to EU consumers. We align your invoicing, evidence, and returns so rates apply correctly per customer location.
Related Publications
Accounting / Compliance Package
Suitable for
Newly established businesses starting operations in Cyprus, established groups adding a Cyprus entity, and dissatisfied clients who want to move their accounting from another provider to Trustank.
Clean books
|
Timely filings
|
Always available
What you get (one-off setup)
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Bookkeeping & Tax OptimizationMonthly bookkeeping (20–30 transactions, extra charges apply for more), tax compliance, and strategic tax planning.
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Salary Calculation & Payslip PreparationPayroll management for up to 10 employees (extra charges apply for more) including payslips.
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VAT Returns & CompliancePreparation and submission of periodic VAT returns and related compliance checks. Like all EU member states, the Cyprus VAT reporting calendar is on an annual basis.
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VIES Returns (VAT Information Exchange System)Preparation and submission of the required VIES statements to Cypriot tax authorities for VAT registered persons who carry out intra-Community supplies of goods or services.
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Social Insurance contributions & PAYE Tax filingsHandling the relevant filings and assistance with the monthly payment of contributions.
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Preparation of T.D.63 Certificate of Annual EmolumentsOfficial document issued by an employer showing total income paid during a tax year with deductions such as PAYE tax and social insurance.
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Preparation and Submission of Employer’s Return (T.D.7)Submission of the Employer’s Return to the Tax Department.
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Preparation and Submission of Personal Income Tax Return (T.D.1)File your yearly tax declaration with the Tax Department.
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Provisional Tax CalculationCalculate and pay provisional tax in two instalments in July and December.
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Dividends Declaration & Withholding ComplianceProfit and solvency check with distributable reserves confirmed, resolutions and minutes prepared, SDC/GHS calculated per shareholder, outbound withholding and treaty position reviewed, payment files and notices issued, statutory filings and remittances made with proof, and registers and your digital company file updated. (Additional charges apply for multiple distributions in a year)
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Tax Clearance Certificates & Tax Residency CertificatesApplication for necessary certificates for international tax planning or corporate structuring.
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Non-Domiciled RegistrationOfficial confirmation that a person is tax resident in Cyprus but not domiciled for tax purposes.
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Accounting System Setup & SupportSet up and maintain cloud accounting that automates routine work, improves accuracy, and gives you 24/7 remote access to upload invoices, review real-time reports, and monitor performance from anywhere.
Direct Contact
Nina Timochidou
Financial Director | Chief Accounting Officer
