Cyprus is a competitive EU jurisdiction for international corporate structures, allowing businesses to centralise contracts, pricing and risk management in a single, tax‑efficient holding company, while complying with current substance, transfer pricing and anti‑avoidance rules.

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International Trading Structures - Holding Companies

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A Cyprus company can act as an intermediary trading or a holding entity of other companies in cross‑border supply chains. Any structure must be supported by:

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• real economic substance in Cyprus (people, functions, risks and decision‑making); and

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• arm’s‑length pricing, documented in accordance with the latest Cypriot transfer pricing requirements.

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VAT within the EU:

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• Cyprus trading companies can be registered for VAT.

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• No VAT is charged on supplies of goods or services between VAT‑registered companies in different EU Member States, provided the relevant conditions, reporting and documentation requirements are satisfied.