Shipping

Cyprus is a highly regarded international shipping centre, with the third largest fleet in the EU and among the top 10 worldwide.

Our firm offers a wide range of legal services including:

► registration of shipping companies – incorporation, tax advice, director, secretary and registered address services
► registration of ships
► registration of small vessels
► admiralty litigation
► EC regulations
► mortgages
► charterparties
► transfer of ownership

Some of the benefits Cyprus offers are:

► European Union and European Monetary Union Member State
► Lowest Incorporation tax in the EU (12.5%)
► Special taxation regime for Shipping Companies (see below)
► No exchange controls
► No limitations on foreign direct investment
Double tax treaties with 50 countries
► VAT exemption for international transport services when their effective use and enjoyment are outside the EU
► Bilateral agreements with 23 countries
► No estate duty on the inheritance of shares in a shipowning company
► Full protection for financiers and mortgagees.
► No stamp duty on ship mortgage deeds or other security documents
► Signatory to numerous international maritime conventions.
► Legal system modelled closely on the English law
► Bilingual work force (Greek and English)
► Highly skilled services sector (banking, legal, accounting)
► The only open Registry with a pre-approved tonnage tax system in place until 2020, with the possibility to renew to 2030.
Why Cyprus?
Tonnage tax & tonnage calculator


Benefits of the Cypriot flag:

► Classification in the “White list” of the Paris and Tokyo MOUs on Port State Control
► Exclusion from the “List of Targeted Flag States” of the U.S. Coast Guard
► Signatory to all international maritime conventions on safety and pollution prevention
► No tax on income derived from the operation of a Cyprus registered vessel
► No tax on dividends paid to shareholders of a Cyprus registered vessel out of profits made from the operation or from the sale of the ship
► No tax on interest earned on working capital of a Cyprus registered vessel
► No tax on the income or profit made from the sale of a Cyprus registered vessel
► No tax on the wages or benefits of officers and crew members of a Cyprus registered vessel
► Competitive ship registration costs and fees
► Favourable tonnage system approved by the EU (see above)

Source: Department of Merchant Shipping