Monthly Archives - December 2017

December 2017

ESMA Guidelines under MiFID II

CESMA Guidelines under MiFID II The Cyprus Securities and Exchange Commission (“CySEC”) has notified Cyprus Investment Firms, of the guidelines published by the European Securities and Markets Authority on 2 October 2017 under Directive 2014/65/EU (“MiFID II”) and Regulation (EU) No 600/2014 (“MIFIR”). The guidelines apply solely in relation to synchronisation of business clocks pursuant to article 50 of MiFID II and recording of orders and submission of transaction reports pursuant to articles 25 and 26 of MIFIR. They are designed to ensure...

Registration of Foreign Court Judgments in Cyprus

Our law firm's managing partner Mr. Christos Paraskevas, has published an article in relation to the Recognition, Registration and Enforcement of Court Judgments issued by foreign courts in Cyprus. The article was puplished to Lawyers in Cyprus, a leading Cyprus portal for Cyprus law. The full article may found here. Extracts are reproduced below. Recognition, Registration and Enforcement of Court Judgments issued by EU Member States’ Courts A judgment including a decree, order, decision or writ of execution given in one EU country is...

The EU list of non-cooperative jurisdictions

The EU Economic and Financial Affairs Council, which is made up of the economics and finance ministers of all member states, has approved the EU Commission’s recommendations on a unified EU list of non-cooperative jurisdictions in taxation matters, more familiarly referred to as a blacklist. Inclusion in the list is based on three sets of agreed criteria regarding tax transparency, fairness of taxation and implementation of anti-base erosion and profit shifting measures. The list is intended to be continuously reviewed and...

Cyprus International Trusts

A comprehensive definition of "trusts" under Cyprus law does not exist. However, the court, through case law, has deemed that a trust arrangement is a structure whereby the holder of a property (the "trustee") has an obligation to manage that property for the benefit of another (the “beneficiary”). The trust is created by transferring the legal ownership of the trust property from the previous owner (the “settlor”) to the trustee, though the beneficial ownership over that asset belongs to the beneficiary....

Cyprus Company Incorporation

Lawyers in Cyprus, a Cyprus portal for Cyprus lawyers  published an article of our law firm in relation to the Incorporation of a Cyprus Company. You may read the full article here. Extracts are reproduced below. The incorporation of a Cyprus Company can be effectively utilised by entrepreneurs for International Tax Law Planning purposes and at the same time enjoy the status of being located at a reputable business centre within the European Union. The low Cyprus tax law regime coupled with...

Cyprus-India agreement on merchant shipping

The new reciprocal Cyprus-India agreement on merchant shipping between Cyprus and India entered into force on 29 November 2017, replacing an earlier agreement dated 11 February 1997. The most significant provisions of the new agreement are summarised below. Each country will treat the other country’s vessels in the same way as it treats its own vessels engaged in international voyages in respect of free access to ports, use of ports for loading and unloading of cargoes and for embarking and...

Cyprus Tax Residency changes

The Parliament of Cyprus has approved on the 14th of July 2017 a bill which grants tax residence status to persons who have spent at least 60 days in Cyprus per year (effective as from the 1st of January 2017) provided that the following conditions are met: Conditions to be fulfilled The individual (i) Remains in the Republic of Cyprus for at least 60 days during the tax year in question and (ii) Is not a tax resident in another state and (iii) Does not...

Bank of Cyprus to set up real estate fund

The Bank of Cyprus announced the establishment of a real estate fund which will be the first of its kind in Cyprus. The fund will be regulated by CySEC and will be listed on the Cyprus Stock Exchange. The 190 Million Euros fund will be classified as an Alternative Investment Fund and will seek to obtain a diversified portfolio of high quality income yielding commercial real estate property. The properties offer a gross average rental yield of over 6% per year. The...

VAT guidelines for insolvency practitioners

The Cyprus Tax Department has issued guidance to professional bodies and other potential stakeholders about VAT registration issues and procedures affecting insolvency office-holders in companies in receivership, liquidation or other insolvency proceedings, taking account of the prohibition in the Insolvency Advisers Law of 2015 against companies acting as insolvency practitioners, and the fact that many licensed insolvency practitioners are employees of professional service firms rather than independent contractors.