IP Box Regime

THE IP BOX REGIME IN CYPRUS

The new provisions of the IP Box regime apply for assets which are developed after 1 July 2016. The rules provide 80% of the qualifying profits generated from qualifying IP’s will be deductible as expenses and thus 20% will be subject to income tax of 12.5%, this brings the maximum effective rate of tax at 2.5%.Any person who claims benefit under the above regime should maintain proper books and records in accordance to Cyprus Laws. Trade Marks are not included in the list of Qualifying IP and therefore nor eligible for benefits under the new IP Box regime.

We can advise on registration of an IP in Cyprus and to the tax treatment of the Income. Also, we can offer expert tax advice for in cases of non-qualifying assets under the new IP BOX regulations If you need Consultation on the following:

  • Qualifying intangible asset
  • Qualifying expenditure
  • Up-lift expenditure
  • Overall expenditure
  • Overall income

For further information download the PDF brochure.