Cyprus trust law is modelled on the English Trustee Act of 1925 and was modernised under the Cyprus International Trust Law 1992, which was subsequently amended by Law 20 (I)/2012. The Cyprus International Trust Law is a very comprehensive legal framework with the added benefit of Cyprus being part of the EU.
Vasiliou law offers comprehensive advice one the use of trusts. We provide assistance in tax planning and in the setting up and management of trusts as well as the recognition in Cyprus of foreign trusts. We also act as nominee shareholder to hold shares in a company incorporated by us if we are satisfied that the underlying reasons are legitimate. We can also provide escrow agency services in local or international private or commercial transactions.
Cyprus International Trusts enjoy important tax advantages, providing significant tax planning possibilities to settlors and beneficiaries. The Cyprus International Trust has proved a very popular asset protection tool for wealthy individuals from Russia, and the other Central and Eastern European countries.
Why setting up an international Trust in Cyprus could be beneficial for you
- Asset Protection
- Anonymity, via the holding of shares or other assets through the trustees,
- Holding of property for minors or third persons;
- Managing family wealth and estate planning
- Tax Planning
- Securing a company’s continuity
Types of Trusts that we are able to establish at Vasiliou Law :
-Cyprus international trust
-Express Private Trusts
The Cyprus International Trust (CIT) is a trust:
- whereby the Settlor is not a tax resident of Cyprus during the year preceding the year in which the trust was formed. There is no longer any prohibition on the settlor relocating to Cyprus after the establishment of the CIT;
(b) the trust beneficiaries may also relocate to Cyprus after a year following the trust creation.
(c) the trust property can include all kinds of assets situated anywhere in the world and it can comprise of real estate property located in Cyprus
(d) at least one of the trustees must be a resident of Cyprus;
Here are some of the reasons why a Cyprus international trust has become popular:
Complete tax exemptions
Short limitation period (two years) for challenging a trust
No need for any kind of registration
Low cost of establishment and administration
Availability of competent professional trustees
Flexibility in adopting foreign law
For any further queries regarding trust please do not hesitate to contact us