Cyprus for operators.

Company setup

Entity types. Private company limited by shares (Ltd) is the standard vehicle; public companies, partnerships and branches of foreign companies are also registered with the DRCIP.

Time to incorporate. Name approval: up to two weeks standard or about 3-4 working days accelerated. Registrar processing: about 7-10 working days standard or 1-6 working days expedited (practitioner estimate; official times vary).

Local director. No legal requirement for a Cypriot-resident director; directors and shareholders may be foreign. In practice, Cyprus tax residency and bank onboarding depend on management and control being exercised in Cyprus.

The DRCIP runs the UBO register. Under Law 141(I)/2024, late UBO filing carries a penalty of €100 for the first day plus €50 per day, capped at €5,000, and the Registrar can strike off non-compliant entities. Since 31 December 2022 a Cyprus-incorporated company managed abroad is still Cyprus tax resident unless it is tax resident in another country, so a 'Cyprus company with no Cyprus presence' remains in the Cyprus tax net. Basic company data (name, status, directors) can be searched free online.

Sources: expanship.com · harriskyriakides.law · e-justice.europa.eu · harneys.com

Banking & EMI access

Cyprus banks went through the 2013 financial crisis and then spent a decade removing high-risk non-resident business. According to Association of Cypriot Banks figures reported by AP, between 2014 and 2023 banks ended relationships with more than 72,000 clients and closed about 161,000 accounts worth about €42bn. Russian clients fell 90% and Ukrainian clients 61%.

After Russia's 2022 invasion of Ukraine, Russian-held deposits fell from 2.21% to 1.53% of the total. Bank of Cyprus opens international accounts through its International Business Units, requires an in-person visit or a local professional intermediary, does not serve customers in certain countries, and may decline any application without giving reasons. In practice, foreign-owned companies without real Cyprus substance often rely on CBC-licensed EMIs for IBANs and acquiring, but EMIs are also under closer CBC scrutiny.

Sources: abcnews.go.com · bankofcyprus.com

EMI regime & enforcement

EMIs and PIs are licensed by the CBC under the Electronic Money Laws 2012-2018 and the Payment Services Law 2018 and can passport across the EEA. Harneys reported, on the basis of the CBC's December 2024 strategy, that the CBC oversaw 26 EMIs and 11 PIs. The CBC set up a dedicated directorate for supervising them.

Cyprus Mail reported in October 2025 that two EMI licences had been revoked that year (firms not named). From 3 August 2026, applicants must complete a pre-application stage with a non-refundable €5,000 fee, the full application fee rises from €5,000 to €10,000, the CBC may require an enhanced due diligence report, and stalled applications are treated as withdrawn. Fines: Payabl.Cy Ltd (formerly Powercash21 Ltd), €350,000, decided 30 September 2025, for AML Law non-compliance found in an examination covering 2020.

Banque SBA (Cyprus branch), €750,000, decided 29 September 2026, for AML breaches found in a 2023 inspection.

Sources: harneys.com · cyprus-mail.com · cbn.com.cy · fintelegram.com · cyprus-mail.com

Licensed firms we track

Licence status and enforcement come from the regulator. Onboarding and sector details are only what each firm states publicly; "unknown" means it doesn't say. Check the register link before you rely on any firm.

Enforcement timeline

1. 29 Sept 2026Banque SBA (Cyprus branch): CBC administrative fine of €750,000 for breaches of the AML law and the CBC AML directive found in a 2023 inspection source
2. 30 Sept 2025payabl. (Payabl.Cy Ltd): CBC AML administrative fine of €350,000 following an examination covering 2020 (announced 3 Oct 2025) source

Crypto (MiCA)

CySEC is the MiCA national competent authority for CASPs. MiCA has applied to CASPs since 30 December 2024. Legacy firms on CySEC's national CASP register had to apply for MiCA authorisation by 27 February 2026 and could continue only until 1 July 2026 or until a decision on their application, whichever came first.

Firms that did not apply had to submit wind-down plans. KPMG Cyprus counted 12 Cyprus-authorised CASPs on ESMA's interim MiCA register as of June 2026. Named examples: eToro (Europe) Ltd received MiCA authorisation from CySEC, announced 19 February 2025.

A third-party mirror of the ESMA register lists Unlimit Crypto Ltd (authorised 29 June 2026), Ronin EM Ltd (22 June 2026) and Collect & Exchange CY Ltd (22 September 2025). Check the ESMA and CySEC registers before relying on any listing.

Sources: cbn.com.cy · cyprus-mail.com · assets.kpmg.com · etoro.com · paymentproviders.io

Tax

Cyprus's tax reform was voted on 22 December 2025, published on 31 December 2025, and took effect on 1 January 2026. Corporate income tax rose from 12.5% to 15%. Tax losses can now be carried forward for 7 years instead of 5.

Stamp duty was abolished. Deemed dividend distribution was abolished for profits earned from 2026, and new constructive-dividend rules carry 10% withholding. SDC on dividends fell from 17% to 5%, SDC no longer applies to interest income, and dividend withholding on payments to associated companies in low-tax jurisdictions fell from 17% to 5%.

Non-dom tax residents remain exempt from SDC on dividends. The personal tax-free band rose to €22,000, and the top rate of 35% applies above €72,000. Crypto gains are taxed at a flat 8%, and crypto losses can only be offset against crypto gains.

Non-dom status generally ends after 17 of 20 years of Cyprus tax residence. A paid extension of €250,000 per five years has been reported by advisers, but we could not confirm that it is enacted law.

Sources: globaltaxnews.ey.com · bdo.global · agplaw.com · harneys.com · rightax.com.cy

Risk lists

FATF. Not on the FATF grey or black list. Cyprus is evaluated by MONEYVAL, and its last mutual evaluation report was published on 13 February 2020. In June 2025 MONEYVAL ended Cyprus's 5th-round follow-up, with ratings of 16 Compliant, 22 Largely Compliant, 2 Partially Compliant (R.8 and R.31) and 0 Non-Compliant. The 6th-round onsite visit is scheduled for October 2028.

EU high-risk list. Not applicable. Cyprus is an EU member state, and the EU high-risk third-country list covers only non-EU countries.

Sanctions exposure is the main reputational risk. On 12 April 2023 the US and UK sanctioned Cyprus-based professional enablers linked to Roman Abramovich's network, and on 25 March 2024 OFAC designated Cyprus-based Tokentrust Holdings Ltd in a Russia-related action. Since then Cyprus has stepped up sanctions enforcement and AML cooperation, including with the US.

Sources: coe.int · fatf-gafi.org · timesofisrael.com · home.treasury.gov · eur-lex.europa.eu

Regulators

• Central Bank of Cyprus (CBC): Licenses and supervises credit institutions (with the ECB for significant banks), electronic money institutions and payment institutions; AML supervisor for these firms
• Cyprus Securities and Exchange Commission (CySEC): Licenses Cyprus Investment Firms (CIFs, including forex/CFD brokers), fund managers, and is the MiCA national competent authority for CASPs
• Department of Registrar of Companies and Intellectual Property (DRCIP): Company register and the beneficial ownership (UBO) register
• Tax Department (Ministry of Finance): Corporate and personal income tax, defence contribution, VAT
• MOKAS (Unit for Combating Money Laundering): Cyprus financial intelligence unit