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Section A

Apostille

An international certification that authenticates a document for use in another country, under the 1961 Hague Convention. Required for civil documents like birth and marriage certificates.

Section C

CFC (Controlled Foreign Company) Rules

Anti-avoidance rules that attribute income from a foreign company back to its resident shareholders, used by high-tax countries to prevent profit shifting. Cyprus has limited CFC rules.

CRS (Common Reporting Standard)

An OECD framework for automatic exchange of financial account information between countries. Most

countries, including Cyprus, participate. Means most foreign accounts are reported home.

Section D

Domicile vs Residence

Two different concepts. Domicile is your country of origin or permanent intended home. Residence is

where you actually live now. Cyprus Non-Dom decouples them in your favour.

Section E

EU Parent-Subsidiary Directive

EU regulation eliminating withholding tax on qualifying dividend payments between subsidiary and parent

companies in different EU states. Critical for cross-border holding structures.

Section F

FATCA

US law requiring foreign financial institutions to report accounts held by US persons to the IRS. Affects

Americans abroad and dual citizens. Has global reach.

Section I

IP Box

Section P

Permanent Establishment (PE)

A fixed place of business in a country that triggers local corporate tax obligations there. Important when

running operations across multiple jurisdictions.

Pillar Two

OECD framework introducing a 15% global minimum corporate tax for multinationals above 750 million EUR

revenue. Affects how Cyprus’s corporate tax rate applies to large groups.

Section S

Substance Requirements

Rules requiring a company to have genuine operational presence (office, staff, decision-making) in the

jurisdiction where it claims tax residency. Cyprus and Dubai both have substance regimes.

Section W

Wegzugsbesteuerung (Exit Tax)

Germany’s tax on unrealised capital gains in corporate shareholdings when a tax resident leaves the

country. Triggered on departure. Critical to plan for if relocating from Germany.

Withholding Tax (WHT)

Tax deducted at source on cross-border payments (dividends, interest, royalties). Treaties and EU

directives often reduce or eliminate WHT for qualifying recipients.

Section Y

Yellow Slip

The Cyprus residence registration certificate (Form MEU1A) issued to EU citizens establishing residency.

The document that confirms your right to live in Cyprus.