• [En]
  • [Fr]
  • [Es]
  • [It]
  • [Tr]
  • [De]
  • [Pl]
  • [Ru]

  +357 24 656 406


+357 24 656 406
Company Formation Cyprus



Open a Cypriot Trust

Updated on Thursday 11th January 2018

Rate this article
5 5 1
based on 1 reviews

Open-a-Cypriot-Trust-1.jpgTrust formation in Cyprus

Investors who want to open a Cypriot trust must observe the provisions of the Cyprus International Trusts Law of 1992.  There are no major restrictions regarding who can open a Cyprus International Trust other than the requirements for having the minimum legal age and complete mental capacities.
The settler of the trust, the individual setting up the trust in Cyprus can be either a natural person or a legal person. The condition that must be observed by the settler is that the person or legal entity must not be a Cypriot resident during the year immediately after the trust is created. The same rule regarding residency also applies for the beneficiary of the trust. At least one of the trustees must be a Cypriot resident.
The settler of the trust must also pay a stamp duty. Our company registration experts in Cyprus can give you more details regarding the requirements for creating a Cyprus International Trust.

Types of trusts in Cyprus

The type of trust depends largely on the purpose of the settler and the objectives he is trying to achieve by using the trust. The types of trusts that can be set up in Cyprus are:
- charity trusts: it has certain purposes that are defined as charitable including but not limited to: poverty relief, educational or religious purposes, the advancement of health care, arts or sports, etc.;
- fixed trusts: with clearly specified trust property to which the beneficiary is entitled to;
- discretionary trusts: the trustee can decide the manner in which the beneficiaries received their entitlements; 
- fixed and discretionary trust: a combination trust that includes the particularities of the two other types;
- protective trusts or trading trusts.

Trust taxation in Cyprus

The taxation of a trust in Cyprus depends on the residency of the Beneficiary and whether or not he derived income from outside the country. The beneficiary is exempt from taxation in Cyprus of he is not a Cypriot resident and he received income from outside of Cyprus. Dividends received from Cypriot trust are not subject to tax. Also, a trust is not affected by the existence or lack of a double tax treaty between Cyprus and other countries.
Our consultants can help you with advice and personalized counselling regarding the best trust type for your needs. Do not hesitate to contact us for other issues regarding Cypriot company formation


There are no comments

Comments & Requests

Please note that client queries should NOT be posted here but sent through our Contact page.

Meet us in Larnaca

Call us now at +357 24 656 406 to set up an appointment with our consultants in Larnaca, Cyprus. Alternatively you can incorporate your company without traveling to Cyprus.

We offer:

- cost-efficiency: competitive company formation prices;

- prompt response to your inquiry (maxim 24 hours);

- free and complete legal information featured on our site, at your disposal.

Contact us

Online Incorporation


Tax Calculator




The team of experts at OpenCompanyCyprus.com offers high quality company formation services. I would definitely recommend them to any investor interested in opening a company in Cyprus.

Francesco Dagnino, Partner of
Lexia Avvocati

Read more testimonials

We Recommend ClientPedia

This website is marketed by ClientPedia

Banner-Promoting ClientPedia-244px.jpg

We accept online payments