Cyprus Investment Programme
- obtain citizenship in Cyprus
Advantages
A second passport or an alternative residency offers several advantages in particular for high net work individuals. In many cases it will allow VISA free travel to a large number of countries and you can choose to reside in the country where the taxes or indeeed the climate is most favourable to you.
Obtaining an EU-passport or citizenship in a EU country is increasingly popular and we have several solutions available for those seeking to benefit from the advantages offered to EU-citizens.
Malta and Cyprus present a number of different possibilities which lead to the attainment of Maltese or Cypriot citizenship. We are focusing on the most popular citizenship by investment programs offered by Malta and Cyprus.
Cyprus Investment Programme
Cyprus, which has ranked as the 5th best relocation destination in the world, according to ranking by an international lifestyle review, has attracted its fair share of individuals wanting to acquire Cypriot citizenship, particularly HNW and professional individuals, especially through its favourable tax regime for new residents.
The investment programme has been revised with effect from 15th of May 2019. The changes increase the cost of the programme but it does still remain one of the most attractive ways of obtaining a citizenship by investment.
Conditions
The conditions have been revised and the new measures came into force on 15th of May 2019 and the requirements do now include a compulsory non-refundable donation of at least €150,000.
1 - Donation
a) - at least €75,000 to the Research and Innvoatiob Foundation
b) - at least €75,000 to the Cyprus Land Development Corporatin for the financing of housing schmes for affordable housing but aslo for the materialization of other housing schemes or measures.
2 - Investments
For the Cyprus Investment Program you have to invest at least €2Million (plus VAT) and purchase a primary residence worth at least € 500,000. While the investment portfolio may be sold after 5 years, the primary residence have to be maintained for the duration of the citizenship granted.
The investment options are as follows:
(1) INVESTING IN REAL ESTATE DEVELOPMENTS AND INFRASTRUCTURE
The applicant should make an investment of at least € 2,000,000 for the purchase or construction of immovable property whether residential or commercial, and whether related to the tourism sector or otherwise, including investment in land. The real estate investment can be made up of one unit worth at least €2 Million or of several units worth a total of €2 Million. VAT is applicable on new developments.
This is by far the most popular investment option.
(2) PURCHASE OR INCORPORATION OR PARTICIPATION IN CYPRIOT BUSINESSES AND COMPANIES
The applicant should purchase, incorporate or participate in companies established and operating in the Republic of Cyprus with investment costs of at least €2,000,000. These invested funds will be channelled to finance the investment objectives of the Companies, according to their business plan.
Additionally, the companies must have physical presence in Cyprus, with significant activity and turnover, and must employ at least five Cypriot or European citizens.
(3) INVESTING IN CYPRUS ALTERNATIVE INVESTMENT FUNDS (AIF’S) OR FINANCIAL ASSETS OR CYPRIOT ORGANIZATIONS LICENSED BY THE CYPRUS SECURITIES AND EXCHANGE COMMISSION, “CYSEC”
The applicant should invest in units of at least € 2,000,000 of AIF’s established, licensed and supervised in Cyprus by “CYSEC”. Such investments should be made exclusively in Cyprus and should meet the criteria of this scheme and be approved by the Minister of Finance.
Acquisition of financial assets in Cypriot businesses or organizations of at least € 2,000,000, such as bonds, bills and securities issued by companies that have demonstrated physical presence and substantial economic activity in Cyprus, should be maintained for a period of 5 years.
(4) COMBINATION OF THE ABOVE INVESTMENTS
The applicant may make a combination of the above investments, provided that the total investment will amount to at least € 2,000,000.
Residence permit Applicants must be holders of a residence permit in Cyprus to qualify for receiving the Cypriot Citizenship. For this purpose, applications for residence permits should be submitted to the Authorities, which will be issued simultaneously with the filing of the Citizenship application. | Citizenship to parents of the applicant An investor’s parents are now entitled to apply for Cyprus citizenship provided that they own a permanent residence worth at least €500,000. Alternatively, the investor and parents acquire one residential property with a total value of minimum €1,000,000. | Terms and Conditions • Clean Criminal Record The applicant should have a clean criminal record. • Residential Property The applicant should own a residential property of at least €500,000 + VAT which can be included in a portfolio worth €2M • Residency in Cyprus The applicant, before the naturalization as Cypriot Citizen, must hold a residency permit in Cyprus. | Favourable taxation
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