Yatch Leasing in Cyprus

Yatch Leasing in Cyprus

Cyprus has a very attractive yacht leasing scheme which reduces the amount of VAT payable significantly. Instead of buying a yacht and paying 19% VAT on the transaction, by establishing a company in Cyprus and leasing out the vessel through that company, you can take full advantage of the yacht leasing scheme. VAT on vessels in Cyprus is determined by type and size.

We can assist by registering your company in Cyprus and taking care of all the required administrative procedures including registering the company with the VAT authorities in Cyprus and dealing with all tax, legal and VAT matters.

Once the legal formalities are completed, the business is in a position to purchase the vessel which if bought from another EU state is not subject to VAT, if bought from outside the EU, VAT will be paid but can be reclaimed.

Then the Cyprus company leases the yacht to the lessor, who can be an individual or corporation of any nationality.

The lessor will pay the full purchase price and a minimum of 10% profit to the leasing company, but the amount of VAT paid will be considerably less, reaching a low 3.9% in the best of cases. 

The lessee makes an initial minimum down payment to the lessor of 40% of the purchase price of the craft. The balance of the purchase price plus 5% profit is then repaid over 48 monthly instalments and on expiry of the lease a further 5% is paid and ownership is transferred to the lessee.

The 10% profit made by the leasing company will be subject to 12.5% corporation tax.

We can assist in the following ways: 

–          Registering a Cyprus company

–          Registering the Cyprus company with the Cyprus VAT authorities

–          Preparation of all legal documents

–          Opening of a Cyprus bank account

–          Dealing with all Cyprus VAT matters

–          Dealing with all Cyprus tax matters.

 

FastCo provides you with specialized tailored solutions.  Our team is comprised of professionals who are fully qualified in their field of expertise.

We are a trusted provider of corporate services including:

  1. Company registration
  2. Provision of fiduciary services
  3. Opening of corporate bank accounts
  4. Management and administration of companies
  5. Audit
  6. Tax planning
  7. Accounting

www.fastcoregister.com

 

Be Sociable, Share!