Cyprus Remote
Gaming License

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Cyprus Remote Gaming License

Cyprus parliament passed the Betting Law in 2012, providing a legislative framework for the issuance of a Cyprus gaming license.

Intro

Cyprus just recently joined the list of European countries regulating online gambling. Until 2012 the online gambling in Cyprus was illegal and active measures were taken in order to prohibit interactive wagering. However, the parliament of the country passed the Betting Law in 2012, providing a legislative framework for the issuance of a Cyprus gaming license.

Legislation

The following laws apply:

(a) Betting Law of 2012 – (L. 106(I)/2012, as amended):

  • Regulates land-based and online sports and another betting.
  • Created the National Betting Authority.

(b) The Taxation of Horseracing Bets and Sweepstakes Law 1973 (L. 48/1973):

  • Regulates horse racing in Cyprus, its provision by the Nicosia Race Club (and its representatives), and its taxation.

(c) Lottery Act (Cap. 74):

  • Regulates lotteries, bingo, and skilled competitions.
  • With the exception of small-scale lotteries/bingo, which is a secondary event in a context of other non-profitable/charitable/festive events and private (for members of an organization or association) lotteries/bingo, which are allowed under specific conditions, only the state is allowed to perform lotteries.

(d) The Agreement between the Hellenic Republic and the Republic of Cyprus regarding the games offered by OPAP (Ratification) Law of 2003 (L. 34(III)/2003).

(e) Certain Games of Chance Law of 2018 (L. 52(I)/2018):

  • Certain games of chance were introduced in 2003 under a state-granted monopoly to OPAP through the bilateral agreement between the Hellenic Republic and the Republic of Cyprus [ratified by L. 34(III)/2003 above under (d)]. The Certain Games of Chance Act is the new framework under which these games are offered, under a single license, with the National Betting Authority as the new regulator.

(f) The Casino Operations and Control Law 2015 – (L. 124(I)/2015):

  • Regulates state-granted monopolies for casino games.
  • License valid overall for 30 years, while for the first 15 years it will be an exclusive concession.
  • Created the Cyprus National Gaming and Casino Supervision Commission.

(g) Games Machines, Skill Machines, and Entertainment Machines Law of 1996 (L. 32(I)/1996):

  • Prohibits the provision of any game of chance, betting, gambling, lottery, bingo, etc. through machines.

License Types

“The Betting Law” imposes 2 types of licenses:

  • Class A – Manages offline sports betting – this applies only to the bookmakers with real offices, except horse racing or other services regulated under the class B license.
  • Class B – Manages online activities, except slot machines and casinos lotteries.

Licensing Process

Each company that wants to obtain an A or B license has to meet the following requirements:

  • Cyprus stocks availability;
  • Foreign registration;
  • Presence of a division of a foreign company in Cyprus with primary activity in betting. Partnership with a local company is also permissible. The minimal share capital of a foreign or local business is EUR 500,000;
  • Cyprus or other EU bank warranty for at least EUR 550,000. The warranty should expire in 6 months after obtaining the license;
  • Sufficient resources for players payments;
  • Acceptable accounting system for the chosen service;
  • Compliance with the “Betting law of 2012” in part of players protection.

Licensing Fees

The applicant can get a license only for 1 or 2 years. After expiration, it is possible to apply for a renewal. The National Betting Agency reserves a right to revoke the license at any time if its owner violates current law (Article 24)

The license is issued only after fee payment, which depends on the license duration:

  • EUR 30,000 for 1-year license;
  • EUR 45,000 for 2 years.

The Class B license should be paid only via debit card/credit card / any other electronic payment. Cash payment is forbidden. (Article 58(1)).

After receiving the class B license, the licensee must open an account in a Cyprus bank or other institution that is allowed to provide banking services in Cyprus. Class B licensees have to analyze a player’s current account before accepting his bet. If there are not enough funds to pay the rate, a licensee has to reject the bet.

Gambling Taxation

A combined rate of 13%, which consists of 10% of net revenue, 2% assigned to the Cyprus sports Federations, and 1% for extra gambling programmers (Article 71).

Technical Requirements

All the data should be stored exclusively on a Cyprus server data system. The server/data center has to be connected to the government electronic system in order to pass the data on transactions. An address of the website which accepts players bets has to be ended with LTD of “.com.cy”.

Learn More About Gambling Consulting

If you’re interested in learning more about our gambling consulting services, call +4(0)773.939.033

Cyprus Offshore Company Incorporation

National Trade Register Office is assessing the applications for company incorporation.

Cyprus Offshore Company Incorporation

The Republic of Cyprus enjoys a beneficial strategic location at the intersection of traditional shipping routes between Europe and the continents of Asia and Africa. It is the focal point of congested trade routes linking Western Europe with the Middle East and North Africa. Although Greek and Turkish are the two official languages, English is widespread, especially in the business community.

The offshore regime in Cyprus for offshore companies has changed as a result of the island’s accession to the EU, as well as as a result of agreements with the OECD. It also enjoys a wide network of double taxation treaties, becoming a dominant player in tax planning structures.

Moreover, Cyprus is renowned for its efficient, stable, and reliable banking system and for its efficient professional segment, both audit and legal. The entire constitutional and legal environment has allowed the Cyprus jurisdiction to become an important offshore financial center.

Restrictions on the maximum participation rate, as well as the minimum monetary level of foreign investment in any company / legal entity in Cyprus, have been lifted since January 2000, for EU citizens, and from 1 October 2004 for non-EU citizens. EU. At present, the investment policy in Cyprus allows 100% foreign participation in Cypriot entities in almost all sectors of the economy, not only for EU citizens and also for investors from third countries.

There is an approved 10% corporate tax rate for companies in Cyprus that applies to both types of offshore and onshore companies, plus taxes of 2% on salary invoices. Therefore, the profit tax of a company in Cyprus is at the lowest level in the EU.

The most important benefits that the use of an offshore company established in Cyprus can offer are:

  • free movement of the profits obtained from the exploitation of non-residents’ investments;
  • no withholding tax on dividends, interest, and royalties obtained from the activity of an offshore company;
  • full exemption from capital gains taxation;
  • salaries of foreign employees of offshore companies, employed outside Cyprus are completely exempt from taxes;
  • major offshore business center with thousands of offshore companies established annually;
  • dividends to shareholders are exempt from tax;
  • double taxation treaties with over 38 countries;
  • offshore companies located in Cyprus can buy various items for personal needs without charge.

General Information

Entity type IBC private company
Applicable legislation Common Law
Availability for company without activity (shelf company) Yes
Registration time 5 days
Corporate tax 10%
Access to Double Taxation Treaties Yes

Requirements for share capital or equivalent

Standard currency Euro
Allowed currency All
Minimum paid capital 1,000 Euro
Authorized current share capital 5,000 Euro

Directors

Minimum number 1
Locally registered director No, but it is recommended for tax residency purposes
Official documents publicly available Yes
Meeting locations Anywhere, but Cyprus is recommended for tax residence purposes

Shareholders

Nimimum number 1
Official documents publicly available Da
Meeting locations Oriunde

Company secretary

Registered Yes
Local or qualified No, but Cyprus is recommended for residence and compliance purposes

Accounting

Obligation to prepare documentation Yes
Audit requirements Yes
Obligation to submit accounts Yes
Publicly accessible accounts No

Recurring state costs

Minimum annual tax/license fees Not applicable

Other

Obligation to submit the annual income statement Yes
Change of address allowed No

Learn More About Offshore Company Incorporation

If you’re interested in learning more about our offshore company consulting services, call +4(0)773.939.033

Cyprus Remote Gaming License

Cyprus parliament passed the Betting Law in 2012, providing a legislative framework for the issuance of a Cyprus gaming license.

Intro

Cyprus just recently joined the list of European countries regulating online gambling. Until 2012 the online gambling in Cyprus was illegal and active measures were taken in order to prohibit interactive wagering. However, the parliament of the country passed the Betting Law in 2012, providing a legislative framework for the issuance of a Cyprus gaming license.

Legislation

The following laws apply:

(a) Betting Law of 2012 – (L. 106(I)/2012, as amended):

  • Regulates land-based and online sports and another betting.
  • Created the National Betting Authority.

(b) The Taxation of Horseracing Bets and Sweepstakes Law 1973 (L. 48/1973):

  • Regulates horse racing in Cyprus, its provision by the Nicosia Race Club (and its representatives), and its taxation.

(c) Lottery Act (Cap. 74):

  • Regulates lotteries, bingo, and skilled competitions.
  • With the exception of small-scale lotteries/bingo, which is a secondary event in a context of other non-profitable/charitable/festive events and private (for members of an organization or association) lotteries/bingo, which are allowed under specific conditions, only the state is allowed to perform lotteries.

(d) The Agreement between the Hellenic Republic and the Republic of Cyprus regarding the games offered by OPAP (Ratification) Law of 2003 (L. 34(III)/2003).

(e) Certain Games of Chance Law of 2018 (L. 52(I)/2018):

  • Certain games of chance were introduced in 2003 under a state-granted monopoly to OPAP through the bilateral agreement between the Hellenic Republic and the Republic of Cyprus [ratified by L. 34(III)/2003 above under (d)]. The Certain Games of Chance Act is the new framework under which these games are offered, under a single license, with the National Betting Authority as the new regulator.

(f) The Casino Operations and Control Law 2015 – (L. 124(I)/2015):

  • Regulates state-granted monopolies for casino games.
  • License valid overall for 30 years, while for the first 15 years it will be an exclusive concession.
  • Created the Cyprus National Gaming and Casino Supervision Commission.

(g) Games Machines, Skill Machines, and Entertainment Machines Law of 1996 (L. 32(I)/1996):

  • Prohibits the provision of any game of chance, betting, gambling, lottery, bingo, etc. through machines.

License Types

“The Betting Law” imposes 2 types of licenses:

  • Class A – Manages offline sports betting – this applies only to the bookmakers with real offices, except horse racing or other services regulated under the class B license.
  • Class B – Manages online activities, except slot machines and casinos lotteries.

Licensing Process

Each company that wants to obtain an A or B license has to meet the following requirements:

  • Cyprus stocks availability;
  • Foreign registration;
  • Presence of a division of a foreign company in Cyprus with primary activity in betting. Partnership with a local company is also permissible. The minimal share capital of a foreign or local business is EUR 500,000;
  • Cyprus or other EU bank warranty for at least EUR 550,000. The warranty should expire in 6 months after obtaining the license;
  • Sufficient resources for players payments;
  • Acceptable accounting system for the chosen service;
  • Compliance with the “Betting law of 2012” in part of players protection.

Licensing Fees

The applicant can get a license only for 1 or 2 years. After expiration, it is possible to apply for a renewal. The National Betting Agency reserves a right to revoke the license at any time if its owner violates current law (Article 24)

The license is issued only after fee payment, which depends on the license duration:

  • EUR 30,000 for 1-year license;
  • EUR 45,000 for 2 years.

The Class B license should be paid only via debit card/credit card / any other electronic payment. Cash payment is forbidden. (Article 58(1)).

After receiving the class B license, the licensee must open an account in a Cyprus bank or other institution that is allowed to provide banking services in Cyprus. Class B licensees have to analyze a player’s current account before accepting his bet. If there are not enough funds to pay the rate, a licensee has to reject the bet.

Gambling Taxation

A combined rate of 13%, which consists of 10% of net revenue, 2% assigned to the Cyprus sports Federations, and 1% for extra gambling programmers (Article 71).

Technical Requirements

All the data should be stored exclusively on a Cyprus server data system. The server/data center has to be connected to the government electronic system in order to pass the data on transactions. An address of the website which accepts players bets has to be ended with LTD of “.com.cy”.

Learn More About Gambling Consulting

If you’re interested in learning more about our gambling consulting services, call +4(0)773.939.033

Cyprus Offshore Company Incorporation

National Trade Register Office is assessing the applications for company incorporation.

Cyprus Offshore Company Incorporation

The Republic of Cyprus enjoys a beneficial strategic location at the intersection of traditional shipping routes between Europe and the continents of Asia and Africa. It is the focal point of congested trade routes linking Western Europe with the Middle East and North Africa. Although Greek and Turkish are the two official languages, English is widespread, especially in the business community.

The offshore regime in Cyprus for offshore companies has changed as a result of the island’s accession to the EU, as well as as a result of agreements with the OECD. It also enjoys a wide network of double taxation treaties, becoming a dominant player in tax planning structures.

Moreover, Cyprus is renowned for its efficient, stable, and reliable banking system and for its efficient professional segment, both audit and legal. The entire constitutional and legal environment has allowed the Cyprus jurisdiction to become an important offshore financial center.

Restrictions on the maximum participation rate, as well as the minimum monetary level of foreign investment in any company / legal entity in Cyprus, have been lifted since January 2000, for EU citizens, and from 1 October 2004 for non-EU citizens. EU. At present, the investment policy in Cyprus allows 100% foreign participation in Cypriot entities in almost all sectors of the economy, not only for EU citizens and also for investors from third countries.

There is an approved 10% corporate tax rate for companies in Cyprus that applies to both types of offshore and onshore companies, plus taxes of 2% on salary invoices. Therefore, the profit tax of a company in Cyprus is at the lowest level in the EU.

The most important benefits that the use of an offshore company established in Cyprus can offer are:

  • free movement of the profits obtained from the exploitation of non-residents’ investments;
  • no withholding tax on dividends, interest, and royalties obtained from the activity of an offshore company;
  • full exemption from capital gains taxation;
  • salaries of foreign employees of offshore companies, employed outside Cyprus are completely exempt from taxes;
  • major offshore business center with thousands of offshore companies established annually;
  • dividends to shareholders are exempt from tax;
  • double taxation treaties with over 38 countries;
  • offshore companies located in Cyprus can buy various items for personal needs without charge.

General Information

Entity type IBC private company
Applicable legislation Common Law
Availability for company without activity (shelf company) Yes
Registration time 5 days
Corporate tax 10%
Access to Double Taxation Treaties Yes

Requirements for share capital or equivalent

Standard currency Euro
Allowed currency All
Minimum paid capital 1,000 Euro
Authorized current share capital 5,000 Euro

Directors

Minimum number 1
Locally registered director No, but it is recommended for tax residency purposes
Official documents publicly available Yes
Meeting locations Anywhere, but Cyprus is recommended for tax residence purposes

Shareholders

Nimimum number 1
Official documents publicly available Da
Meeting locations Oriunde

Company secretary

Registered Yes
Local or qualified No, but Cyprus is recommended for residence and compliance purposes

Accounting

Obligation to prepare documentation Yes
Audit requirements Yes
Obligation to submit accounts Yes
Publicly accessible accounts No

Recurring state costs

Minimum annual tax/license fees Not applicable

Other

Obligation to submit the annual income statement Yes
Change of address allowed No

Learn More About Offshore Company Incorporation

If you’re interested in learning more about our offshore company consulting services, call +4(0)773.939.033

Request a quote

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