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Branch of an Overseas Company in Cyprus — Import / Export & Trading Formation Guide

Choose a jurisdiction with strong logistics infrastructure, favorable customs agreements, and access to major trade blocs (like the EU or US). Consider VAT deferral schemes and free trade zones.

Last verified: June 13, 2026

Corporate Tax

15.0%

State Tax

0.0%

Formation Cost

$410

Annual Fee

$22

Forming a Branch of an Overseas Company in Cyprus as a Import / Export & Trading means a total tax burden of 15.0% and an official formation cost of $410. There is no minimum capital requirement. Standard formation takes 10-15 business days, or 2-4 business days expedited. No local director is required; the process can be managed remotely. This guide covers the steps, tax breakdown, banking options, and compliance requirements — all from verified data.

First-year total cost

$1,502

Ongoing (per year)

$822

Detailed cost calculator →

Why Branch of an Overseas Company for Import / Export & Trading?

A business model focused on sourcing goods from one country and selling them in another. Success relies heavily on supply chain efficiency, customs compliance, and navigating international trade tariffs.

Ideal for

  • Physical product brands
  • Wholesalers and distributors
  • Dropshippers scaling to bulk inventory
  • Cross-border B2B traders

Challenges to watch

  • Complex customs and import duties
  • High shipping and logistics costs
  • Cash flow management due to inventory delays
  • Regulatory compliance across multiple jurisdictions

Key decision criteria

  • Proximity to major ports or logistics hubs
  • Availability of Free Trade Zones (FTZs)
  • VAT and sales tax registration requirements (e.g., EORI in the EU)
  • Double taxation treaties between sourcing and selling countries

Branch of an Overseas Company formation requirements

Minimum capital

None

Standard timeline

10-15 business days

Expedited timeline

2-4 business days

Local director

Not required

Registered office

Virtual office allowed

Notarization

Required

A local director is not required, but the branch must appoint at least one authorized representative who is a resident of Cyprus.

See the full guide for all documents and requirements →

Estimated breakdown (based on avg. $1,000,000 revenue)

Gross Revenue$1,000,000
Corporate Tax-$150,000
Formation Cost-$410
Annual Fee-$22
Net Profit$849,568

Simulate with your own revenue →

VAT / Sales Tax

Standard rate 19%. Registration threshold: 15,600 EUR. Cyprus follows EU VAT rules for digital services. B2C digital services provided to EU consumers are subject to VAT at the consumer's local rate, which can be reported via the OSS scheme if cross-border sales exceed €10,000.

Banking & payments for Import / Export & Trading

Opening a traditional corporate bank account in Cyprus can be a slow and rigorous process, often taking 2 to 8 weeks. Banks require extensive KYC documentation, including proof of business activity, source of funds, and in-person visits or certified documents. Many foreign founders use fintech solutions like Revolut Business or Wise as an interim measure.

Supported payment gateways

StripePayPalJCC Payment SystemsViva WalletAdyenCheckout.com

Remote-friendly accounts

  • Revolut Business

    A popular digital alternative for Cyprus companies, offering fast remote account opening, multi-currency accounts, and lower FX fees.

  • Wise Business

    Excellent for international branches needing to hold multiple currencies and make low-cost cross-border transfers. Fully remote opening.

Cyprus incentives & advantages

Cyprus IP Box Regime

Reduces the effective corporate tax rate on qualifying IP income to as low as 3%.

Expatriate Income Tax Exemption

50% of the remuneration is exempt from income tax for up to 17 years.

Branch of an Overseas Company formation steps

1

Gather and notarize parent company documents (Certificate of Incorporation, Memorandum & Articles, Good Standing).

2

Translate all foreign corporate documents into Greek by a certified translator.

3

Appoint a local authorized representative who is a resident of Cyprus.

4

Secure a physical registered office address in Cyprus.

5

Submit the registration application and translated documents to the Cyprus Registrar of Companies.

6

Receive the Branch Certificate of Registration from the Registrar.

7

Register the branch with the Cyprus Tax Department to obtain a Tax Identification Code (TIC) and VAT number.

8

Open a local or international corporate bank account for branch operations.

Import / Export & Trading FAQ

Do I need a company in the country I am importing to?

Not always. You can often act as a Non-Resident Importer (NRI), but having a local entity can simplify customs, VAT registration, and local banking.

What is an EORI number and do I need one?

An Economic Operators Registration and Identification (EORI) number is required for businesses importing or exporting goods into or out of the European Union.

Should I incorporate in a Free Trade Zone (FTZ)?

FTZs offer tax exemptions and simplified customs procedures, making them ideal if you plan to re-export goods without them entering the local domestic market.

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