Since Brexit, UK nationals no longer have an automatic right to live and work in Cyprus. But if you run or plan to run a Cyprus-registered company, the Business Facilitation Unit permit is one of the most efficient routes to legal residence with the right to work.
Who Is It For?
The BFU permit is for non-EU nationals who want to live and work in Cyprus through a qualifying Cyprus-registered company. It is the correct route if you intend to draw a salary from a Cyprus company, as opposed to living from passive income. Both routes are compatible with non-dom tax status.
Does Your Company Qualify?
Not every Cyprus company is automatically eligible. The company must register with the Business Facilitation Unit and demonstrate genuine substance and economic activity. Qualifying categories include international business companies, technology and innovation companies, shipping companies, and subsidiaries of foreign companies. A company set up specifically for this purpose must show genuine operations, not just a registered address.
The Tax Picture
Once you meet the conditions of Cyprus tax residency, you can register as a Cyprus tax resident and claim non-dom status. Dividends from your Cyprus company are then 0% Special Defence Contribution. Cyprus corporate tax is 15%. The permit, company structure, and tax registration all need to be set up in the right sequence to work correctly together.
Find Out If the BFU Route Works for You
A strategy call covers your company structure, income, and timeline. If BFU is the right route, you leave knowing exactly what it takes and what the tax picture looks like from day one.
Book a Strategy Call →