Business Formation

 

At Nazım & Co we aim to provide holistic services to all of our clients, especially corporations. Through our extensive network of local operations, we provide the following services:

• Incorporation of companies including private limited companies and International Business Companies (IBCs – for further information see below)

• Branch registration of foreign corporations

• Corporate structuring and re-structuring

• Obtaining licenses and permissions

• Opening and management of bank accounts

• Arranging office space

• Arranging recruitment

• Company management and administration – manage resources, payroll, accounting, audits, government relations, statutory filings and tax payments

• Accounting and auditing services – we help you outsource your accounting needs to the best professionals for your business style.

• Tax planning and legal opinions

• Creation and implementation of business plans for start-ups

• Establishments of trusts and foundations

• Provision of registered agents and nominee services

• Provision of local representatives and agents

 

International Business Companies 

International Business Companies are subject to low rate of Corporation Tax which is 1 % on net profit. In order to qualify as International Business Company for tax reasons the operations of the company must be conducted outside the TRNC. The memorandum and articles of the association of an international business company prohibits the local operation of the company. Under the company’s constitution the operations can only be conducted outside the TRNC.

Under the International Business Companies Law the minimum share capital of the International Business Companies is € 20,000 (Twenty Thousands Euros).

€ 500 (five hundred Euros) is charged for the applications of the International Business Corporations. This amount can be increased or decreased by 50% (fifty percent) by the decision of the Council of Ministers.

Those listed below can apply to the Ministry of Economy to establish an International Business Company in the Turkish Republic of Northern Cyprus under this Law:

• Foreign real persons,
• Foreign legal entities,
• The citizens of the Turkish Republic of Northern Cyprus residing abroad.

No tax is imposed on dividend distributable to the shareholders of the International Business Company.
No VAT and/or any kind of tax shall be charged on copyrights and any kind of fees and service charges and interests payable by the International Business Company to real persons and legal entities operating outside the Turkish Republic of Northern Cyprus.

International Business Company pays an operation fee of €5000 (five thousand euros) per annum. The Operation Fees are payable to the Inland Revenue within 30 days after date of registration and after the end of the each calendar year.

International Business Company pays half the amount of taxes imposed upon the company on the capital increase or transfer of shares.