Maritime and Shipping

Cyprus is a globally leading maritime centre, due to numerous factors, some of which are listed below:

  • Exemption from corporation tax for Cyprus resident shipping and ship management companies. These companies are subject to Net Tonnage Tax (a tax calculated on the net tonnage of the vessel);
  • Liberal Foreign Direct Investment Regime allowing up to 100% foreign participation in most sectors of the economy;
  • No Exchange Control and freedom of movement of foreign currency;
  • Double Tax Treaties with 45 countries;
  • Bilateral Agreements of Cooperation in Merchant Shipping with 23 countries including major labor supplying countries;
  • Low Set-Up and Operating Costs for companies;
  • VAT exemption for international transport services, when the effective use and enjoyment of the services takes place outside the EU;
  • Special taxation for shipping companies: Shipowners, charterers and ship managers participating in the Cyprus tonnage tax system are exempted from income tax and any other tax or levy on dividends paid to shareholders, on interest earned on working capital and on any profit made from the sale of a qualifying ship.

Our firm has extensive practice on shipping law and provides high quality services and advice to various renowned shipping companies and organisations based in Cyprus and abroad and many companies – members of Cyprus Union of Shipowners, being the External Legal Consultants of the Union. Our firm offers, among others, the following services:

  • Ship registration under the Cyprus flag;
  • Claims for loss or damage to cargo;
  • Collisions and salvage claims;
  • Financing, security and the enforcement of mortgages;
  • Problems relating to the employment of officers and crew;
  • Personal injury claims;
  • Admiralty Law;
  • Maritime security: preparation, filing application for granting license for the provision of maritime security services to vessels under Cyprus flag-representation of our clients – licensed companies in Cyprus.