Cyprus company - just skip the income/divided alltogether

[JohnnyBoy]

Living in a EU country, I understand you are tax eligble for income tax in that country. However, suppose you work as a consultant from a Cyprus based company in a random EU country, you bill one client company in the said EU country. However, instead of taking out income or any even divideds - which then would be taxable in the country you live in, just let the company accumulate value for say 2 years. There after you move to Cyprus and kill the company, withdrawing the accumulated cash - what would be tax situation then? Would it be taxed as dividends on Cyprus or is there some other nasty tax rule applying?

Also, would this said EU country's tax authorities become suspicious for this activity?

 

[negon]

If you move to Cyprus for permanent then you will be taxed on the money you take out. Unless you can take out the money as dividende which than would not be taxed as I understand. Maybe some of the other guys can get more concrete to this question.

This is actually quite interesting if what you mention there could work and you don't get taxed it's an option (legal way) to get your money out without to pay taxthu&¤#

 

[myshufflemix]

The best way is to talk to a lawyer. He can give you advice on your current situation. I would rather pay and consult a lawyer to have a peace of mind.

 

[deadpool]

Rules get tricky when you cross borders. Talk with a tax consultant or lawyer before you proceed to try this.