Family Office in Cyprus: Rules, Costs and Tax in 2026

How is a family office licensed in Cyprus?

There is no family office licence or registration: E&G Economides (July 2025) says 'there is no single law in Cyprus that governs family offices as a distinct legal entity', that offices usually take the form of a private limited company under the Companies Law (Cap. 113) or a Cyprus international trust, and that a single family office that serves only one family and does not offer services to third parties 'generally falls outside the scope of financial regulation'; Harneys lists family offices and holding companies among the categories excluded from the scope of the Cyprus AIFM Law. Services such as investment advice or portfolio management offered to third parties may need CySEC licensing under Law 87(I)/2017, and CySEC supervision may apply if the family office is structured through an alternative investment fund under Law 124(I)/2018 (E&G). The company is incorporated with the Department of Registrar of Companies, and form HE1 must be sworn before the court by the lawyer entrusted with the incorporation; CySEC's own pages and the law texts were not opened. [1, 9, 10]

Reported by the sources named, not confirmed by an official source.

What is the minimum wealth for a family office in Cyprus?

No minimum found: Cyprus has no family office law, and E&G Economides (2025) says of family offices that 'there is no minimum capital requirement under Cyprus law' and gives no wealth threshold. If the family invests through an alternative investment fund with a limited number of persons (AIFLNP), Invest Cyprus gives a minimum share capital of EUR 50,000 for internally managed funds. [1, 11]

Reported by the sources named, not confirmed by an official source.

Compare: Family Office Minimum Net Worth by Country

Who counts as family?

No legal definition of the family for a family office was found, because Cyprus has no family office law. E&G Economides (2025) describes a single family office as one that serves only one family and does not offer services to third parties, and does not define the family; an AIFLNP, which families can use to pool their wealth, may have at most 50 investors, with look-through provisions (Invest Cyprus). [1, 11]

Reported by the sources named, not confirmed by an official source.

Can one office serve several families?

There is no multi-family office licence. E&G Economides (2025) says CySEC supervision may apply where a multi-family office provides regulated investment services, and that an office providing services such as investment advice or portfolio management must be licensed as a Cyprus investment firm (CIF) under Law 87(I)/2017, with minimum regulatory capital, internal compliance controls and CySEC's fit and proper criteria. For fund managers, Invest Cyprus says sub-threshold managers ('mini managers') can manage AIFs of up to EUR 100 million with leverage, or EUR 500 million without leverage and with a five-year lock-up. Family Office Connect Cyprus proposed a proportionate CySEC licence for multi-family offices in October 2025; this is an industry proposal, not a bill. [1, 6, 9, 11]

Reported by the sources named, not confirmed by an official source.

Which law and courts apply?

Cypriot courts follow their own case law and, where none is relevant, apply English common law under Article 29(1)(c) of the Courts of Justice Law (Law 14/1960), according to the European e-Justice Portal. As an EU member state, Cyprus applies EU regulations in cross-border matters, including Regulation (EU) No 650/2012 on succession. Companies are formed under the Companies Law, Cap. 113, and trusts under the Cyprus International Trusts Law, Law 69(I)/1992 (E&G Economides). [1, 12, 13]

What substance is required?

No substance rule specific to family offices was found. EY reports that from 2026 a company incorporated in Cyprus is also tax resident there, in addition to the management and control test, unless a tax treaty provides otherwise. E&G Economides (2025) says management and control in Cyprus in practice means a majority of Cyprus tax-resident directors, board decisions taken in Cyprus and a physical presence such as staff and premises, and that a Cyprus international trust needs at least one Cyprus tax-resident trustee. [1, 4]

Reported by the sources named, not confirmed by an official source.

Which holding vehicles are available?

Private companies limited by shares registered with the Registrar of Companies; Cyprus international trusts, which Invest Cyprus presents for asset protection and control across generations; investment funds under CySEC: AIFs with an unlimited or limited number of persons (AIFLNP, up to 50 investors), registered AIFs (RAIF, which need no licence) and UCITS, as variable or fixed capital investment companies, limited partnerships or common funds (Invest Cyprus). E&G Economides (2025) adds private trust companies, which need no licence if they do not offer trustee services to the public, and foundations under Law 104(I)/2017, which are non-profit and so 'not ideal for holding investments'; private family foundations are only an industry proposal. [1, 2, 6, 11, 14]

What is the corporate tax rate?

Corporate income tax is 15% on the worldwide income of Cyprus tax-resident companies (Invest Cyprus, February 2026); EY reports that the reform published in the Official Gazette on 31 December 2025 raised it from 12.5% for the 2026 tax year. Foreign dividends received by a Cyprus company are exempt from corporate tax if they are not deductible for the paying company, gains on the disposal of securities are exempt, and foreign dividends are also exempt from the Special Defence Contribution if an active-income test or an effective-tax test is met (Invest Cyprus); EY reports that from 2026 companies no longer pay the contribution on passive interest or on rent. Under Law 245(I)/2025 the deemed dividend distribution rule (70% of after-tax profits) covers profits of 2024 and 2025, and EY reports it is abolished for profits after 31 December 2025. [3, 4, 7, 11, 15]

Are there tax incentives for family offices?

No tax regime specific to family offices was found; a family office company pays ordinary corporate tax at 15%. Invest Cyprus says Cyprus funds pay no subscription tax on net assets, are not taxed on dividends or on gains from trading in securities, and resident investors pay no tax on redemptions or disposals of units up to 2030; fund managers may elect a flat 8% tax on carried interest with a minimum of EUR 10,000 a year. [3, 11]

Is there personal income tax?

From the 2026 tax year income tax is 0% up to EUR 22,000, 20% to EUR 32,000, 25% to EUR 42,000, 30% to EUR 72,000 and 35% above EUR 72,000; tax residence follows the 183-day or 60-day rule (Business in Cyprus portal, September 2026). Law 245(I)/2025 sets the Special Defence Contribution for resident individuals at 5% on dividends (17% for up to six years on dividends from profits of 2025 and earlier) and 17% on interest (3% on certain government and public-body securities), and removes rent from the contribution; Invest Cyprus says residents not domiciled in Cyprus are exempt from the contribution. A person resident for at least 17 of the last 20 years is deemed domiciled, and one without a Cypriot domicile of origin can then elect, irrevocably, to pay a lump sum of EUR 250,000 for five tax years (EUR 50,000 a year), for up to two periods, which settles the contribution for those years (Law 245(I)/2025). [3, 5, 7]

Compare: Countries With No Personal Income Tax

Is there inheritance or estate tax?

Cyprus has no succession, inheritance or gift taxes, according to the Cyprus Tax Guide for Investment (February 2026) of Invest Cyprus, the government's investment promotion agency; PwC Cyprus (2023) says estate duty has been abolished since 1 January 2000. EY reports that the Stamp Duty Law was abolished from 1 January 2026. Duties or fees on registering inherited immovable property were not checked. [3, 4, 14, 16]

Compare: Inheritance Tax by Country

How do wills and succession work?

Article 41 of the Wills and Succession Law (Cap. 195) sets reserved shares. The European e-Justice Portal says children 'have the right to share up to 25% of the net value of the estate', a surviving spouse or parent where there is no child up to 50%, and 'in all other cases, the entire inheritance may be devolved'; A. Karitzis & Associates (2020) states the rule as a disposable portion of at most one quarter of the net estate where there is a child or descendant, one half where there is a spouse or parent but no child, and the whole estate otherwise. The e-Justice Portal says succession is governed by Regulation (EU) No 650/2012, under which a person can choose the law of their nationality by explicit declaration, and that wills must be written, signed before at least two witnesses present at the same time and can be filed at the Registry of the testator's province. E&G Economides (2025) says forced heirship applies only to individuals domiciled in Cyprus and that families often use a Cyprus international trust to centralise control. [1, 12, 13, 17]

Can the family get residence?

The Civil Registry and Migration Department grants an Immigration Permit (permanent residence) under Regulation 6(2) of the Aliens and Immigration Regulations by an expedited procedure, on criteria in force since 2 May 2023: an investment of at least EUR 300,000 in a first-sale house or apartment from a development company (plus VAT), other real estate such as offices, shops or hotels (resales allowed), the share capital of a new Cyprus company with a physical presence and at least five employees, or units of Cyprus collective investment organisations, plus a secured annual income of at least EUR 50,000, EUR 15,000 more for the spouse and EUR 10,000 per dependent minor child, from abroad (partly from Cyprus for the options other than a home). The permit covers the spouse and children under 18; unmarried students aged 18 to 25 can apply separately, and each adult child included adds EUR 300,000 to the investment. The applicant and spouse may not work in Cyprus except as directors of the company invested in; the right of residence has unlimited validity (the card expires after ten years) but lapses after two years' absence, the investment and health insurance must be shown every year, and the application fee is EUR 500 plus EUR 70 per person for the Alien Registration Certificate. [8, 18]

Compare: Residency by Investment by Country

How long does set-up take?

Not found in official sources. The Registrar of Companies pages on name approval and incorporation state fees for an accelerated service but no processing times. [2, 10, 19]

What are the official fees?

Indicative, from the Department of Registrar of Companies (accessed 19 October 2026): name approval EUR 10 per proposed name (EUR 20 more for the accelerated service); incorporation of a company with share capital EUR 165 (EUR 100 more for the accelerated service, EUR 160 for a file of translations). No family office licence fee exists because there is no family office licence; CySEC fees for funds or investment firms were not checked. [2, 10, 19]