Profit from disposal of securities

Profits from disposal of securities are exempt from corporation tax in Cyprus. "Securities" are defined as "shares, bonds, debentures, founder's shares or other shares of companies or other legal entities which have been incorporated in the Republic or abroad and options thereon".

Profits from disposal of shares are also exempt from 20% capital gains tax if the company whose shares are sold does not own any immovable property situated in Cyprus as at the date of disposal of its shares or, even if it owns such immovable property situated in Cyprus, its shares are listed on any recognised Stock Exchange.