In summary, the significant changes are as per below:
• The requirement to maintain a €30,000 deposit in a Cypriot Financial Institution (Bank) has been withdrawn.

• In addition to residential properties, commercial properties (new and resale) are also eligible for applying through the Cyprus Permanent Investment Scheme.
• Applicants can invest in real estate properties, in other types of real estate units (i.e., offices, shops, hotels, etc.), the share capital of a Cyprus Company, and share Cyprus Collective Investment Funds (type A.I.F., AIFLNP, RAIF).

1. LEGAL FRAMEWORK

1.1 According to the provisions of Regulation 6 (2) of the Aliens and Immigration Regulations, the Minister of Interior, having notified the Council of Ministers, has decided to issue an Immigration Permit Permit to third-country applicants in cases where the following conditions are satisfied.

1.2 The applicant must meet one of the investment criteria mentioned in Section 2.1 and Section 3, quality criteria. All the investors’ funds must provide payment proof that they have been transferred to Cyprus from abroad.

2. INVESTMENT CRITERIA

2.1 The applicant must proceed with an investment of at least €300,000 in one of the following investment categories:

(A) Investment in a house/apartment:

Purchase of a NEW residential real estate property (house or apartment) from a developer company of at least €300,000 (plus V.A.T.).

(B) Investment in real estate units (excluding houses/apartments):

Purchase of other types of real estate units such as offices, shops, hotels, or similar developments or a combination of the above with a total value of at least €300,000 (plus V.A.T. when applicable). These properties can also be resale.

(C) Investment in the share capital of a Cyprus Company with activities and personnel in the Republic of Cyprus:

Investment of a total value of €300,000 in the Share Capital of a company registered in the Republic of Cyprus. The company should be based and operates in the Republic of Cyprus with a proven physical presence in Cyprus and should employ at least five (5) persons.

(D) Investment in Shares of Cyprus Collective Investment Funds (type A.I.F., AIFLNP, RAIF):

Investment worth €300,000 in shares of Cyprus Collective Investment Funds.

If for any reason there is an alienation between the investment and the Permanent Residency Permit, then the cancelation procedure of the Permit will be activated, based on the provisions of the Aliens and Immigration Regulations (Regulation 6).

To avoid the Permit’s cancellation, the investor should have a direct replacement investment of the same or greater value that meets the present procedures’ conditions.

2.2 In addition to the investment under Section 2.1, applicants must be able to prove that they have at their disposal a secure annual income of at least €30,000. Suppose the applicants wish to add additional dependents in their application; then their annual income should increase by €5,000 for each dependent family member and €8,000 for each dependent parent (of the same and/or spouse).

In the case of applicants’ investments under category Section 2.1 (A), the income should derive from abroad from employee salaries, pensions, dividends on shares, fixed deposits, rents, etc.

Note: When calculating the applicant’s total income, the applicant’s spouse’s income can also be considered.

In the cases where the applicants choose to invest as Sections 2.1. (B), 2.1. (C) or 2.1. (D), their total income or part of it may also derive from activity sources within the Republic of Cyprus.

3. QUALITY CRITERIA

3.1 The applicant and his / her spouse must submit a certificate of no criminal record from their country of residence or the Republic of Cyprus in the case they already reside in Cyprus. Additionally, in general, applicants must not pose in any way a threat to public order or public security or be under investigation for criminal offenses attested by relevant authorities of the residence country.

3.2 The applicants and their spouse should certify that they do not intend to work in the Republic of Cyprus, with the exception of their employment as Directors in a Company in which they have chosen to invest under the provisions of this policy.

3.3 In cases where the investment does not concern the company’s share capital, the applicant and/or his/her spouse may be shareholders in Companies registered in Cyprus. The dividend income in such companies may not be considered an obstacle to obtaining the Permanent Residency Permit. They may also hold the position of Director in such companies, with the term of not receiving any payment for their duties.

3.4 In cases where the applicants choose to invest as Sections 2.1. (B), 2.1. (C) or 2.1. (D), they must present information about their residence place in the Republic of Cyprus (e.g., a real estate title deed, purchase agreement, tenancy agreement).

4. LEGAL DOCUMENTS

4.1 Investing in a house/apartment or other real estate units:

The applicants should submit, with their application, the title deed or a contract of sale stating their names and/or their spouse’s names. The submitted documents should be the ones that have been officially deposited to the Department of Lands and Surveys for a dwelling or other building, having a total market value of at least €300.000 (V.A.T. is not included therein). Also, the applicants should submit the official receipts for the payment of at least €200.000 (excluding V.A.T.), irrespective of the date of the dwelling delivery. It should be stressed that the total amount of the dwelling value should be settled in an account in a financial institution in Cyprus.

It is understood that when submitting the application, the provided proofs must support that the investment funds derived from abroad, are not a product of domestic borrowing (remittances, foreign card payments receipts, bank certificates), and they are linked to the corresponding investment. The rest of the investment value will have to be repaid to the seller’s account at a Cyprus Financial Institution.

Furthermore, the real estate unit’s purchase is accepted even when it is submitted by a legal entity, in which the applicants and/or their spouse are the sole shareholders or the final beneficiaries. Also, the legal entity should be established in the Republic of Cyprus or another Member State of the European Union or European Economic Area.
Concerning the purchase of a house/apartment, reference to paragraph 2, it is specified that:

(a) The applicants may purchase up to two (2) housing units (apartments or houses), provided that the total market value meets the provisions of Section 4.1. In the case of a couple, the above condition applies to the couple as a whole.

(b) The said purchase should be related to dwellings sold by a development company for the first time to the buyer unless the dwellings’ purchase took place before 07/05/2013. Contracts of Sale associated with the resale of houses and submitted to the Land Registry before 07/05/2013 (the date of submission of the contract of sale should be confirmed by the Department of Land and Surveys) will be accepted for policy purposes.

It is important to note that the properties are not obliged to be purchased from the same developer company.

4.2 Investment in the share capital of a Cyprus Company with business activities and employees in Cyprus:

For the purpose of policy implementation, the applicants are required to make a total investment of €300,000; the company should have a physical presence in the Republic of Cyprus and employment of at least five (5) persons. In this case, the following documents should be submitted:

• Share Purchase Agreement
• Shareholder Certificate and Company Registration Certificate from the Registrar of Companies and Official Recipient
• Business Profile of the company that includes business goals etc.
• Proof of Payment (e.g., bank transfer)
• Employment proofs from the Department of Social Insurance, for the employees of the company

4.3 Investment in shares of the Cyprus Investment Organization of Collective Investments (type A.I.F., AIFLNP, RAIF):

For the purposes of this policy, the applicants are required to submit a total investment of €300,000 in investment shares along with the following documentations:

• Securities or other confirmations for the units purchased
• Proof of Payment (e.g., bank transfer)
• Confirmation from the Cyprus Securities and Exchange Commission for the establishment of the Fund
• Memorandum of the Fund or Investment Plan

5. DEPENDENT APPLICANTS

5.1 The Permanent Residency Permit is issued to the applicant. The Permanent Residency Permit includes the applicant’s dependents, the spouse, and minor children, up to 18 years old.

If the applicant and spouse wish, it is possible to issue two separate Permanent Residency Permits in each of the couple’s names without the second’s obligation to meet the above criteria. In that case, the applicant and spouse should submit a separate application and pay the corresponding fees.

It is essential to mention that if the Permanent Residency Permit granted to the investor is canceled for any reason, then a cancellation activation process will apply to the Permanent Residency Permit all parties included, based on the provisions of Regulation 6 of the Aliens and Immigration Regulations.

5.2 Unmarried children between 18 and 25 years old can submit separate applications for a Permanent Residency Permit by paying the corresponding fee. They are eligible to apply only when they prove that they are students studying abroad in a higher education institution on the date of application and are financially dependent on the applicant. In such a case, the father or mother and/or both parents together must present an additional annual income of €5,000 for each dependent child.

Suppose the children are students of a Higher Education Institution in the Republic of Cyprus, in that case, they must apply for a temporary residence permit in the Republic of Cyprus, as students under the relevant legislation (E.U. Directive).

After completing their studies in Cyprus, they can submit their own application for a Permanent Residency Permit, as mentioned above, with the corresponding fee’s payment, regardless of their age, provided that the parents will present an additional annual income of €5,000.

This Permanent Residency Permit will continue to be valid after reaching the age of 25 even if the child is still not single and/or a student and/or financially dependent on his or her parents. Under this provision, they cannot include their spouse and their minor dependents in the existing Permanent Residency Permit. In addition, if the Permanent Residence Permit of the investor/parent is canceled for any reason, the cancellation process will be activated and on the Permanent Residency Permit of the child, based on the provisions of Regulation 6 of the Aliens and Immigration Regulations.

5.3 A Permanent Residency Permit can also be granted to the applicant’s parents and their spouse by submitting separate applications for each parent and paying the corresponding fee. In that case, the applicant should present an additional annual income of €8,000 for each dependent parent. In this type of Permanent Residency Permit application, parents cannot include their dependents, i.e., spouse and minor children.

In addition, if the Permanent Residence Permit of the investor/child is canceled for any reason, the cancellation process will be activated and on the Permanent Residency Permit of the child, based on the provisions of Regulation 6 of the Aliens and Immigration Regulations.

6. HIGHER INVESTMENT VALUE FOR INCLUDING ADULT CHILDREN

A Permanent Residency Permit may also include adult children of the applicant, who are not financially dependent, if the total value of the applicant investment is of a higher value according to the provisions of Paragraph 2, as set out below:

The market value of the €300,000 investment should be multiplied by the number of adult children who will invoke the same investment to obtain the Permanent Residency Permit. For example, if the applicant wishes to include in his Permanent Residency Permin an adult child, he/she should invest €600,000. If he has two adult children, the investment value should amount to €900,000, etc.

If the investment is according to the provisions of Sections 2.1. (A) and 2.1. (B), of purchasing real estate property units, the applicant, together with the application, should provide payment proof of at least 66% of the property market value.

In such a case, each adult child should prove that they have at their disposal a secured annual income of at least €30,000, which increases by €5,000 for each dependent, as provided in Section 2.2. Also, the investment can be made jointly in the name of the applicant and the adult child or exclusively in the applicant’s name.

7. TIME FRAME

If all the criteria of this policy are met, and there are no reasons concerning either the applicant’s criminal record or reasons of public order and public security, the application will be forwarded for consideration and decision by the Minister of Interior.

It is estimated that the application’s examination period from the completed application submission date will be approximately two (2) months.

8. OTHER INFORMATION

Persons who acquired the Permanent Residency Permit must obtain permanent residence in the Republic of Cyprus within one (1) year from the date of the submitted application approval, while the family members and applicants should not remain outside the Republic of Cyprus for a period of two (2) years. Otherwise, the Permanent Residency Permit ceases to be valid under Regulation 6 (3) and/or maybe revoked under Regulation 6 (4).

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Chambersfield Economides Kranos immigration experts can assist in all your immigration matters by providing the right consultation and handling all the processes of your application, in order for you and your family to find the home of your heart.

Our team of lawyers can lead the way in making your dreams come true and open the door to the world for you.

The right way to do that is through Government Approved Immigration Schemes and your trusted Legal Firm’s guidance.

There are plenty of ways for someone to obtain the “ticket” for a new life in a different destination but complicated as it is, they will need the professional assistance of an experienced law firm.

The journey to a whole new life starts with answering the questions: Where? Which? How?

Where?

Imagine…deep blue sea, multi-awarded beaches, amazing cuisine, countless business opportunities, safety, high quality of life. Cyprus is the place to live, do business, grow old and the island’s Investment Program is one of the most powerful, as it ranks 7^th in the world.

Being the crossroad for three (3) continents, it is only natural for Cyprus to turn into a business power among strong players in the surrounding area, especially during the last decade.

Which?

Chambersfield Economides Kranos can assist you explore all the available options when seeking Relocation in a foreign country as well as the type of migration suitable for your case.

Depending on the migration option, the criteria and processing time vary from case to case.

Firstly, Cyprus Investment Program (*special conditions apply) is one of the most important schemes as it is a real, intangible asset, transferable to the next generation. An additional nationality allows owners to benefit from its great advantages as

• acquisition of a visa free regime in more than 170+ countries
• safety
• open market driven economy
• the right to live, work and conduct business in a favorable corporate jurisdiction
• flexibility in tax restructuring
• reliable legislative and regulatory framework
• access to its own educational and medical system
• highly specialize human capita
• right to open bank accounts, etc.

Another option is the Permanent Residence Scheme (*special conditions apply), through which individuals can apply for a nationality after a certain period of time residing in Cyprus, so as to enhance the overall quality of their family’s life, lift possible travelling restrictions and visa requirements.

Additionally, with Cyprus Permanent Residence scheme, non – Cypriot citizens safeguard their family by migrating in a country with political stability, low criminality levels, modern infrastructure etc. while simultaneously continue to be citizen of their country of origin.

Naturalization based on years of residence is the third option. Applicants can be foreign nationals who have completed seven (7) years of legal residence in Cyprus prior to their application.   When applicants are either children or parents of Cypriot citizens, legal residence time required is five (5) years.

In both cases, applicants must have lived legally and continuously in the island for the twelve months preceding the application (*special conditions apply).

Additionally, non-EU workforce is entitled to receive Cyprus residence and work permits under special provisions for Cyprus companies with foreign interest.

There are three (3) categories of staff which are entitled to receive Immigration Work Permits, upper management staff, middle management staff and supporting staff. For each category, criteria for applying vary and prior to approval, the Cyprus company of foreign interest must be approved by the Migration Department as a company of foreign interest.

Also, nationals from third countries wishing to stay in Cyprus more than three (3) months, can apply for the Temporary Residence Permit as a Visitor, with no employment rights (*special conditions apply).

Under this category, applicants can either be third country nationals who married Cypriot citizens as well as their minor children, third country nationals who wish to extent their temporary residence permit and have adequate financial resources from abroad and third country nationals who wish to obtain their temporary residence permit because they will marry a Cypriot or an EU citizen.

Additionally, anyone who wishes to enter the Republic of Cyprus for ninety (90) days or less and originates from third countries that not special treaties are being signed, must apply and obtain a Visa as visitors for either business or pleasure (*special conditions apply).

There are various categories for Visa applications, such as Airport Transit Visa (category A), Short-stay Visa for 1 to 90 days (Category C), Multiple entry Visa for up to 5 years (Category C), Visa issued at the border (Category C), Visa Extension (Category C) and Long-Stay Visa (Category D). Keep in mind that having a valid visa does not grant its owner the absolute right of entry to the Republic of Cyprus and applicants will be required to provide specific evidence upon arrival.

Nationality as a spouse of a Cypriot citizen enables third country nationals for Nationality acquisition (*special conditions apply), provided that they have completed three (3) years married and two (2) years as residents in Cyprus (prior to the application).

Last but not least, Family members of Cypriot citizen who are not citizens of a Member-State, can be eligible for Residence Card which must be submitted by their family members within four months from the entry date into Cyprus (*special conditions apply).

How?

Whichever the situation, applying for naturalization can be time-consuming and quite complicating procedure which requires expert and thorough approach. To avoid mistakes which may lead to major problems with your application or even possible rejection, refer to an experienced and trusted Legal Firm in order to get the professional guidance you require and handle your case.

Chambersfield Economides Kranos, International Law Firm, can offer its professional services on all aspects of Immigration Law for EU and Non-EU nationals in order to unburden you from all the stressful immigration matters and long processes.

Whether you are an individual or a family or an entrepreneur or a business entity, immigration still remains a personal issue and should be addressed in the most professional way.

Spend your valuable time with your loved ones as we built a better future for you in the beautiful island of Cyprus.

The post Immigration Services appeared first on Chambersfield Economides Kranos.

This superb world recognition only adds value to the island’s ranking as the 5^th safest country in the world for 2020. Travelers from around the globe are seeing Cyprus as one of their best options to travel to, after being locked down for several weeks, where COVID-19 is under control and restriction measures are basically fundamental hygiene routines which should always be applied.

The island’s ranking was a result of various factors taken into consideration, such as transport, natural disasters, effectiveness of healthcare system and terrorist threat and crime levels.

Just in a few months and in the middle of a worldwide chaos, a small island in the Mediterranean rose through the mess and managed to come up as a TOP tourist and investment destination.

Cyprus Investment Program and Permanent Residence Scheme

Being an established business hub for many decades, Cyprus naturally attracts numerous high net worth individuals and investors to register their companies in the island as well as exploit the Cyprus Investment Program and Permanent Residence Scheme and gain from the relevant benefits of both programs.

The Cyprus Investment Program is quite beneficial for the applicants as numerous advantages will add value to their business transactions.  Non – Cypriot citizens that apply for the acquisition of the Cypriot citizenship through naturalization by exception, may gain Visa free travel to 174 countries including all EU countries, Canada, Japan, Singapore etc. Additionally, they have the right to live, work and study in EU countries as well as gain access to full residence status with employment all over Europe. What is more, Cyprus Investment Program allows for free trade within the European Union with low tax rates and increased profit margin.

Permanent Residence, on the other side, has the privilege of continuing benefit from your current citizenship status, while, under certain residency requirements, can be converted to Nationality. PR Scheme minimizes requirements of entry in EU while the owner is entitled to permanently reside in Cyprus and eases access to Schengen Zone countries.

Real Estate is the preferred industry among investors as this particular sector is one of the most renowned, long-term type of investment for various significant reasons.

Investing in properties never goes “out of style” as people will never stop looking for properties and the demand for new or renovated properties will always be high.

Through their properties, owners can generate a steady passive income, either short-term or long-term, with minimum expenses through the years; not to mention high rates of Return on Investment.

The overall industry is quite stable and that makes Real Estate a relatively low risk investment with high rates of recovery through time. Various market researches have proved that Real Estate ALWAYS recovers after an economic recession and prices go back up in a short period of time.

Properties are also depreciable thus less income taxes payable, and also, they can be renovated, resold, demolished and recreated which can increase their value significantly and endlessly.

Following a widely accepted successful strategy for the prevention of the pandemic spread, Cyprus Government issued detailed protocols for the safe re-opening of the island, so that tourists, investors and locals stay safe during the transition period, from the re-opening to the return to normalcy.

Protocol letter, in the form of Questions and Answers, was sent to the island’s partners abroad to initiate the overall promotional strategy and attract visitors on numerous points as listed below:

Island Entry

Countries are separated into  categories, Source Countries Category A (Malta, Greece, Bulgaria, Norway, Austria, Finland, Slovakia, Hungary, Israel, Denmark, Germany, Slovenia, Lithuania) and Source Countries Category B (Switzerland, Czech Republic, Poland, Romania, Croatia,Estonia) based on internationally available epidemiological data. As from June 20, travellers from countries in category A will not need a health certificate for COVID-19.

On the contrary, travellers from category B countries are required to provide a PCR test certificate at the source country 72 hours prior to travel. If their country is unable to make a PCR testing widely available to the public, compulsory testing will be required upon arrival at Cyprus airports, at a cost of 60 euros per person.

Tourists and visitors from source countries not featured in the two categories, will be allowed only in extraordinary occasions and only after they have received prior approval by the Cyprus Government. This will also be applied for transit travel via these countries.

Necessary Documentation

COVID-19 Traveler Declaration (available on the Cyprus Foreign Ministry`s website) which will be requested prior to boarding and at border control at the destination.

Additionally, the Traveler Declaration will include information regarding the travelers trips up to 14 days before arrival in the island, confirmation that the traveler has not visited or resided in a country excluded from categories A and B, confirmation that has not shown any COVID- 19 related symptoms for a period up to 72 hours before the flight and that they did not have any contact with COVID-19 patients 14 days before the flight.

A disclaimer stating that the traveler is coming to Cyprus at their own responsibility and that the Republic of Cyprus and business operating within, cannot be held liable for infection during the travel period. Furthermore, they must provide a disclaimer upon return to their country of origin, a person will notify the Health Authorities of Cyprus, should they display COVID-19 symptoms in the 14 days leaving the island.

Transport protocols

Prior to boarding, travelers will need to present a valid PCR test certificate (when applicable) and “COVID-19 Traveler Declaration”. Travelers’ temperature may possibly be taken prior to boarding. Wearing of masks may be made compulsory during the flight.

Arriving at the Cyprus airports, entrance will only be allowed to travelers and working staff. Travelers will also have their temperature taken at border control.

Destination protocols

• All hospitality establishments have devised enhanced health and safety protocols and their staff will undergo extensive training.
• Physical distancing measures will also be required for people from different travel groups (2sq. meters outdoors and 3sq. meters indoors).
• In cases where physical distance is not possible (public transport, airports etc.), wearing a mask is compulsory for staff and visitors.
• All indoor spaces should frequently be aerated in order to enhance air conditioning with fresh air regularly.
• All establishments will be equipped with antibacterial gel.

Buses/rental vehicles / taxi / diving and safari jeeps

• Frequent aeriation and disinfection of buses and rentals (after their return).
• Disinfection of all touch points after every route for taxi and safari / diving jeeps.

Archaeological sites, museums, theme parks, mini cruises, diving sites, water sports

• Disinfection of all touch points after every route

Swimming pools, beaches and water parks

• Disinfection of umbrellas, safe boxes and sunbeds after every use.
• 4m distance between umbrellas and 2 meters between sunbeds for people from different groups.
• Lifeguards who are called on a life-saving incident, are not obliged to physical distancing.

Accommodation establishments

• Use of masks for all cleaning staff and other staff.
• Spreading of guests at group check-in.
• Allocations of rooms will only be made after a certain period of time has passed (appropriate cleaning, disinfection and aeriation).
• Disinfection of room key cards after every departure and prior to arrival.
• On self-service stations, where food and drinks are placed, hand disinfection stations as well as sneeze guards will be created.

Restaurants, bars, cafes, pubs and nightclubs

• It is required of all staff to wear mask and use proper hand hygiene but, however, not mandatory for staff serving outdoors during the daytime because of the intense heat.
• The set party size number of people is 10 people.
• Minimum distance between tables of people from different groups set to 2 meters.
• After every use, the menus will be disinfected (when they are not disposable).
• Card payments will be encouraged instead of cash payments.
• Disinfection of all touch points after every use.
• Towels and table linens will preferably be disposable.
• At the entrance, there will be an information notice, displaying the maximum number of people allowed in the place at any given time.

COVID-19 Testing

Regardless of country of origin, randomly picked travelers will be tested for the new COVID-19 when they arrive in Cyprus and the government will bear the cost of the test.

If a visitor tests positive, they will receive the necessary medical care for free (the cost of lodging, food, drinks and medication will be born from the Republic of Cyprus) and they will only pay for the cost of returning ticket.

A hospital especially for COVID-19 will be available only for travelers who tested positive during their stay in Cyprus. Dedicated quarantine hotels (approximately 500 beds) will be available for the close contacts of the COVID-19 positive travelers.

The above protocols aim at continuing the successful virus spread prevention strategy, Cyprus Government followed during the lockdown period of March – May 2020.

Taking everything into account, now is the time for a general restart, economy wise as well as business wise.

What is better than a thriving economy back on its feet, with excellent investment opportunities and an ideal destination for vacation?

The post A Superb, Worldwide First for Cyprus appeared first on Chambersfield Economides Kranos.

1. In pursuance of the provisions of Regulation 6(2) of the Aliens and Immigration Regulations, the Minister of Interior, having notified the Council of Ministers,  has decided to issue an Immigration Permit to applicants from third country, in cases where the following conditions are satisfied.
2. The applicant should submit a confirmation letter from a financial institution in Cyprus that he has deposited a minimum capital of €30.000 into an account, which will be pledged for a period of at least three years. It must be proved that the said amount has been transferred to Cyprus from abroad.
3. The applicant, together with his spouse, should prove that they have at their disposal a secure annual income of at least €30.000. This annual income should increase by €5.000 for every dependent person. This income should derive from abroad, and may include salaries from employment, pensions, dividends from shares, fixed deposits, rents a.s.o.
4. The applicant should submit, with the application, title deeds or a contract of sale in his name and/or his spouse, which has been officially deposited with the Department of Lands and Surveys, for a dwelling or other building, of a total market value of at least €300.000 (V.A.T. is not included therein) and official receipts for the payment of at least €200.000 (excluding V.A.T.), irrespective of the date for the delivery of the dwelling. It should be stressed that the full payment of the value for the dwelling shall be settled in an account in a financial institution in Cyprus.
5. The abovementioned amounts must be proven to have been transferred to Cyprus from abroad.
6. It is noted that the purchase of a dwelling may be accepted even when made in the name of a Company and not in the name of the applicant, provided that the Company is registered in the name of the applicant and/or in the name of the applicant and his spouse and he/they are the sole shareholders. In the event that the shareholder of the company is another legal entity, it must be proven that the sole shareholder of the said legal entity is the applicant and/or the applicant and his spouse.
7. For the purpose of implementing this policy, the applicant may purchase up to two housing units (apartments or houses) which might be independent, or one housing unit and a shop of a surface of up to 100 sq.m., or a housing unit and an office of a surface of up to 250 sq.m., provided that the total market value satisfies the conditions in paragraph 2.3. In the case of a couple, these restrictions apply for the couple and not for each of the persons involved.
8. The said purchase must be in relation to a dwelling (and the combinations described above) sold for the first time by a development company. In the case of acquiring two dwellings, both must be sold by the same company. As from 7/05/2013, for the purpose of this policy, applications in relation to the re-sale of dwellings will not be accepted. It should be stressed that contracts of sale in relation to a re-sale of dwellings that have been officially deposited with the Lands and Surveys Department prior to 07/05/2013 (the date of depositing the contracts of sale is to be confirmed by the Department of Lands and Surveys), shall be accepted for the purpose of implementing this policy.
9. The Immigration Permit issued to an applicant cover his spouse and children under the age of 18. Unmarried children aged between 18 and 25, who may prove that they are students or undergraduates and are financially dependent on the applicant, may submit a separate application to obtain an Immigration Permit.  In such a case, the father or mother and/or both parents together must present an additional annual income of €5.000 for every such dependent child. It is noted that every such dependent child, shall submit with his application, all the documentation defined in para. 7.
10. The said permit is still valid even if the holder has exceeded the age of 25 years old.
11. An immigration permit may also be granted to children of the applicant over the age of 18, who are not financially dependent on the applicant, provided that the market value of the acquired property attributed to each such child is at least €300.000 (excluding V.A.T.), as described in para. 2.3 hereinabove, (e.g. in the event the applicant has a child that is 30 years old and wishes to obtain an immigration permit, the applicant must purchase a dwelling valued at €600.000, if the applicant has 2 adult children, financially independent, he must purchase a dwelling valued at €900.000 etc). In such an event a confirmation of payment for the 66% of the market value of the dwelling must be submitted with the application (e.g. €400.000 for a dwelling of a market value of €600.000).
12. Provided that in such an event each child shall submit the necessary documentation with his application (e.g. secured annual income of €30.000, a deposit in a financial institution in Cyprus amounting to €30.000, which is bound for 3 years).
13. The applicant and his spouse must submit a confirmation of a clean criminal record from their country of residence and generally they should not be considered as a threat in any way to the public order or public security in Cyprus.
14. The applicant and his spouse shall confirm that they do not intend to be employed in Cyprus in any direct or indirect manner. It is to be noted that the applicant and/or his spouse may be a shareholder(s) in a Company registered in Cyprus and the income from the dividends of such a company in Cyprus are not deemed an impediment for the purpose of obtaining an immigration permit.
15. The applicant and his family included in the Immigration Permit, must visit Cyprus at least once every two years.
16. All the necessary documentation, that is attached to the application for an immigration permit, including the translation of the same into the Greek or English language, must be duly certified.

For more information please feel free to contact our firm and a qualified and experienced lawyers will assist you immediately.

The post Cyprus Permanent Residence Via Purchase Of Property appeared first on Chambersfield Economides Kranos.

on the basis of subsection (2) of section 111A of the Civil Registry Laws of 2002-2015

The Council of Ministers of the Republic of Cyprus, on the 13th of September 2016 has issued an amended Regulation in relation to the Scheme for Naturalisation (Citizenship) of Investors in Cyprus by Exception.

One of the main objectives of the economic policy of the Republic of Cyprus is to further encourage Foreign Direct Investment and to attract high net worth individuals to settle and do business in Cyprus.

Key factors that make Cyprus an attractive destination for investment, is the highly specialized human capital, the reliable legislative and regulatory framework, the stable tax system and the safety and stability conditions prevailing in the country.

Within this framework and taking into account the strong investor interest, the Government of Cyprus has established and revised a “Scheme for Naturalization of non-Cypriot investors by exception” on the basis of subsection (2) of section 111A of the Civil Registry Laws of 2002-2015, with specific incentives, terms and conditions and control procedures in order to prevent abuse.

The changes are considered to be more attractive to investors that wish to obtain an EU/Cyprus citizenship.

The threshold of investment has been reduced to €2 million all together (if the investor has invested in housing properties and the value of at least one of them is at least €500.000. If the main investment is not in housing properties then the investment is €2m plus a residential unit of €500.000).

Another important positive change is that the parents of the main applicant are also eligible to apply and obtain the Cyprus/EU citizenship provided that they purchase a housing property of at least €500.000 (therefore they will not need to proceed with any main additional investment).

The “collective” scheme has been abolished by the new Regulation.

On the basis of the Scheme, a non-Cypriot citizen, who meets one of the following economic criteria (A), either personally or through a company/ companies in which he/ she participates as a shareholder – in proportion to his holding percentage, or through investments done by his/her spouse or jointly with the spouse or even as a high-ranking senior manager of a company/ companies that meets one of the economic criteria (A), may apply for the acquisition of the Cypriot citizenship through naturalization by exception.

Α. CRITERIA

Α.1 Investment in real estate, land development and infrastructure projects:

The applicant must have made an investment of at least €2,0 million for the purchase or construction of buildings or for the construction of other land development projects (residential or commercial developments, developments in the tourism sector) or other infrastructure projects.

It is noted that investment in land under development is included in this criterion, provided that an investment plan for the development of the purchased land will be included in the application. It is understood that investment in land that is situated in a building zone of zero development, is excluded.

Α.2 Purchase or Establishment or Participation in Cypriot Companies or Businesses:

The applicant should have made a purchase or should have participated in companies or organizations established and operating in the Republic of Cyprus with investment costs of at least €2,0 million. The invested funds shall be channeled towards the financing of the investment objectives of these companies exclusively in Cyprus, based on a specific investment plan.

The applications shall be evaluated to verify that the companies or organizations have proven physical presence in Cyprus, with significant activity and turnover and employ at least five (5) Cypriot or citizens of European Union member-states. The minimum number of employees shall increase, if more than one applicant invest simultaneously or almost simultaneously in the same business or company. In addition, the employees of the companies need to have legally and continuously resided in Cyprus during the five years preceding the application submission date.

Α.3 Investment in Alternative Investment Funds or financial assets of Cypriot companies or Cypriot organizations that are licensed by CySec :

The applicant should have bought units of at least €2,0 million from alternative investment funds (AIF) established in the Republic of Cyprus, licensed and supervised by the CySec and whose investments are made exclusively in the Republic of Cyprus, in investments that meet the criteria of this Scheme or in areas approved by the Minister of Finance.

In order to confirm that the investments that meet the criteria of the current Scheme will be kept for at least three years, the manager or the auditor of the Fund shall inform in writing and on an annual basis, the Ministries of Finance and Interior with reference to the value of the initial investment.

The purchase of financial assets of Cypriot companies or organizations of at least €2,0 million, such as bonds, bills and securities, issued with the approval of the CySec, by companies that have proven physical presence and substantial economic activity in the Republic of Cyprus, and have as a purpose the financing of the investment plans of these companies or organizations exclusively in Cyprus, based on an investment plan, fall under this criterion.

It is noted that the purchase by an AIF of units of other AIFs is not considered eligible.

Α.4 Combination of the aforementioned investments:

The applicant may proceed with a combination of the above investments, provided that the total investment will amount up to at least €2,0 million.

Within this criterion (combination of investments) the applicant may purchase special government bonds of the Republic of Cyprus, up to €500.000, which will be issued by the Public Debt Management Office of the Ministry of Finance, on condition that the investor will retain these bonds for a three year period. The characteristics and the terms of these special bonds will be determined by the General and Special Issue Terms of the Government Bonds of the Republic of Cyprus. Investments in government bonds through the secondary market are not considered eligible.

B. TERMS AND CONDITIONS

1. Clean Criminal Record: the applicant must have a clean criminal record. Furthermore, his name must not be included in the list of persons whose assets, within the boundaries of the European Union, have been frozen as the result of sanctions.

2. Residence in the Republic of Cyprus: In all cases listed in Part A, the applicant must possess a permanent privately-owned residence in the Republic of Cyprus, the purchase price of which must be at least €500.000, plus V.A.T.

It is noted that members of the same family, who apply separately as investors, can collectively acquire a residence, provided that the total value of this home-property covers the amount of €500.000 per each applicant.

In case that the purchase value of the permanent privately owned residence in Cyprus exceeds the amount of €500,000, part of this additional amount can be used for purposes of supplementing the total amount of the investment made on the basis of the criteria of Part A above.

Additionally, it is noted that if the applicant has invested in housing unit/units on the basis of the aforementioned criterion A.1, the purchase of another permanent residence in Cyprus will not be required, if at least one of these housing units is worth at least €500,000, plus VAT, provided that the applicant retains the possession of the residence for life.

3. Residence Permit in Cyprus: The applicant, prior to his/her naturalization as a Cypriot citizen must hold a residence permit in Cyprus.

If the applicant does not already hold a residence permit, he/she may apply for an immigration permit on the basis of Regulation 6 (2) of the Aliens and Immigration Law, simultaneously with the application for naturalization. If the application for acquiring an immigration permit is made solely for purposes of acquiring the Cypriot citizenship, in accordance with the provisions of this Scheme, there are no other conditions than those stated in both Part A and Part B of this Scheme.

It is noted that all of the above also apply for the adult members of the family of the investor, who will apply for naturalization.

In case the application for naturalization is rejected for any reason, the immigration permit, obtained in accordance with the provisions of this Decision, will be canceled immediately.

C. SUBMISSION OF DOCUMENTS

For the evaluation of the applications the form (M127) as well as the following documents must be submitted:

1. Clean Criminal Record:

Certificate of Clean Criminal Record from the country of origin and the country of residence (if different).

2. Residence in the Republic of Cyprus:

(a) Contract of Sale.

(b) Title Deeds or Proof of Registration of the contract with the Lands and Surveys Department.

(c) Proof of payment of the agreed purchase price.

(d) Copy of the wire transfer to a Cypriot commercial banking institution in the name of the seller or the seller’s company.

(e) An evaluation certificate from an independent registered land surveyor, if required by the Ministry of Interior or the Ministry of Finance.

3. Criteria regarding the investment (when applicable):

(a) Certificate of Registration of the company/ companies by the Registrar of Companies.

(b) Certificate of shareholders by the Registrar of Companies or certificates evidencing that the applicant is the beneficiary owner of the company/ companies.

(c) Audited accounts of the company (or companies) for the last three years preceding the year of the application.

(d) If the applicant is a high-ranking senior manager, the submission of the employment contract and the receipt from the Department of Inland Revenue are additionally required.

(e) If the investment is made by the spouse of the applicant or jointly, a marriage certificate is required.

Furthermore, depending on the case, the following are required:

1. Investment in real estate, land development and infrastructure projects

(a) Contract of sale.

(b) Title Deeds or Proof of Registration of the contract with the Lands and Surveys Department. (c) Proofs of payment of the agreed purchase price.

(d) Copy of the wire transfer to a Cypriot commercial banking institution in the name of the seller or the seller’s company.

(e) An evaluation certificate from an independent registered land surveyor, if required by the Ministry of Interior or the Ministry of Finance.

(f) Investment Plan for the development of the purchased land, if the investment involves the purchase of land under development

2. Purchase or Establishment or Participation in Cypriot Companies or Businesses

(a) Contract of sale.

(b) Proof of payment of the agreed purchase price.

(c) Certificate of shareholders by the Registrar of Companies.

(d) Copy of the wire transfer to a Cypriot commercial banking institution in the name of the company or the organization.

(e) Specific investment plan.

(f) Copies of the employment contracts of the Cypriot or European Union citizens employed by the company in which the applicant has invested.

(g) Confirmation from the Social Insurance Department as to the insurable income of the Cypriot or European Union citizens employed in the company.

(h) Copy of the Social Insurance Contributions for every Cypriot or European Union citizen employee.

(i) Registration Certificate (MEU1) or Permanent Registration Certificate of Union Citizen (MEU3) for employees that are European Union citizens.

3. Investment in Alternative Investment Funds or financial assets of Cypriot companies or Cypriot organizations that are licensed by CySec:

(a) Title/Titles and other relevant documents of the financial assets / units purchased.

(b) Copy of the wire transfer to a Cypriot commercial banking institution in the name of the company or the organization.

(c) Specific investment plan.

(d) Confirmation by the CySec.

4. Investment in government bonds:

(a) Proof from the Public Debt Management Office for the purchase of special government bonds.

(b) Copy of the wire transfer into a bank account of the Treasury of the Republic of Cyprus.

Any other document that might be requested either by the Ministry of Interior, or by the Ministry of Finance.

None of the above affects the absolute discretion of the Cabinet of Ministers on taking a decision.

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