05.19
Tax Advisory & Compliance
reduction of share capital and conversion into loan payable towards shareholders

Representative Work

Kinanis LLC has provided tax advise which assisted to a favourable tax ruling obtained in relation to the taxation of a Cyprus tax resident company with an intended transaction the reduction of its share capital and the conversion into a loan payable towards its shareholders. 

The company is involved with the short-term and long-term accommodation to the public with total assets of Euro 13.000.000,00 million for the year of 2018.

With this favourable tax ruling the client decided to further proceed with the execution of the intended transaction.

The ruling also included the tax treatment of interest income generated by the shareholders being Cyprus tax residents and non-domiciled individuals.