Strike Off Company in Cyprus: Everything You Need to Know

If a Cyprus company goes into dormancy, the best way to shut it down officially is by proceeding with a strike-off company in Cyprus. This process is ideal for companies that have shut down and do not have any pending debts or legal obligations. In this article, we will walk you through what a strike-off company in Cyprus involves, the exact strike-off procedure in Cyprus, expected strike-off company fees, and how to apply to strike off a company properly.

Strike Off Company Cyprus Without Penalties

The strike off of companies in Cyprus is the striking of a company from the official register of the Registrar of Companies. It is a voluntary and administrative procedure for dormant companies that are free of debts and wish to end their legal existence without formal liquidation.

You can apply to strike off a company voluntarily by submitting the relevant documents. In some cases, the Registrar can initiate a strike-off in the case of a company being dormant for a long time. However, doing it yourself retains control over the timing and outcome.

A strike-off company in Cyprus is suitable only if the company has:

• Terminated all business activities
• No liabilities or assets
• Settled all tax and social insurance dues
• No pending claims or lawsuits

Step-by-Step to Strike Off Company in Cyprus

Strike Off Procedure Cyprus: What You Should Know

In order to proceed with the strike-off process in Cyprus appropriately, it's essential to adhere to a set of compliance steps:

1. Cease All Operations

The company should halt trading and confirm that no financial or contractual obligations exist.

2. Fulfill Tax Obligations

Prepare and submit final audited financial statements, file all tax returns, and obtain a tax clearance certificate from the Tax Department.

3. Close Bank Accounts

All company bank accounts should be closed prior to commencing the strike-off procedure.

4. Complete and Sign Form HE60

This statement is to be signed by all directors of the company to declare that the company is solvent and has ceased to trade. This is the formal application to petition to apply strike off a company.

5. Submit the Application

Form HE60 can be submitted physically, by post, or through the Registrar's electronic system.

6. Public Notification

If it is accepted, a notice is published in the Official Gazette. The company will be formally struck off the register if there are no objections within three months.

7. Obtain Confirmation

You can request a certificate of confirmation of the successful strike-off company in Cyprus that will serve as proof the business is no longer in operation.

Strike Off Procedure Cyprus Explained Clearly

Strike Off Company Fees in Cyprus Explained

Understanding the strike-off company fees in Cyprus helps you plan your closure efficiently. Charges vary based on the complexity of your company and the experts you approach.

Standard Charges Include:

• Government Charges: Processing charges vary in every situation.
• Professional Charges:
• Accounting fees for preparing final accounts
• Legal fees for preparing and submitting the necessary documents
• Additional Charges:
• Tax clearance certificate
• Public announcement charges
• Bank account closure and other administrative services

In order to manage costs, obtain multiple quotes from service providers. Keep in mind that the utilization of experienced professionals will help in evading delays or rejection of your application.

How Much Are Strike-Off Company Fees?

Documents to Apply to Strike Off a Company

To apply to strike off a company, the following are some useful steps to follow to comply and close the company successfully:

1. Confirm Eligibility

Ensure the company has no assets, liabilities, or outstanding legal liabilities.

2. Prepare Final Accounts

Close all tax returns and financial accounts. Obtain clearance from the Tax Department to show all obligations to be fulfilled.

3. Sign Form HE60

All directors must sign this form to make the company's status public and apply for its removal from the registry.

4. Submit Application

File the filled form with the Registrar of Companies in person, by post, or online.

5. Await for Gazette Notification

After approval by the Registrar, a notice is published. If no objection is made within three months, the strike-off is finalized.

6. Apply for a Confirmation Certificate

This optional certificate is formal proof that the company has been struck off.

How to Apply to Strike Off a Company in Cyprus

Final Thoughts

Choosing the strike-off company in Cyprus route is generally the best and most cost-effective way to shut down an inactive business. By carefully adhering to the strike off procedure in Cyprus, budgeting for the strike off company charges, and properly completing the procedure to apply to strike off a company, business owners can obtain legal compliance and peace of mind.

It is always a good idea to consult accountants and legal consultants who specialize in Cyprus corporate law to make it a hassle-free and compliant process. If your company is no longer in business and qualifies, a strike-off company in Cyprus can be the perfect solution for a clean and simple exit.