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Asset Protection and International Trusts

Cyprus is widely recognised as a leading European jurisdiction for international trusts. A Cyprus International Trust is an English common-law based structure, used by high-net-worth individuals and families for asset protection, tax planning and long-term wealth management. It provides confidentiality and security, and enjoys the benefits of the republic of Cyprus’ attractive tax system.

Cyprus International Trusts for Asset Protection and Wealth Planning

A Cyprus International Trust (CIT) is a flexible and sophisticated vehicle designed to protect assets, support succession planning, and preserve wealth across generations. Governed by modern Cyprus trust law and strengthened by significant legislative reforms in 2012, CITs are internationally recognised and widely used in cross‑border structuring.

A Cyprus International Trust offers a range of strategic advantages for families, entrepreneurs and global investors. Key advantages include:
  • Strong asset protection: Trust assets are difficult to challenge and are protected against creditors, forced heirship rules or certain legal actions.
  • Favourable tax treatment: No Capital Gains Tax on disposals of trust assets, and no estate or inheritance tax in Cyprus.
  • Flexibility: Wide discretion in structuring the trust and defining powers of the trustee
  • Confidentiality: Trust details are not recorded on any public register.
  • Long‑term stability: Cyprus trusts can exist indefinitely, supporting multi‑generational planning

Tax position of beneficiaries

Income received by Cyprus tax‑resident beneficiaries is taxable in Cyprus, regardless of source. Where beneficiaries are not Cyprus tax resident, only Cyprus‑sourced income is subject to Cyprus income tax, providing clarity and efficiency for international families.

What Dixcart Can Offer

A Cyprus International Trust is a purpose-driven structure, tailored to meet a wide range of objectives – from preserving family wealth free from forced‑heirship constraints, to protecting assets from litigation or personal circumstances, or acting as a discreet investment or holding vehicle.

With clients increasingly operating across borders, Cyprus trusts offer a structured way to secure wealth in a jurisdiction known for stability, legal certainty and international credibility.

Dixcart has provided trustee services for over 50 years and has operated in Cyprus since 2013. Our fully licenced and experienced team is recognised for safeguarding client interests with discretion, technical rigour, and a pragmatic, approachable style.

Dixcart supports clients with:

  • Establishing and administering Cyprus International Trusts
  • Trustee, compliance and ongoing governance services
  • Accounting, reporting and asset‑management oversight
  • Succession planning integrated with international structures
  • Support for families, entrepreneurs and global private clients seeking long‑term security

Across every engagement, Dixcart combines legal precision with an understanding of family dynamics, ensuring every trust structure supports both strategic objectives and lasting stability.

If you would like to speak to our specialists about the creation of a Cyprus trust, including structuring opportunities, please get in touch.

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