Executive Recruitment & Employment
A high-tax country entity can set up a Cyprus Company to employ all its executives that work internationally. In this way the tax payable by the executives and the social contributions payable by the employing company are reduced (also depends on local legislation in actual performance country). Such an arrangement benefits both the company, by reducing its executive employment costs, and the executive by increasing the amount of the net remuneration.
The concept of the Payroll Company can be extended to cover the hiring of workers for international contracts (the case of international contracts that are manned by workers from various jurisdictions).