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  • Parallel registration of vessels

    A) Foreign registered vessel registered in parallel under Cyprus flag (Law 57/86)
    1 Parallel registration if vessels is the registration of a vessel (for certain period of time) in the Cyprus Registry of Ships whilst the vessel keeps her foreign registration. Parallel registration is allowed provided the vessel is bareboat chartered by a Cyprus shipping company. Deletion from her previous registry is not required, but during parallel registration the legal status of the vessel with her previous registry is suspended except as far as the particulars of the vessel and the creation, registration and deletion of mortgages or other legal charges is concerned. Bareboat chartering for the purpose of this law is the chartering during which the charter acquires (curing the time specified) the full control and possession of the vessel, her maritime administration , operation and management, the right to appoint and dismiss the captain and the crew, and the undertaking of the liabilities against third parties. In general the charterer is acting as if he were the owner of the vessel, except for the right to sell or mortgage the vessel. 2 Once the vessel is qualified as above mentioned the registration is effected with the registration of the foreign vessel in the "special Register for Parallel Registration of the Cyprus Registry" which is kept specially for this purpose and for such period of time as the appropriate Minister shall approve subject to the following conditions:
    - the law of the country of the foreign vessel's Registry allows the parallel registration of vessels registered in their registry
    - the vessel fulfils the requirements of being registered under the Cyprus flag
    - an application is made together with the following documents (duly certified):
    - a copy of the charterparty (in lieu of the title of ownership and the declaration of ownership)
    - a copy of the resolution of Directors of the bareboat charterers
    - power of attorney
    - written consent of the owner of the vessel
    - written consent of the relevant appropriate authorities of the country where the vessel is registered, containing also a confirmation as to the ownership and the mortgages or other legal charges of the vessel (if any exist)
    - written consent of the mortgagees
    - the documents required for the permanent registration of a vessel under the Cyprus flag

A new measurement of the tonnage of the vessel is not required as the certificate of survey and the tonnage certificate shall be issued on the basis of the corresponding certificates of the foreign registry. Any new changes affecting the tonnage or the description of the vessel follow the same rules applicable for the Cyprus Registry. In case of such changes the Cyprus Shipping Authorities shall notify the appropriate maritime authorities of the foreign vessel.

No carving /marking note shall be issued.
1 During the time of parallel registration the vessel bears the Cyprus flag and the Cyprus port of registry. The vessel keeps the name as registered in the foreign registry which is not permitted to be the same with a name registered in the Cyprus Registry. Any change of name, however, is allowed upon the application of the charterer, accompanied by the written consent of the owners and mortgagee subject to the same rules or the changes of name of vessels registered under the Cyprus flag). The shipping authorities of the country of the foreign vessel are notified immediately after the change of name.

2 During the time of parallel registration the Cyprus authorities issue a Certificate of Parallel registration, similar to the Certificate issued for vessels registered under the Cyprus flag. This certificate contains the same particulars applicable to ships registered under the Cyprus flag, as well as the particulars of the shipowner, the charterer, the foreign registry and the time during which the vessel maintains the parallel registration.

3 The extension of the status of parallel registration is allowed with the re-registration of the vessel in the "Special Register for Parallel Registration of the Cyprus Registry" provided the same reasons and conditions are fulfilled as in the first instance.

4 Mortgages or other legal charges are not affected by parallel registration. Any mortgages or legal charge created after the date of parallel registration may be registered in the foreign Registry according to the laws of the foreign Registry.

5 The transfer of ownership for any legal cause is governed by the law of the country of the foreign registry. Such transfer however must be recorded in the "Special Registry for the Parallel Registration".

6 The revocation of the status of the parallel registration and the deletion from the "Special Register for Parallel Registration of the Cyprus Registry" is made in the following cases:

7-in case the Shipping authorities of the company of the foreign vessel revoke their consent for such parallel registration
upon termination of the charterparty
upon the lapse of time for which the registration was made
if any of the reasons for the deletion of ships according to the Cyprus shipping Law exist.
As soon as such deletion takes place the Cyprus Shipping Authorities issue the relevant deletion certificate.

B)Parallel registration of Cyprus flag vessel under foreign Registry (Law 64/87)

Cyprus flag vessels are allowed to be registered in foreign Registries parallel with the their Cyprus registration under the following conditions:

- the approval of the Ministry of Communications & Works is granted
- such approval is granted to ships permanently registered under the Cyprus flag; however the approval may be granted to vessels registered provisionally under the Cyprus flag under certain conditions imposed by the Minster ;
- the application for the parallel registration must be made by the shipowner and must be accompanied by the following documents:

  • copy of charterparty
  • written consent of the charterers
  • written consent of the relevant maritime authorities of the country of foreign registry and confirmation that the law of the country allows parallel registration of the Cyprus flag vessel into its registry
  • written consent of the mortgagees
  • joint statement by the owner and the charterer that they undertake to furnish the Registrar, within one month with a certified copy of the foreign certificate of the parallel registration and to notify every alteration effected to the name or other particulars of the ship during the time the vessel is in parallel registration

The status of such parallel registration is in force for as long as the above conditions are adhered to. The Minister upon an application made by the shipowner and with the consent of the mortgagees, may prolong that period if the reasons and/or conditions specified by the law continue.

During the time of parallel registration the vessels bear the flag of the foreign registry. The Cyprus certificate of registration of the vessel is returned to the Registrar who keeps it until the expiration of the status of the parallel registration.

During the time of the parallel registration the Cyprus Registry is suspended except for the transfer of ownership, the existence, formation, registration, transfer and deletion of mortgages.

The vessel, during that time, is subject to the same annual fees and other financial conditions (except crew fees and wireless or radiotelegraphy fees) which are prepaid for the whole period of the parallel registration, at the time of approval.

Crews
According to the Merchant Shipping Laws 1963-1984 at least 15% of the crew of a Cyprus ship must be Cypriots but, in view of the limited availability of such a number of Cypriot crew, the above conditions are not strictly observed and an application to pay CYP1 per month for every non Cypriot member (of the15%) of the crew is required.

The master of a ship may enter into an agreement with the shipowners and the seamen may also enter into an agreement either with the master or the shipowner. Such agreement may be filed with the Director of the Department of Ports.

The crew of Cyprus ships must be qualified i.e. they should hold a Certificate of Competence granted by a competent authority of either Cyprus or any one of the following countries:

Italy
ArgentinaHungaryNew Zeland
AustraliaHungaryNorway
BelgiumIcelandPakistan
BulgariaIndonesiaPoland
Czech republicIrelandPortugal
CubaIsraelPhilippines
China P RRomania
CanadaJapanRussia
CroatiaKorea RepublicSingapore
DenmarkLatvia Slovak Republic
Egypt Lebanon Spain
Finland LiberiaSri Lanka
France MalaysiaSweden
GermanyMalbivesTogo
Hong KongNetherlands United Kingdom
U.S.A

All Certificates of Competence issued by the former States of USSR and Yugoslavia are also recognised. Regulations relevant to the manning of Cyprus ships are based on internationally accepted standards, and are in line with the principles and guidelines of the relevant I.M.O. resolutions. For the last years a Collective Agreement between the Trade Unions of Cyprus and the Shipowners Association has been in existence in order to regulate the wages, other emoluments and relevant matters such as hours of work, holidays etc. This agreement is recognised by the International Transport Federation (ITF) in cases in which the ship is owned by a Cypriot majority. In certain cases the Yellow Certificate issued by the ITF may be obtained. Cyprus has also concluded agreements with Bulgaria, Peoples Republic of China, Romania, Russia, Syria, Poland, Sri Lanka, Philippines and Egypt containing provisions amongst others, for the employment of qualified seamen from those countries in Cyprus flag vessels.

Classification Societies recognised in Cyprus
  • Lloyds Register of Shipping, London (UK)
  • American Bureau of Shipping, New York (USA)
  • Det Norske Veritas, Oslo (Norway
  • Bureau Veritas, Paris (France)
  • Germanischer Lloyd, Berlin (Germany)
  • Registro Italiano Novale, Rome (Italy)
  • Ellinikos Niognomon, Athens (Greece)
  • Registrul Naval Roman, Bucharest (Romania)
  • Polski Rejest Statkow, Warsaw (Poland)

Accounting Authorities
All owners of ships are required to appoint international accounting authorities, approved by the Government of Cyprus to undertake the clearance of their accounts with the Telecommunications Authorities in the different countries which serve them. A copy of the contracxt witnessing Authority must be submitted to the Registrar of ships together with a for a radio licence.

Copies of the renewals of such contracts must be subsequently al.

In case of transfer of ownership a confirmation by the Accounting Authority new contract has been signed must be sent. A copy of that submitted thereafter within six months. Pleasure yachts using only are excluded from the requirement of appointing an accounting authority.

The following Accounting Authorities have so far been approved by the Cyprus Government.

International Conventions
The following international conventions have been ratified by Cyprus:

  • The International Load Line Convention 1966 (LL1966)
  • The International Tonnage Measurement of ships Convention 1969 (Tonnage 1969)
  • The International Convention of the Safety of Life at Sea 1974 as amended (Solas 74 as amended)
  • Protocol of 1978 relating to the international convention on the Safety of Life at Sea 1974, as amended (SOLASPROT. 1978 as amended)
  • The International Regulations for the Prevention of Collision at Sea 1972 as amended (COLREGS 72as amended)
  • Protocol of 1978 relating to the international convention for the Prevention of Pollution from ships, 1973 as amended (MARPOL 73/78 as amended) (Annexes 1, 11andV)

Fees
Government fees, stamp duties an other fees for the registration/re-registration/transfer/mortgage/measurement of ship/radio licence/inspection etc may be obtained on request from our offices.

Double Tax Treaties
Cyprus has concluded an impressive number of tax treaties with other countries. These are:
Armenia AustriaAzerbaijan
BelarusBelgiumBulgaria
CanadaChinaCzech Republic
DenmarkEgypt France
GermanyGreece Hungary
IndiaItalyKuwait
KyrgyztanMaltaMauritius
MoldovaNorwayPoland
RomaniaRussiaSlovak Republic
SloveniaSouth AfricaSweden
SyriaThailandTajikistan
TurkmenistanUkraineUnited Kingdom
USAUzbekistan Yugoslavia

Double Tax Treaties with Belgium and Finland are currently being negotiated.
A. Received in CyprusDividends Royalties  Interest
Armenia
Austria
Azerbaijan
Belarus
Belgium
Bulgaria
Canada
China
Czech Republic
Denmark
Egypt
France
Germany
Greece
Hungary
India
Italy
Kuwait
Kyrgyztan
Malta
Mauritius
Moldova
Poland
Romania
Russia
Slovak Republic
Slovenia
South Africa
Sweden
Syria
Thailand
Tajikistan
Turkmenistan
Ukraine
United Kingdom
USA
Uzbekistan
Yugoslavia
Yugoslavia

A. Received in Cyprus Dividends Royalties Interest
Armenia
Austria
Azerbaijan
Belarus
Belgium
Bulgaria
Canada
Canada
China
Czech Republic
Denmark
Egypt
France
Germany
Greece
Greece
Hungary
India
Italy
Kuwait
Kyrgyztan
Mauritius
Moldova
Norway
Poland
Romania
Russia
Slovak Republic
Slovenia
South Africa
Sweden
Syria
Thailand
Tajikistan
Turkmenistan
Ukraine
United Kingdom
USA
Uzbekistan
Yugoslavia