Tax-Related

CyprusUK flag
Double Tax Treaty signed between Cyprus and the UK
Posted On : 28-03-2018
An updated agreement for the elimination of double taxation on income and on capital has been signed between Cyprus and the United Kingdom.
EU publication of tax havens blacklist 23.01.2018
Posted On : 23-01-2018

The European Union has published on 23.01.2018 a new blacklist of tax havens, naming only 9 countries out of the 92 included initially.

Double Tax Treaty between Cyprus and Saudi Arabia
Posted On : 22-01-2018
On 03/01/2018, the governments of Cyprus and Saudi Arabia signed an agreement for the Avoidance of Double Taxation (the DTT). 
Cyprus and Ethiopia Double Tax Treaty enters into force
Posted On : 22-01-2018
The double tax treaty (DTT) between Cyprus and Ethiopia signed in December 2015 entered into force on 18 October 2017 as per recent update of the Cyprus Ministry of Finance. 
EU publication of tax havens blacklist 05.12.2017
Posted On : 05-12-2017

The European Union has published its blacklist of tax havens, naming 17 countries out of the 92 included initially.

VAT on Immovable Property
Posted On : 29-11-2017

On the 3rd of November 2017 certain changes were made to the VAT legislation relating to immovable property in Cyprus.

“60 day rule” tax residency test for individuals voted by Cyprus Parliament
Posted On : 05-09-2017

On 14/7/2017 the Cyprus parliament voted for a Cyprus tax law amendment adding the “60 day rule” test for the purpose of determining whether an individual is a Cyprus tax resident or not. 

Double Tax Treaty between Cyprus and India successfully completed
Posted On : 04-07-2017

On 29.06.2016 the negotiation on the Double Taxation Agreement for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with respect to Taxes on Income between Cyprus and India has been effectively completed.

Double Tax Treaty between Cyprus and Iran
Posted On : 03-07-2017

The DTT between Cyprus and Iran was signed on 4 August 2015 and entered into force on 5.3.2017, while its provisions will come into effect as from 01.01.2018.

Double Tax Treaty between Cyprus and Luxembourg
Posted On : 03-07-2017

A DTT between Cyprus and Luxembourg was signed on 8.5.2017. The DTT will come into effect from 01.01 of the year following the year in which all legal formalities to bring the treaty into force are finalised.

Postponement of application of Protocol amending Article 13 of the Cyprus – Russia Treaty
Posted On : 14-02-2017

The Ministry of Finance has announced on the 29th of December 2016 that an agreement has been reached between the Governments of Cyprus and Russia for postponing the application of the protocol which was signed on the 7th of October 2010

Cyprus Immovable Property Tax: reduced and/or abolished
Posted On : 27-07-2016

The House of Representatives of Cyprus voted on the 14th of July 2016 the following changes relating to immovable property tax.

Special Defence Contribution (SDC) not payable by persons non-domiciled in Cyprus
Posted On : 13-07-2016

The amendment Law 119(I)/2015 which came into force on 16/07/2015 affects only Cyprus tax residents.

Double Tax Treaty between Cyprus and Latvia
Posted On : 05-07-2016

On 24/05/2016 the Republic of Cyprus entered for the first time into a Double Tax Treaty (DTT) with the Republic of Latvia. This is the 60th Double Tax Treaty entered into by Cyprus. The DTT was formally approved by Cyprus on 03/06/2016 and was signed by the relevant Ministers of each country. 

Implementation of the Common Reporting Standard (CRS) in Cyprus
Posted On : 18-01-2016

Cyprus is one of the first countries amongst 51 jurisdictions committed to implement the Organisation for Economic Co-operation and Development (OECD) Common Reporting Standard by 2017.

Changes to the Cyprus Tax Laws (December 2015)
Posted On : 28-12-2015

The House of Representatives voted on 10th of December 2015 the remaining changes to the tax laws which were deferred back in July 2015.

Changes to the Cyprus Tax Laws (July 2015)
Posted On : 20-07-2015

In an effort to improve the Cyprus tax system, make Cyprus a more attractive jurisdiction and harmonize the system with relevant EU guidelines, various new Bills have been passed into Laws on the 9th of July 2015.

Cyprus Resident Companies - Tax Facts
Posted On : 02-01-2015
The taxable income of companies, whether registered in Cyprus or not, which have their management and control in Cyprus will be liable to corporate tax at the rate of 12.5%, irrespective of whether the shareholders are Cyprus residents or not.  
Cyprus-India Double Tax Agreement in relation to shipping activities
Posted On : 20-11-2014

The publication demonstrates the attention paid by tax authorities to the issue of substance of companies in relation to the issue of  strengthen the tax residence status. 

Agreement for the Avoidance of Double Taxation between Cyprus and Iceland
Posted On : 17-11-2014
The Agreement for the Avoidance of Double Taxation between Cyprus and Iceland was signed on the 13th of November 2014 promising a further development in the area of business and economic relations between the two countries. 
Agreement for the Avoidance of Double Taxation between Cyprus and Lithuania
Posted On : 27-10-2014

The Agreement for the Avoidance of Double Taxation between Cyprus and Lithuania was signed on the 21st of June 2013 and, after the exchange of the relevant notifications, the Agreement was entered into force on the 17th of April 2014.

Agreement for the Avoidance of Double Taxation between Cyprus and Norway
Posted On : 27-10-2014

The Agreement for the Avoidance of Double Taxation between Cyprus and Norway was signed on the 24th of February 2014 and, after the exchange of the relevant notifications, the Agreement was entered into force on the 8th of July 2014.

A new Double Tax Treaty between Cyprus and the US is long overdue!
Posted On : 27-05-2014

The double tax treaty between Cyprus and the United States of America has been concluded back in 1984 when Cyprus was an offshore tax regime offering international business companies a flat tax rate ten times lower than the normal corporate rate. 

Double Tax Treaty between Cyprus and Spain
Posted On : 27-05-2014
The new double tax treaty between Cyprus and Spain that was signed on February the 14th, 2013 enters into force on 1st of January 2015.
The new treaty was expected originally to come into force on the 1st of January 2014 however since there was no official exchange of the ratified documents between the Governments of Spain and Cyprus, this was postponed.
Double Tax Treaty between Cyprus and UAE
Posted On : 28-04-2014

The double tax treaty between Cyprus and the United Arab Emirates has entered into force on 2/4/13 and became effective as of 1/1/2014.

Payment of VAT at a reduced rate of 5% in relation to the purchase of property in Cyprus
Posted On : 27-03-2014

The terms under which a purchaser is entitled to a 5% VAT rate are as follows:

Tax Rates applicable as from 2012
Posted On : 06-12-2013

The Income Tax rates applicable for individuals are the following:

Immovable Property Tax rates
Posted On : 20-08-2013
• Changes in tax bands
• Reduction in tax free allowance and increase in tax rates
• Extension of deadline for payment of 2013 tax
The new Cyprus - Ukraine Double Tax Treaty is closer to ratification
Posted On : 20-05-2013

On 16.5.2013 the Ukrainian government submitted a draft law to the Ukrainian parliament to ratify the new double tax treaty and Protocol between Cyprus & Ukraine, which was signed on 8 November 2012.

Cyprus Stamp Duty rates
Posted On : 03-03-2013

Stamp duty is payable on all agreements and documents which involve property situated in Cyprus as well as and/or matters or things taking place in Cyprus.

VAT imposed when services rendered relate to immovable property situated in Cyprus
Posted On : 01-03-2013

The general rule is that when a firm/company provides legal and other services to a person outside the EU, these transactions are outside the scope of VAT and therefore VAT is not going to be charged.

How to calculate if a person/company qualifies as a ‘Cyprus Tax Resident’
Posted On : 12-11-2012

Income tax in Cyprus is based on the principle of "tax residence".  A company is resident in Cyprus for tax purposes if its management and control are exercised in Cyprus. 

Amendments to the Tax Legislation as at 24.5.2012
Posted On : 06-06-2012

On the 24th of May 2012 the House of Representatives voted for a number of new tax incentives. in relation to Income Tax, Special Defence Contribution and Vat.

Russian State Duma ratifies Protocol to the Double Tax Treaty between Cyprus and Russia
Posted On : 25-05-2012

The Russian State Duma has recently ratified the Protocol to the Double Tax Treaty between Cyprus and Russia, which shall now come into effect as of 1 January 2013, while particular provisions will come into force as of 1 January 2017.

Cyprus - not an offshore tax haven jurisdiction
Posted On : 27-03-2012

Cyprus is a reliable European Union and Euro-zone jurisdiction for conducting professional services and offshore activities.

VAT rates applicable in Cyprus
Posted On : 15-02-2012

As from 1.3.2012- 13.1.2013, the standard rate of VAT increased from 15 % to 17 %, effective as from the 1st of March 2012.  This change did not affect the reduced rates of VAT of 5%, 8% or nil. 

Mutual Funds in Cyprus
Posted On : 29-01-2012

The recent changes in the Cypriot Income Tax Law and Special Contribution for the Defence Law definitely open a new era for Mutual Funds in Cyprus.  These are effective as from the tax year 2009.

Amendments to the Tax Legislation as at 14.12.2011
Posted On : 03-01-2012

On the 14th of December 2011 the House of Representatives voted the following laws:

Payment of Taxes through the JCC Smart Website now possible in Cyprus!
Posted On : 03-01-2012

Payment of Taxes through the JCC Smart website is now possible!!! The Cyprus Tax Authorities have introduced a new method for the payment of taxes.

Obligation to register with VAT
Posted On : 23-12-2011

A person/company is obliged to register with VAT Authority when:

VAT & rates in Cyprus
Posted On : 12-09-2011

VAT is charged on every taxable supply of goods or services, that is on every supply of goods or services made within the Republic, by a taxable person in the course or furtherance of any business carried on by him, other than a supply exempted in accordance with the provisions of the Law.

V.A.T. in Cyprus on exportation
Posted On : 08-09-2011

Visitors from abroad can get Value Added Tax (V.A.T.) refund on goods purchased in Cyprus from shops that use the retail export scheme.

VAT in Cyprus on importation
Posted On : 08-09-2011

V.A.T. is imposed on all imported commodities whether the importer is a person liable to V.A.T. or not. Οn importation, it is considered as an import duty and it is charged and paid at the time at which the import duty is paid according to the customs legislation.

New changes in Cyprus tax measures effective as from 2011
Posted On : 07-09-2011

For the purpose of raising revenues and decreasing government spending, the House of Representatives of Cyprus voted on the 26th of August 2011, the following changes in the Tax and Company Legislation.

VAT taxable person/s in Cyprus, obligation to register with VAT & liabilities
Posted On : 29-08-2011

Tax chargeable on any supply of goods or services is a liability of the person making the supply.

VAT (Registration Procedures, Penalties...etc)
Posted On : 29-04-2011

Taxable persons charge Value Added Tax (VAT) on their taxable supplies (output tax) and are charged with VAT on goods or services which they receive (Input Tax).

Amendments to the Income Tax Law effective as from 1.7.2011
Posted On : 21-01-2011
The deemed interest provision of 9% on the amount owed to a company by its shareholders has been amended so that to cover only shareholders who are natural persons and not companies.
Amendments to the Immovable Property Tax Law and to the Capital Gains Tax Law valid from 1.7.2011
Posted On : 21-01-2011

The new amendments seek to impose further penalties for non-compliance with the provisions of the above mentioned Laws relating to the submission of Tax Returns or any other information requested by the Director of the Inland Revenue.

Amendments to the Special Contribution for the Defence Law effective as from 01.07.11
Posted On : 20-01-2011

A withholding obligation is imposed on the lessee provided that the lessee is a company, a partnership, the Government or a Municipality Authority.

Amendments to the Assessment & Collection of Taxes Laws effective as from 1.7.2011
Posted On : 18-01-2011

The following amendments have been made to the Assessment and Collection of Taxes Laws.

Double Taxation Agreement between Cyprus and the Kingdom of Denmark
Posted On : 25-10-2010
According to the announcement, the new Agreement will contribute greatly to the further development of trade and economic relations between Cyprus and the Kingdom of Denmark.
Double Taxation Agreement between Cyprus and Kuwait
Posted On : 25-10-2010

A new Double Taxation Agreement has been signed between Cyprus & Kuwait on the 5th October 2010.

Double Taxation Agreement between Cyprus and Slovenia
Posted On : 25-10-2010

In October 2010, the Republic of Cyprus signed a Double Taxation Treaty with Slovenia.

The Cyprus Tonnage Tax Law
Posted On : 17-05-2010
Cyprus Tonnage Tax Scheme -
Improving the competitiveness of Cyprus Ship-owners, Charterers and Ship Managers.
Tax Treatment of Royalties in Cyprus
Posted On : 01-02-2010

Companies engaged in the development of intellectual property rights and the subsequent licensing of these rights and the collection of royalties must always consider which is the best investment structure which among other factors have the least tax leakage.

Tax treatment of Dividends in Cyprus
Posted On : 22-01-2010

Where dividends are received from abroad, any overseas tax withheld is given as a tax credit against the tax resulting in Cyprus.

Tax on Interest Income in Cyprus
Posted On : 15-01-2010

Interest income under the Cypriot Income tax legislation is generally exempt as provided by section 8(19) of the Cyprus Income Tax Law 118(I) 2002 as amended.

Office Address: 5 Amathountos street,
Pirilides Building, 4th-5th Floor,
3105 Limassol-Cyprus 51252, 3503