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Tax Advisor & International Tax Expert

Cyprus

EU member. Non-Dom status. 60-Day Rule.

0%Corp. tax (10% SME)
6060-Day Rule
3%IP Box effective
EUEU + Euro

Cyprus is often called the quiet winner among European tax jurisdictions – and with good reason. Whilst Malta and Dubai dominate the headlines, Cyprus has built a serious case for itself: Non-Dom status, the unique 60-day rule and the IP Box regime make for a compelling combination. Particularly for entrepreneurs who travel frequently but need an EU base, it's hard to beat.

At a Glance

0%

Corporate Tax

0%

Income Tax (top rate)

0%

Capital Gains Tax

0%

Dividend Tax

0%

VAT

0%

Inheritance Tax

The Tax System in Cyprus

The Cypriot tax system offers several levers. The corporate tax rate stands at 15% (since 2026, up from 12.5%), but SMEs pay just 10% on the first €200,000 of profit. Non-Dom status exempts you from the Special Defence Contribution on dividends, interest and rental income – for 17 years. And the IP Box regime brings the effective tax burden on intellectual property income down to just 3%. Then there's Cyprus's real USP: the 60-day rule. You can become tax resident without spending 183 days on the island.

Tax Comparison & Savings: Cyprus

United Kingdom vs. Cyprus

Tax framework conditions compared

Corporate Tax

GB
25,0%
CY
15,0%

Income Tax (top rate)

GB
45,0%
CY
35,0%

Capital Gains Tax

GB
20,0%
CY
0,0%

Dividend Tax

GB
33,8%
CY
0,0%

Tax-Free Allowances & Thresholds

19.500 EURIncome tax personal allowance
50%Salary exemption for new residents (>€55,000)
200.000 EURSME threshold for 10% tax rate
0%SDC for Non-Doms (17 years)

Calculate your tax savings

Compare estimated corporate tax on your business profits.

€200,000

United Kingdom€100,625
50.3% total tax burden
Cyprus€25,000
12.5% total tax burden

Estimated annual savings

€75,625

75% less tax

Net after tax

€175,000

instead of €99,375

Request individual calculation

Simplified illustration. Actual tax burden depends on individual factors.

What could Cyprus mean for your tax situation?

Every case is different. Tell me about yours – the initial assessment is free.

Enquire now

Living and Working in Cyprus

Cyprus combines EU membership with Mediterranean quality of life at significantly lower cost than comparable locations. Limassol is the business hub, with a growing tech and finance community. English is spoken almost everywhere, the infrastructure is modern and the time zone (GMT+2) is just two hours ahead of the UK. The GESY health system, introduced in 2019, provides universal coverage. With 340+ days of sunshine and a safe environment, Cyprus is particularly popular with families.

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Tell me about your situation

Briefly outline where you stand – you'll receive a free initial assessment of your tax options in Cyprus.

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All information provided without guarantee. Tax regulations are subject to constant change. For individual advice, please consult a qualified tax advisor.

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