A Cyprus Tax resident under the 60 or 183-day rule is subject to tax in Cyprus on his/her worldwide income.

According to the Cyprus legislation, an individual who spends more than 183 days in Cyprus territory, is considered a Cyprus Tax resident. As from the tax year 2017, 60 days rule can be additionally applied for individuals who want to acquire the Non-Domicile Status.

Benefits From Non-Dom Status:

  • No tax on income from dividends and interest for 17 years. Only 2.65% GHS (General Health System) restricted to EUR180k income per annum.

Other tax benefits from relocation to Cyprus:

  • 50% of remuneration (if above EUR55k/annum) from employment in Cyprus is exempted from income tax for 17 years (effective since 01/01/2022).
  • 20% of remuneration (if below EUR55k/annum) from employment in Cyprus is exempted from income tax for 7 years (effective since 01/01/2022).
  • First EUR19.5k of salary income is exempt.
  • Profit arising from the sale of securities that include shares, bonds, debentures and others is exempted from taxation in Cyprus.
  • No Capital Gains Tax on the sale of immovable property located outside Cyprus.
  • No Inheritance, Wealth, or Gift Tax.

The 60 Days Rule requirements:

  1. do not reside in any other country for a time period of more than 183 days(aggregate) and
  2. is not a tax resident in any other country and
  3. resides in Cyprus for at least 60 days and
  4. has various other Cyprus ties such as :
    • contract of employment
    • he is a business owner
    • he is a director of a Cyprus Tax resident company.

The Individual Must Maintain A Residential Property During The Tax Year Either Owned Or Rented.

The rule of 183 days is still valid for individuals and if a person resides in Cyprus for more than 183 days no further criteria as above are needed.


The Other Way:

Another way to obtain the Tax residency Status in Cyprus is by registering an establishment of a Cyprus company. The registered entity can then employ the interested for the tax residency. Through this process individuals can obtain a work permit in Cyprus and a tax residency (non-domicile status). Shareholders, directors and employees of the Cyprus entity can apply then for residency.