Cyprus has introduced several incentives aimed at attracting professionals and high-income earners to relocate and work from Cyprus. These personal tax exemptions can significantly reduce the effective income tax rate for expatriates.
Individuals earning over €55,000 annually may qualify for a 50% exemption on their employment income for 17 years.
An alternative lower threshold exemption allows for 20% (or €8,550) of employment income to be exempt for 7 years.
The 50% exemption is available to individuals who were not Cyprus tax residents for at least 15 years prior to their employment, while the 20% exemption is available to individuals beginning their first-ever employment in Cyprus.
Expatriates who are also Non-Doms benefit from zero tax on investment income.
Exectus supports expatriates and their employers in designing optimal relocation and compensation structures in full compliance with Cyprus tax law.
