Cyprus introduces new tax incentives
The Cyprus Ministry of Finance issued a release on the strategy for attracting companies to Cyprus, which was presented by the Minister of Finance Konstantinos Petrides on October 15, 2021.
The strategy includes certain measures of tax incentives, namely:
- Extension of the 50% investment tax exemption for certified innovative companies, including for corporate investors (previously the exemption was valid until June 2021 and was limited to individuals).
- Extension of the current 50% tax exemption for non-residents who become resident workers with a salary of at least 55,000 euros, including an increase in the amount of the benefit from 10 to 17 years.
The above measures are to be completed in the first quarter of 2022. It also notes that if the extension of the tax exemption for corporate investor investments is not approved, an extension of the tax exemption for individuals only will be proposed. In addition to tax incentives, the strategy also includes measures to improve facilitation, procedures for obtaining employment licenses for employees from third (non-EU) countries, procedures for obtaining work permits and visas, and other related measures / reforms.
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