Tax Benefits for Employees in Cyprus

Tax Benefits for Employees in Cyprus

• Extension of the tax exemption applicable to employees in Cyprus:

            – Income tax exemption of 50% for new residents and employees with an income of at least €55,000 with the possibility to extend the benefit from 10 – 17 years; potential beneficiaries of the allowance are persons with earnings of €55,000 to €100,000 for the remaining 17-year period.

• Extension of tax exemption for investments in innovative companies:

            – Tax exemption of 50% for investment in certified innovative companies also includes corporate
investors.

• Tax relief on research and development costs:

            – Eligible research and development expenses will be deducted from taxable income up to 120% of the actual business income.

The above is for informative purposes only.  Further professional advice should be sought for each particular case. Our firm does not accept any responsibility for any loss or damage occurring by acting on the basis of this information. For more advice, contact us at the contacts listed on the site.