Cyprus provides consent to OECD Pillar 2 Safe Harbour rules
Ministry of Finance of the Republic of Cyprus has published a press release stating that Cyprus provided consent under OECD Inclusive Framework on BEPS to the Pillar 2 safe harbour rules. The press release states that Article 32 of the Council Directive (EU) 2022/2523 of 14 December 2022 on ensuring a global minimum level of […]
Extension of VAT exemption of essential goods
Tax Department of the Republic of Cyprus has announced a further extension of the temporary VAT decrease on a range of essential goods, including bread, milk, eggs, vegetables, meat, baby food and certain hygiene items until 30th September 2024. The temporary VAT decrease has been extended multiple times since its initial introduction in early May […]
Cyprus upgraded to BBB+ by Fitch and Standard and Poor’s
Standard & Poor’s BBB+ upgrade Standard & Poor’s, one of the Big Three credit rating agencies (the other two being Moody’s and Fitch Ratings), as one of the three nationally recognized statistical rating organizations, has raised on 14th June 2024 its long-term foreign and local currency sovereign credit ratings on the Republic of Cyprus to […]
Maritime cooperation agreement between Cyprus and Montenegro
Deputy Minister of Shipping, Marina Hadjimanoli and the Minister of Transport and Maritime Affairs of Montenegro, Filip Radulovic signed a Memorandum of Understanding (MoU) on 11th June 2024 to mutually recognise the certificates of competency of merchant ship officers issued by the competent authorities of Cyprus and Montenegro. With focus on enhancing Cyprus’ bilateral external relations and fostering mutually […]
Double Tax Treaty negotiations between Cyprus and Kyrgyzstan
Ministry of Finance of the Republic of Cyprus has confirmed that the negotiations between Cyprus and Kyrgyzstan over a Double Tax Treaty (DTT) between the two countries have been concluded successfully, focusing on taxes on income and the prevention of tax evasion and tax avoidance. As stated by the Ministry of Finance, the signing (expected at a later stage) […]
IMF: Cyprus growth is surpassing its European peers
Quoting Alex Pienkowski, International Monetary Fund (IMF) mission chief for Cyprus, “supported by robust policies, Cyprus recovered swiftly from the pandemic, and has proved broadly resilient to multiple adverse shocks. Growth is above most European peers, and inflation is close to 2%. Fiscal performance continues to be strong, significantly reducing public debt.” The IMF’s recent consultations under Article […]
Cyprus tax reform
In an interview in early March 2024 marking one year in the office, Cyprus President Nikos Christodoulides outlined plans for a comprehensive tax reform, with a focus on encouraging entrepreneurship, providing relief to households and ensuring fiscal neutrality. Noting that the last tax reform was implemented in 2002, President Christodoulides emphasized the importance of collaboration between the […]
Abolished: annual company levy in Cyprus
President of the Republic of Cyprus Nikos Christodoulidis announced on Wednesday 21st February 2024 the decision made by the Council of Ministers to abolish the annual company levy of €350 payable by all companies registered in Cyprus. The company levy fee was imposed in 2011 as a part of measures introduced to support Cypriot economy, generating over €40M in annual revenue. The abolition of […]
Extension for submitting information to the UBO Register in Cyprus
The Department of the Registrar of Companies and Intellectual Property of the Republic of Cyprus, with a view to updating the Register of Beneficial Owners of Corporate and Other Legal Entities (BO Register) on the basis of the upgraded digital platform, announces the extension of the submission of beneficial owners details, for all companies and other legal entities, until […]
Global minimum tax of 15% on multinationals comes into effect
As of 1st January 2024, global minimum tax of 15% has come into effect for multinational companies with an annual turnover of more than €750M in EU Member States, the United Kingdom, Norway, Australia, South Korea, Japan, and Canada. While the United States and China supported the agreement in 2021, they’re yet to implement the Organisation for Economic Co-operation and […]