Latest News
Tax reliefs and incentives
Expatriate relief
The House of Representatives voted on 3rd of December 2020 the extension of the tax exemption to a person who was based overseas and was not Cyprus tax resident before the commencement of employment in the Republic. The tax exemption applicable is at a rate of 20% of the person’s salary or in the amount of 8.550 euros (the lower of the two), until the tax year 2025. The tax exemption applies for five years, starting from the tax year following the year of commencement the employment. The purpose of the above is to attract workforce and investment in Cyprus.
Tax reliefs for restructuring of loans
Additionally, on 3rd December 2020 the House of Representatives voted for the extension to the current legislation in respect of offering tax incentives and reliefs of the debt restructuring until 31 December 2021.
Below is a brief description of the main tax reliefs and incentives in relation to loan restructuring arrangements.
- In case of loan restructuring, there is no payment of stamp duty. It should be noted that there is no payment of stamp duty up to the amount of the existing debt.
- Any profit arising from the disposal of the property in the context of a loan restructuring is exempt from capital gains tax.
- When there is a transfer of real estate to the lender, there is no payment of land transfer fees.
- Accounting profits arising in the context of restructuring are not subject to the deemed distribution provisions.
- Anу benefit, profit or gain arising in the context of restructuring is exempt from income tax.
We remain at your disposal for anything you may need.
Contact persons
Leonidas Papadopoulos
This email address is being protected from spambots. You need JavaScript enabled to view it.
+357 22 100 192
Head of Accounting
-
Pavlos Tsiaklides
This email address is being protected from spambots. You need JavaScript enabled to view it.
+357 22 100 192
Head of Audit
-
Andreas Odiatis
This email address is being protected from spambots. You need JavaScript enabled to view it.
+357 25 100 692
Audit Manager