General Healthcare System (GHS) contributions start from 1st March 2019

May 3rd, 2019|

  The long awaited General Healthcare System (GHS) is now a reality in Cyprus. From 1st of March 2019 the contributions have started with the outpatient healthcare taking effect from 1st of June 2019. Form 1st of June 2020 inpatient healthcare and services will be offered to the beneficiaries which include Citizens of the Republic of [...]

TAX TREATMENT OF INTRA-GROUP BACK-TO-BACK FINANCING ARRANGEMENTS

July 10th, 2017|

  TAX TREATMENT OF INTRA-GROUP BACK-TO-BACK FINANCING ARRANGEMENTS     On the 30th of June the Cyprus Tax Department has issued an interpretative Circular as to the  treatment of Intra group back to back financing arrangements.  The circular interprets the  Tax Departments May’s announcement which the minimum accepted profit margin on back to back loan schemes [...]

TAX NEWS: Minimum profit margins on Back to Back Loans abolished

March 3rd, 2017|

Minimum profit margins on Back to Back Loans abolished   The Cyprus Tax Department (CTD), in order to streamline its policies and adhere with the latest OECD guidelines and the Code of Conduct for Business Taxation and under an EU State Aid perspective, has withdrawn its guidance on the minimum profit margins it accepts on back [...]

CYPRUS NEW INTELLECTUAL PROPERTY TAXATION REGIME

November 1st, 2016|

On the 14 of October the Cyprus Parliament has amended the Cyprus tax legislation and the favourable tax scheme applying for Intellectual Property Rights (collectively referred to as IP) and has  refined to accommodate the new regulations and guidelines introduced by the OECD. The new law allows for the existing schemes to continue to apply and [...]

CYPRUS TO AMEND THE INTELLECTUAL PROPERTY RIGHTS TAX REGIME

July 31st, 2016|

The Cyprus Tax Department (CTD) announced that they will amend the Intellectual Property Tax Law to align it with the OECD recommendations as published on the 5th October 2015 Action Plan on the Base Erosion and Profit Shifting. The Action Plan covers preferential tax regimes and in its approach demands the existence of substantial activity that [...]

CYPRUS ENACTS PROPOSED 2015 TAX REFORMS

June 30th, 2016|

The Cyprus Parliament has approved the a number of tax reforms which they were subsequently passed into laws with there publication in the Government gazette on Thursday 16th July 2015. The reforms reaffirms Cyprus’ credentials as a leading International Business centre. The key amendments were: • Exemption from Special Defence Contribution (SDC) for dividends and interest [...]

Inland Revenue collections down

April 20th, 2016|

The Inland Revenue Department collections have been reduced by 3% in the first seven months of the year compared to the same period of 2013, official data released on 2/9/2014 show. In particular, total collections in the period January – July 2014 came to €973.2 million compared to €1,002.3 million during the same period of last [...]

Cyprus New Intellectual and Royalties Taxation Regime

March 4th, 2016|

Following the recent amendments of the Cyprus tax legislation a more favourable taxation regime has been introduced for royalties and Intellectual Property Rights (collectively referred to as IP). The main points are: 80% of the income received from IP rights after deducting direct expenses is now exempt. Furthermore 80% of the profit from sale of the [...]

New Double tax treaty signed between Cyprus and Ukraine

February 15th, 2016|

The news of the new double tax treaty signed by the two countries was welcomed by the business community of both countries as it ended years of speculation and uncertainty as to the outcome of the negotiations and is offering a fresh stable platform for investors to plan their strategies and business interests. The new treaty [...]

Cyprus Economy stabilization and streamlining measures AUGUST 2011-The International Business Companies tax regime untouched

February 9th, 2016|

On the 26th of August of 2011 the House of Representatives voted as a first package of measures to stabilize and streamline the Cyprus economy in order to adhere to European Union financial guidelines. The measures include the amendment of a number of tax and company law provisions with the purpose of increasing the State revenue [...]