To attract investors and international business representatives, the Cypriot government has developed an attractive tax system. In particular, in 2016 the property tax was abolished here (previously it was 1.7% of the assessed value of the object). Corporate income tax is 12.5%, which is less than in other European countries.

In 2015, Cyprus introduced a special status for foreign investors “non-domiciled tax resident” (not permanently residing in the country). This status requires you to live in Cyprus for at least 60 days per year. Being in this status, you are exempt from paying several taxes:

• on dividends;
• on income from the sale of securities;
• on the interest from deposits;
• rental income;
• defense levy.