Tax rates 2026

Cyprus Tax Rates 2026

Every Cyprus rate, threshold and deadline we use, from one table that is checked weekly against official sources and updated when the law changes. Below, compare Cyprus with other countries.

Figures verified 16 October 2026Data as JSON

Headline rates

Personal income tax0–35%Tax-free up to €22,000
Corporate tax15%IP box effective rate 3%
VAT19%Reduced rates 9% and 5%
Social insurance8.8%Employee, on earnings up to €68,904
GHS (GESY)2.65%Employee, on income up to €180,000
Capital gains tax20%Cyprus property; main-residence exemption €150,000
Crypto disposals8%Flat rate on the year's net gain
SDC on dividends5%Domiciled residents; non-doms 0%

Personal income tax bands 2026

Tax on chargeable income, band by band.

Chargeable income	Rate	Total tax at top of band
€0 to €22,000	0%	€0
€22,001 to €32,000	20%	€2,000
€32,001 to €42,000	25%	€4,500
€42,001 to €72,000	30%	€13,500
Over €72,000	35%	—

Cyprus vs other countries

Headline rates for 2026 in 38 countries. Pick a country below for the full comparison.

Compare

Country	Personal tax	Corp tax	Dividend	CGT	VAT
Cyprus	0–35%	15%	0%* / 5%	20%	19%
UAE	0%	9%	0%	0%	5%
Qatar	0%	10%	0%	0%	0%
Kuwait	0%	15%	0%	0%	0%
Saudi Arabia	0%	20%	5%	0%	15%
Singapore	Up to 24%	17%	0%	0%	9%
Hong Kong	Up to 17%	16.5%	0%	0%	0%
Romania	10%	16%	8%	10%	19%
Bulgaria	10%	10%	5%	10%	20%
Russia	13–15%	20%	13%	13–15%	20%
Hungary	15%	9%	15%	15%	27%
Poland	Up to 32%	19%	19%	19%	23%
Greece	Up to 44%	22%	5%	15%	24%
Portugal	Up to 48%	21%	28%	28%	23%
Switzerland	Up to 40%	~15%	Up to 35%	0%	8.1%
Israel	Up to 50%	23%	25%	25–33%	17%
Turkey	Up to 40%	25%	10%	Up to 25%	20%
Spain	Up to 47%	25%	Up to 28%	Up to 28%	21%
Italy	Up to 43%	24%	26%	26%	22%
Netherlands	Up to 49.5%	25.8%	31%	31%	21%
Germany	Up to 45%	~30%	25%	25%	19%
France	Up to 45%	25%	30%	30%	20%
Belgium	Up to 50%	25%	30%	30%	21%
Austria	Up to 55%	23%	27.5%	27.5%	20%
Sweden	Up to 57%	20.6%	30%	30%	25%
Norway	Up to 47.4%	22%	37.84%	37.84%	25%
Denmark	Up to 56%	22%	Up to 42%	Up to 42%	25%
United Kingdom	Up to 45%	25%	Up to 39.35%	20–28%	20%
Australia	Up to 45%	30%	Up to 47%	Up to 22.5%	10%
Canada	Up to 53%	26.5%	Up to 39%	Up to 26.5%	5–15%
United States	Up to 37%	21%	Up to 23.8%	Up to 23.8%	0–10%
South Africa	Up to 45%	27%	20%	Up to 18%	15%
India	Up to 42.7%	22–30%	Up to 20%	10–20%	5–28%
Japan	Up to 55%	~30%	20%	20%	10%
China	Up to 45%	25%	20%	20%	13%
Brazil	Up to 27.5%	34%	15%	15–22.5%	~25%
Lebanon	Up to 25%	17%	10%	10%	11%
Jordan	Up to 30%	20%	0%	0%	16%

* Dividends: non-domiciled residents, then domiciled residents. Cyprus CGT applies to Cyprus property and shares of property-rich companies. Other countries' rates are indicative for 2026; ask an adviser before acting on them.

Country comparison guides

All rates and thresholds

Personal income tax
Item	Value	Applies to	Source
Tax-free threshold	€22,000	Individuals' chargeable income	PwC Worldwide Tax Summaries
Band: €0 to €22,000	0%	Chargeable income €0–22,000	PwC Worldwide Tax Summaries
Band: €22,001 to €32,000	20%	Chargeable income €22,001–32,000	PwC Worldwide Tax Summaries
Band: €32,001 to €42,000	25%	Chargeable income €32,001–42,000	PwC Worldwide Tax Summaries
Band: €42,001 to €72,000	30%	Chargeable income €42,001–72,000	PwC Worldwide Tax Summaries
Band: over €72,000	35%	Chargeable income above €72,000	PwC Worldwide Tax Summaries
Second band (20%) ends at	€32,000	Chargeable income	PwC Worldwide Tax Summaries
Third band (25%) ends at	€42,000	Chargeable income	PwC Worldwide Tax Summaries
Fourth band (30%) ends at	€72,000	Chargeable income	PwC Worldwide Tax Summaries
Who must file a personal return	Tax residents aged 25 to 71 at 31 December, even with no income; plus anyone with gross income taxable under Art. 5(1)	Individuals (TD1)	EY Tax Legi, February 2026
Mandatory filing: minimum age	25	Tax residents, at 31 December	EY Tax Legi, February 2026
Mandatory filing: maximum age	71	Tax residents, at 31 December	EY Tax Legi, February 2026

Personal deductions
Item	Value	Applies to	Source
Dependent child deduction	€1,000 first child; €1,250 second; €1,500 third and each further child	Each parent, within the family income caps	PwC – Individual deductions
Family income caps for new deductions	€100,000 (0–2 children); €150,000 (3–4); €200,000 (5+); €40,000 single person	Child, housing, green and insurance deductions	KPMG Cyprus Tax Reform analysis
Rent or housing-loan interest deduction	€2,000	Primary residence; per spouse, partner or single person, within income caps	KPMG Cyprus Tax Reform analysis
Green investment deduction	€1,000	Energy systems, batteries, energy upgrades or EVs for the primary residence; per person	KPMG Cyprus Tax Reform analysis
Home natural-disaster insurance deduction	€500	Per spouse, partner or single person	PwC – Individual deductions
Deductible contributions	Social insurance, GHS, provident and pension funds, approved medical plans and life insurance premiums	Contributions paid by an individual in the tax year. GHS contributions have been deductible since 2019; the 2026 reform (Law 244(I)/2025) kept them	Income Tax Law 118(I)/2002, Article 14(1)(α)–(ε), as replaced by Law 244(I)/2025
Cap on deductible contributions: one-fifth of taxable income	20%	Taxable income before the Article 14 contributions and the Article 14B personal deductions. The one-fifth cap has applied since 2019; the 2026 reform (Law 244(I)/2025) kept it	Income Tax Law 118(I)/2002, Article 14(2), as replaced by Law 244(I)/2025
Deduction from rental income	20%	Gross rental income of individuals	PwC – Individual deductions
Annual capital allowance on buildings	3%	Cost of rented buildings (non-industrial)	PwC – Corporate deductions

Employment exemptions
Item	Value	Applies to	Source
50% employment income exemption	50%	First Cyprus employment from 1 Jan 2022 paying over €55,000 a year	PwC – Income determination
20% employment income exemption	20%, capped at €8,550 a year	First Cyprus employment after 26 Jul 2022	PwC – Income determination

Corporate tax
Item	Value	Applies to	Source
Corporate income tax rate	15%	Cyprus tax-resident companies and permanent establishments	PwC – Corporate taxes
Tax loss carry-forward	7 years	Companies and individuals	PwC – Corporate deductions
Deemed dividend distribution	Abolished for profits from 1 Jan 2026	Cyprus-resident companies	KPMG Cyprus Tax Reform analysis
IP box effective rate	3%	Qualifying IP profits (modified nexus)	IBCCS – Cyprus Tax Reform 2026
IP box deduction on qualifying profits	80%	Qualifying IP profits (modified nexus)	IBCCS – Cyprus Tax Reform 2026
Notional interest deduction reference rate 2026	8.049%	New equity from 1 Jan 2015	KPMG – NID reference rates 2026

SDC
Item	Value	Applies to	Source
SDC on dividends (domiciled residents)	5%	Dividends from 2026 profits	PwC – Personal income
SDC on interest (individuals)	17%	Domiciled resident individuals	EY Tax Legi, February 2026
SDC on rental income	Abolished	Rental income	AGP Law

GHS
Item	Value	Applies to	Source
GHS on dividends, interest and rent	2.65%	Individuals, non-doms included	PwC – Other taxes
GHS: employee	2.65%	Employees	PwC – Other taxes
GHS: employer	2.9%	Employers	PwC – Other taxes
GHS: self-employed	4%	Self-employed	PwC – Other taxes
GHS annual income cap	€180,000	All GHS contributions	PwC – Other taxes

Non-dom
Item	Value	Applies to	Source
Non-dom exemption duration	Until resident 17 of the last 20 years	No Cyprus domicile of origin	PwC – Personal income
Non-dom extension lump sum	€250,000	Deemed-domiciled after 17 of 20 years, no Cyprus domicile of origin	KPMG – Circular 2/2026

Residency
Item	Value	Applies to	Source
183-day rule	183 days	Individuals	PwC – Residence
60-day rule conditions	60+ days in Cyprus; no more than 183 days in any other state; Cyprus business, job or directorship all year; permanent home in Cyprus	Individuals	PwC – Residence

Capital gains
Item	Value	Applies to	Source
Capital gains tax rate	20%	Cyprus property and shares of property-rich companies	PwC – Other taxes
CGT lifetime exemption: main residence	€150,000	Residence used 5+ years	KPMG Cyprus Tax Reform analysis
CGT lifetime exemption: other disposals	€30,000	Individuals	KPMG Cyprus Tax Reform analysis
CGT lifetime exemption: farmland	€50,000	Individual farmers	KPMG Cyprus Tax Reform analysis
Property-rich company threshold	20%	Shares deriving 20%+ of value from Cyprus property	EY Global Tax News 2026-0140

Crypto
Item	Value	Applies to	Source
Crypto disposal tax	8%	Disposals of MiCA crypto-assets (Art. 20E ITL)	KPMG Cyprus Tax Reform analysis

Other taxes
Item	Value	Applies to	Source
Stamp duty	Abolished	Documents signed from 1 Jan 2026	EY Global Tax News 2026-0140

VAT
Item	Value	Applies to	Source
VAT standard rate	19%	Taxable supplies	Tax Department – VAT rates (Συντελεστές Φ.Π.Α.)
VAT reduced rate	9%	Hotel and holiday accommodation; restaurant and catering services; taxis, tourist, excursion and intercity buses; domestic sea passenger transport; non-exempt nursing homes; household PV systems from 16 Oct 2026 (Twelfth Annex)	Tax Department – VAT rates (Συντελεστές Φ.Π.Α.)
VAT reduced rate	5%	Food and non-alcoholic drinks (not soft drinks), medicines and vaccines, scheduled urban and rural buses, hairdressing, renovation and repair of homes at least 3 years old, first primary residence, admission to cultural and sports events, and others (Fifth Annex)	Tax Department – VAT rates (Συντελεστές Φ.Π.Α.)
Temporary 0% VAT list	Children's milk; children's and adult nappies; feminine hygiene products; listed fresh fruit and vegetables	1 Jan–31 Dec 2026	Tax Department announcement, 19 Oct 2026: 0% VAT on basic items extended to 31 Dec 2027 (Κ.Δ.Π. 362/2026)
VAT registration threshold	€15,600	Persons established in Cyprus: taxable supplies above the threshold in the last 12 months, or expected within the next 30 days alone	Tax Department (gov.cy) – Υποχρέωση/Δικαίωμα Εγγραφής στο Μητρώο Φ.Π.Α.
EU distance-sales threshold	€10,000	EU-wide: intra-EU distance sales of goods and telecom, broadcasting and electronic services to consumers (Directive 2006/112/EC art. 59c)	Council Directive (EU) 2017/2455, Art. 2 (new Art. 59c of Directive 2006/112/EC), as deferred by Council Decision (EU) 2020/1109
VAT return frequency and deadline	Quarterly; return and payment by the 10th day after the end of the month following the tax period	VAT-registered persons	Tax Department - Rights and Obligations (Δικαιώματα και Υποχρεώσεις); ΚΔΠ 314/2001 reg. 17
5% VAT on a first residence	5% on first 130 m² if value ≤ €350,000; total ≤ 190 m² and ≤ €475,000, else 19% on all	Primary residence	Tax Department – Φ.Π.Α. και Ακίνητη Ιδιοκτησία; Fifth Annex Table C; N.42(I)/2023; Circular 11/2023
Reduced rate 3%	3%	Books, newspapers and periodicals (print or electronic); audiobooks for disabled persons; wheelchairs, lifts, orthopaedic and prosthetic items, hearing aids; street cleaning, refuse and sewage services; admission to first performances (Fifteenth Annex, art. 18B)	Tax Department – VAT rates (Συντελεστές Φ.Π.Α.)
Temporary 0%: fresh meat and fish	Bovine, pig, sheep/goat, poultry, rabbit/hare meat and edible offal (CN 0201–0204, ex0206, 0207, ex0208); fish (CN 0302–0304); cuttlefish, squid, octopus (ex0307)	Sixth Annex para 25(c)–(d). Meat and fish preparations (marinated, smoked, sausages, souvla/sheftalia, gyros, canned fish, breaded) stay at 5%	Κ.Δ.Π. 354/2026, Ε.Ε. Παρ. ΙΙΙ(Ι) Αρ. 6050, 30.9.2026; Tax Department announcement 02.10.2026
Temporary 0%: bread, milk, coffee, sugar, baby food	Bread (fresh/frozen, excl. pastries and bread with additions); milk (fresh, condensed, UHT, flavoured, plant-based); coffee (excl. ready drinks); sugar; baby foods (excl. snacks)	Sixth Annex para 25(e)	Κ.Δ.Π. 354/2026; Tax Department announcement 02.10.2026
Household electricity (temporary)	5%	Household electricity, meter readings from 1 May 2026 to 31 Mar 2027 (Κ.Δ.Π. 167/2026)	Ο περί ΦΠΑ Νόμος 95(Ι)/2000, consolidated to Κ.Δ.Π. 363/2026 (Tax Department, gov.cy) – Fifth Annex para 18 (Κ.Δ.Π. 167/2026)
Old 200 m² rule: planning permit obtained or applied for by	31 October 2023	Old rule (5% on the first 200 m², no value caps) for buildings whose planning permit was obtained or applied for by 31.10.2023 (art. 63)	VAT Law art. 63 (N.42(I)/2023 as amended by N.109(I)/2026); Tax Department – Φ.Π.Α. και Ακίνητη Ιδιοκτησία
Old 200 m² rule: declaration deadline	15 June 2026	Solemn declarations under art. 63 must be filed within 3 years of 16.6.2023, i.e. by 15.6.2026 (for permit applied for by 31.10.2023 and building licence issued by 31.12.2024)	Tax Department announcement 04.05.2026; VAT Law art. 63
Old 200 m² rule: last day for delayed applications	31 December 2026	Art. 63 applications not examined in time because of planning-authority delays. Covers declarations where the planning permit was applied for or issued by 31.10.2023 and the building licence was issued after 1.1.2025 or will not be issued by 31.12.2026	N.109(I)/2026, Ε.Ε. Παρ. Ι(Ι) Αρ. 5089, 24.4.2026; Tax Department announcement 04.05.2026
Renovation 5%: minimum age of the home	3 years	Renovation and repair of homes at least 3 years from first occupation	Interpretative Circular ΕΕ 199 (29.12.2015); Tax Department – Φ.Π.Α. και Ακίνητη Ιδιοκτησία; Fifth Annex Table B para 11
Renovation 5%: materials share limit	50%	Materials stay at 5% only up to this share of the service value; above it they are at 19%	Interpretative Circular ΕΕ 199; Fifth Annex Table B para 11
Renovation 5%: use of the home	The home must be used as a residence (not necessarily the main and permanent one)	Renovation and repair of private homes	Ο περί ΦΠΑ Νόμος 95(Ι)/2000, consolidated to Κ.Δ.Π. 363/2026 (Tax Department, gov.cy) – Fifth Annex Table B para 11 (as amended by Κ.Δ.Π. 423/2015)
Late VAT return	€100	Fixed penalty per late return, including nil returns (VAT Law art. 45(2))	Tax Department – interest, penalties and additional tax: indirect taxation
Late VAT payment: additional tax	10%	One-off additional tax on VAT paid late (art. 45(3))	Tax Department – interest, penalties and additional tax: indirect taxation
Late VAT payment: interest rate	3.5%	Single public default interest rate a year on unpaid VAT (art. 45(4)); set every year	Tax Department – interest, penalties and additional tax: general information
Late VAT registration	€85	For each completed month of delay in registering (art. 45(1))	Tax Department – interest, penalties and additional tax: indirect taxation
Late VIES recapitulative statement	€50	Per late or missing statement (art. 45B)	Tax Department – interest, penalties and additional tax: indirect taxation
VIES statement corrected late	€15	Failure to correct errors in a statement in time (art. 45A)	Tax Department – interest, penalties and additional tax: indirect taxation
VAT records: keep for	6 years	VAT records and invoices (art. 43); OSS/IOSS records 10 years	Tax Department - Keeping books and records for VAT (Τήρηση Βιβλίων και Αρχείων); VAT Law art. 43 and Tenth Schedule
VAT invoice: issue by	Within 30 days of the time of supply (domestic B2B and other reg. 11 invoices); by the 15th day of the month after the time of supply for intra-EU B2B goods supplies (reg. 88A), excise goods to EU non-taxable persons (reg. 88B) and reverse-charge services	Κ.Δ.Π. 314/2001 reg. 11(5)–(6)	ΚΔΠ 314/2001 (General VAT Regulations, consolidated) reg. 11(5)-(6); Directive 2006/112/EC art. 222
Capital Goods Scheme: immovable property	All immovable property, with no value threshold	Κ.Δ.Π. 314/2001 reg. 76(b)	ΚΔΠ 314/2001 reg. 76(b) (inserted by ΚΔΠ 359/2012)
Capital Goods Scheme: adjustment period, property	10 years	Immovable property (reg. 77(3))	ΚΔΠ 314/2001 reg. 77(3)(b)
Capital Goods Scheme: adjustment period, other assets	5 years	Other capital goods (reg. 77(3))	ΚΔΠ 314/2001 reg. 77(3)(a)
Capital Goods Scheme: movable goods value	€17,086.01	Each movable capital good worth at least this amount (reg. 76)	ΚΔΠ 314/2001 reg. 76(a) (inserted by ΚΔΠ 359/2012)
Notify cessation within	60 days	Notice to the Tax Department when taxable activity ends (First Schedule, Part I, para 11; form VAT 204)	Tax Department (gov.cy) – Λόγοι για Ακύρωση Εγγραφής από το Μητρώο Φ.Π.Α.
Apply to register within	Threshold already exceeded (12-month test): within 30 days from the end of the month in which it was exceeded. Next-30-days test: before the end of that 30-day period.	First Schedule paras 5–6	Tax Department (gov.cy) – Consolidated VAT Law N.95(I)/2000, updated to Κ.Δ.Π. 363/2026 (First Schedule, Part I, paras 5–6)
Voluntary registration	(a) Persons making taxable supplies below the threshold; (b) intending traders who carry on a business and intend to make taxable supplies; (c) persons established in Cyprus that make no taxable supplies but make supplies outside Cyprus that would be taxable if made in Cyprus, exempt supplies under Art. 21(2)(c), or investment-gold supplies under Art. 42A. Persons making only other exempt supplies cannot register.	First Schedule para 10	Tax Department (gov.cy) – Consolidated VAT Law N.95(I)/2000, updated to Κ.Δ.Π. 363/2026 (First Schedule, Part I, paras 9–10)
Intra-EU acquisitions threshold	€10,251.61	Per calendar year, for non-taxable persons and exempt businesses	Tax Department (gov.cy) – Υποχρέωση/Δικαίωμα Εγγραφής στο Μητρώο Φ.Π.Α.
Deregistration threshold	€13,668.81	Taxable supplies expected in the next 12 months	Tax Department (gov.cy) – Λόγοι για Ακύρωση Εγγραφής από το Μητρώο Φ.Π.Α.
IOSS consignment limit	€150	Intrinsic value per consignment of goods imported for EU consumers (Directive art. 369l)	Council Directive (EU) 2017/2455, Art. 2 (Art. 369l of Directive 2006/112/EC), as deferred by Decision (EU) 2020/1109
IOSS return	Monthly; return and payment due by the last day of the month following the tax period. The deadline does not move to the next working day when it falls on a weekend or holiday.	IOSS (import scheme)	Directive 2006/112/EC Arts. 369s and 369v (inserted by Directive (EU) 2017/2455); Tax Department (gov.cy) – Μονοαπευθυντική Θυρίδα (OSS/IOSS)
OSS return	Quarterly; return and payment due by the last day of the month following the quarter (30 Apr, 31 Jul, 31 Oct, 31 Jan). The deadline does not move when it falls on a weekend or holiday.	OSS (Union and non-Union schemes)	Tax Department (gov.cy) – Προθεσμίες (deadline calendar 2026); Directive 2006/112/EC Arts. 369f, 369i (Union) and 364/365 (non-Union), as amended by 2017/2455
VIES recapitulative statement	Monthly; due by the 15th day of the month following the reference month. Corrections are due by the end of the following month.	Intra-EU supplies of goods and services (art. 42Γ(2))	Tax Department (gov.cy) – Consolidated VAT Law N.95(I)/2000, updated to Κ.Δ.Π. 363/2026 (Art. 42Γ(2)); Tax Department VIES FAQ
Intrastat threshold: arrivals	€380,000	Arrivals from other EU states in 2026	Tax Department (gov.cy) – INTRASTAT: Γενικές Πληροφορίες
Intrastat threshold: dispatches	€75,000	Dispatches to other EU states in 2026	Tax Department (gov.cy) – INTRASTAT: Γενικές Πληροφορίες
Intrastat declaration	Monthly; due by the 10th day after the end of the reference month (moves to the next working day if it falls on a weekend or holiday). Corrections are due within 2 months of the end of the reference period.	Filed with the Tax Department	Tax Department (gov.cy) – INTRASTAT: Γενικές Πληροφορίες
VAT number format	'CY' + 8 digits + 1 check letter (11 characters including the prefix). New Tax Identification Numbers issued since March 2023 start with 6.	Cyprus VAT identification numbers	Directive 2006/112/EC Art. 215 (eur-lex); Tax Department – Συχνές Ερωτήσεις Εγγραφής στο Φορολογικό Μητρώο

Social insurance
Item	Value	Applies to	Source
Social insurance: employee	8.8%	Up to maximum insurable earnings	KPMG – Max insurable earnings 2026
Social insurance: employer	8.8%	Employers	KPMG – Max insurable earnings 2026
Social insurance: self-employed	16.6%	Self-employed	KPMG – Max insurable earnings 2026
Maximum insurable earnings 2026	€68,904	Annual (€1,325 a week / €5,742 a month)	KPMG – Max insurable earnings 2026
Social Cohesion Fund	2%	Employer, uncapped	KPMG
Redundancy Fund	1.2%	Employer, capped	KPMG
Human Resource Development Fund	0.5%	Employer, capped	KPMG

Deadlines
Item	Value	Applies to	Source
Personal return deadline, tax year 2025	31 October 2026	Employees, pensioners, self-employed without audited accounts	Andersen Cyprus – 2025 returns
Provisional tax	Declaration and 1st instalment by 31 July; 2nd instalment by 31 December	Companies and individuals with untaxed income	Andersen Tax Calendar 2026
Corporate return deadline, tax year 2025	31 March 2027	Companies	AccountsOS

Property
Item	Value	Applies to	Source
Property transfer fees	3% to €85,000; 5% €85,001–170,000; 8% above; halved if no VAT; none if VAT applies	Buyer, on assessed value	PwC – Other taxes

Company
Item	Value	Applies to	Source
€350 annual company levy	Abolished from 2024	Cyprus companies	Sovereign Group
Audited accounts threshold, self-employed	€120,000	Self-employed annual turnover	KPMG Cyprus Tax Reform analysis

Penalties
Item	Value	Applies to	Source
Late filing penalty	€150 individuals; €250 entities up to €1m; €500 larger	Failures from 1 Jan 2026	Cyprus Mail, 12 Feb 2026
Late filing penalty, individuals	€150	Failures from 1 Jan 2026	Cyprus Mail, 12 Feb 2026
Late filing penalty, individuals, after a missed Commissioner deadline	€300	Failures from 1 Jan 2026	Cyprus Mail, 12 Feb 2026
Continuing late filing penalty per day	€20	Failures from 1 Jan 2026	Cyprus Mail, 12 Feb 2026
Late payment additional tax	5%, plus 5% more if unpaid 2 months after deadline	Unpaid tax	KPMG Cyprus Tax Reform analysis
Interest on overdue tax, 2026	3.5%	Tax overdue from 1 Jan 2026	Tax Department – interest, penalties and additional tax: general information

What changed

Changes to the figures above, newest first.

Date	Item	Was	Now
26 October 2026	VAT return frequency and deadline	Quarterly; 10th day of the second month after quarter-end	Quarterly; return and payment by the 10th day after the end of the month following the tax period
26 October 2026	Temporary 0% VAT list	Basic foods, children's milk, feminine hygiene, diapers	Children's milk; children's and adult nappies; feminine hygiene products; listed fresh fruit and vegetables
16 October 2026	Who must file a personal return	Gross income above €19,500	Tax residents aged 25 to 71 at 31 December, even with no income; plus anyone with gross income taxable under Art. 5(1)
16 October 2026	Personal return deadline, tax year 2025	2026-07-31	2026-10-31
1 January 2026	Stamp duty	0.15%/0.2%, capped at €20,000	Abolished
1 January 2026	Maximum insurable earnings 2026	66,612 (2025)	€68,904
1 January 2026	SDC on rental income	3% on 75% of gross rent	Abolished
1 January 2026	SDC on dividends (domiciled residents)	17%	5%
1 January 2026	60-day rule conditions	Also: not tax resident in any other state	60+ days in Cyprus; no more than 183 days in any other state; Cyprus business, job or directorship all year; permanent home in Cyprus
1 January 2026	Tax-free threshold	19,500	€22,000
1 January 2026	Band: over €72,000	35% above €60,000	35%
1 January 2026	Band: €42,001 to €72,000	30% on €36,301–60,000	30%
1 January 2026	Band: €32,001 to €42,000	25% on €28,001–36,300	25%
1 January 2026	Band: €22,001 to €32,000	20% on €19,501–28,000	20%
1 January 2026	Band: €0 to €22,000	0% on €0–19,500	0%
1 January 2026	Late filing penalty, individuals, after a missed Commissioner deadline	€200–300	€300
1 January 2026	Late filing penalty, individuals	€100	€150
1 January 2026	Continuing late filing penalty per day	up to €17 on conviction	€20
1 January 2026	Late filing penalty	€100–200	€150 individuals; €250 entities up to €1m; €500 larger
1 January 2026	Tax loss carry-forward	5 years	7 years
1 January 2026	IP box effective rate	2.5%	3%
1 January 2026	Interest on overdue tax, 2026	5.5%	3.5%
1 January 2026	Deemed dividend distribution	17% SDC on 70% of undistributed profits after 2 years	Abolished for profits from 1 Jan 2026
1 January 2026	Crypto disposal tax	Normal rates	8%
1 January 2026	Corporate income tax rate	12.5%	15%
1 January 2026	Property-rich company threshold	50%	20%
1 January 2026	CGT lifetime exemption: main residence	85,430	€150,000
1 January 2026	CGT lifetime exemption: other disposals	17,086	€30,000
1 January 2026	CGT lifetime exemption: farmland	25,629	€50,000
1 January 2026	Audited accounts threshold, self-employed	70,000	€120,000
1 January 2024	Social insurance: self-employed	15.6%	16.6%
1 January 2024	Social insurance: employer	8.3%	8.8%
1 January 2024	Social insurance: employee	8.3%	8.8%
1 January 2024	€350 annual company levy	350	Abolished from 2024
16 June 2023	5% VAT on a first residence	5% on first 200 m², no limits	5% on first 130 m² if value ≤ €350,000; total ≤ 190 m² and ≤ €475,000, else 19% on all

Sources

Each figure links to its source in the table above. We check them weekly against the Tax Department, the Official Gazette, the Ministry of Finance, Social Insurance Services, GESY and EUR-Lex.

General information, not tax advice. Book a consultation for advice on your situation. Book a consultation