ARTICLE · 02 FEBRUARY 2017

Employee Special Contribution Abolished

Costas Tsielepis & Co Ltd

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The Special Contribution on salaries was abolished as at 1 January 2017.

CyprusTax

Alexis Tsielepis (Chelco VAT)

Nicolas Papapanayiotou

10 January 2017 – The Special Contribution on salaries was abolished as at 1 January 2017.

The Special Contribution levied on the gross monthly earnings for salary-based employees and the self-employed and private sector pensioners rendered in Cyprus for the years 2014 to 2016 is shown in the table below.

Gross monthly remuneration	Special Contribution
€	%
Up to 1.500	0
1.501 – 2.500	2,5 (min. €10)
2.501 – 3.500	3,0
3.501 and over	3,5

The Special Contribution, which was first introduced on 1 January 2012, was calculated on the total gross earnings with no restriction or maximum limit on the amount of the Special Contribution.

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