ARTICLE · 31 MAY 2016

Living In Cyprus: A ScrumpTAXious Proposition

Costas Tsielepis & Co Ltd

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Cyprus has always been an attractive tourist destination, as well as a great place to relocate and call home.

CyprusTax

Alexis Tsielepis (Chelco VAT)

Nicolas Papapanayiotou

Cyprus has always been an attractive tourist destination, as well as a great place to relocate and call home. Being family and business friendly, it has so far won over the hearts of over 180.000 foreign nationals who live and work on the island, making up 22% of the country's total population.

Now, Cyprus has further reinforced another aspect of its allure: that of personal taxation.

Having recently adopted highly attractive domicile provisions, the island aspires to also become an ideal country for private domiciliation.

Below is an analysis of the reasons why.

1. TAX RESIDENCY AND DOMICILE

The key to understanding personal taxation in Cyprus lies with the important concepts of 'tax residency' and 'domicile'.

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