Why Cyprus .

Cyprus is a cutting-edge, cosmopolitan, transparent business centre with opportunities for investment in an extensive range of sectors. The country also offers incentives and policies that encourage businesses and investors to choose Cyprus as their preferred place for doing business.

Real Estate .

The Cyprus real estate market proved to be particularly resilient during 2023, with the total value of transactions reaching €5,5bn, maintaining the record-high levels recorded in 2022. Demand in the residential sector continues to drive the market, particularly fuelled by the sustained growth in foreign demand.

Tax Benefits .

One of the most attractive factors for many people to invest in Cyprus, is the low corporate tax rate. The corporate tax rate is 12.5%, one of the lowest in the European Union and fully compliant with EU and OECD regulations. The benefits extend beyond the low tax rate. Dividend revenue proceeds from the sale of shares, bonds, and other financial instruments, foreign exchange (FX) dividends, and earnings from Overseas Permanent Establishments (PEs) will all benefit from tax exemptions.

Competitive cost of living .

Cyprus secures a very competitive 36th place in the Numbeo Cost of Living Index by Country 2020, offering expats a very attractive relocation destination in terms of enjoying a high-quality lifestyle at a very affordable cost for housing, transportation, education, healthcare and leisure.

Investment Funds .

Cyprus, being one of the first EU countries to have transposed the Alternative Investment Fund Managers Directive into national legislation and, coupled with the enactment of the Cyprus Alternative Investment Funds Law, the island is fast becoming a leading investment fund centre in Europe.

Tourism and Hospitality .

Cyprus’ tourism sector has always been a major contributor to the country’ s economy. The tourism and hospitality industry is one of the largest economic sectors in Cyprus, with a GDP contribution close to 15%. Being an established and resilient tourist destination, Cyprus has maintained the interest of leading investment groups and hotel chains to expand their footprint and invest in the island. There are major projects underway such as marinas, golf resorts, hotels and luxury resorts and the new integrated Casino Resort have marked a considerable development into tourism related investment.

Renewable Energy .

It is highly important for Cyprus to be aligned with EU policy regarding the reduction of greenhouse gas emissions of power generation. It is therefore expected for Cyprus to experience considerable growth in the development of Renewable Energy Sources (“RES”), in the coming years given the impending liberalisation of the electricity market.

Entrepreneurship and Innovation .

Innovative research, a rapidly growing startup ecosystem, a highly educated and experienced pool of human talent and a range of incentives and development programmes and grants render Cyprus a perfect choice to start and scale companies.

Shipping .

Cyprus shipping is able to capitalising on its strategic location, the country’s attractive legislative and operational shipping infrastructure, a solid and efficient tax framework and an excellent communications network.

Filming .

Invest Cyprus undertook the responsibility of developing the film industry and promoting Cyprus as a unique film destination. As the government’s dedicated partner for attracting investment into the island, Invest Cyprus, serves as a one-stop shop for film production and a liaison between foreign producers and local professionals. Invest Cyprus works to attract film productions and investments in infrastructure. It also chairs the Cyprus Film Commission that manages the Cyprus Film Scheme, giving the opportunity to production companies that opt to film in Cyprus to choose between cash rebate of up to 40%, tax discounts on investments made on equipment and infrastructure, and VAT returns on expenditure in scope.

First-class Healthcare .

Quality healthcare is provided both through the National Healthcare System, as well as private healthcare facilities with state-of-the-art medical services, that offer the highest quality in patient care, while the country has been ranked 21st out of 169 countries in the latest Bloomberg Healthiest Country Index.

Higher Education .

Cyprus offers a large variety of advanced and fully accredited undergraduate and postgraduate programmes, at affordable costs. With a booming Higher Education sector comprised of three public and seven private universities and more than 40 public and private higher education institutions enjoying international academic and scientific recognition, the island attracts thousands of international students every year. Research is widely supported within academic institutions, with Cyprus holding the highest absorption rate of EU research grants.

Technology Hub .

Cyprus has been growing as a technology hub over the recent years, with an increasing number of ICT companies setting up their regional headquarters in the country or treating Cyprus as their hub for software development, systems integration, testing services, research and development and back offices.

Crystal-clear Waters .

Cyprus has been awarded 69 Blue Flag beaches, the highest per capita award in the EU (Eurostat), and has been consistently ranked for its crystal-clear waters and excellent water quality within the EU, receiving a perfect score of 100% at 112 swimming spots around the island according to the European Environment Agency’s (EEA) latest report.

Rich Cultural Heritage .

Cyprus is an island with a rich history, heritage, and culture, harmoniously blending influences from both Eastern and Western civilizations, going back more than 10,000 years, and has developed from a stone-age settlement to a modern and thriving European Union State.

Strategic Location .

The European Island of Cyprus lies at the crossroads of Europe, the Middle East, Asia, and Africa. The layout of this island makes it an ideal location for doing business with all continents, and one of the most significant reasons to invest in Cyprus.

Cyprus Permanent Residency .

Acquiring property in Cyprus, whether as an investment or as a second home, has long been a popular option for foreign investors seeking Cypriot Permanent Residency. A mix of great quality of life, year-round sunshine and natural beauty, ease of doing business, and investment incentives make investing an appealing experience in terms of both living and working. Cyprus property is becoming increasingly popular in the international market, including investment funds, and is considered to provide exceptional value for money, making it an appealing investment option.

Cyprus Permanent Residency by Investment .

Foreigners who have invested at least €300,000 in real estate are eligible for residency. The funds could be used to invest in commercial or residential real estate in a new building. The foreigner must also confirm an annual income of at least €50,000 for the chief applicant, €15,000 for the spouse, and €10,000 for each child in the application. Cyprus Permanent Residency does not need to be renewed; it is valid permanently. To maintain the status, one needs to visit Cyprus twice a year. After five years, investors can apply for citizenship.

Guaranteed Rental Yield .

Foreigners with residence permits can rent out real estate long-term. They must get a licence from the Ministry of Tourism.

The rental rate depends on the region, the lease term, and the property area. One-bedroom apartments can be rented for an average of €1,400 in the centre of Limassol, €840 in Larnaca, and €750 in Pafos. The average rental yield in Cyprus is 9%.

Landlords pay rent income tax on a progressive scale of 20 to 35%. No tax is levied if the property brings the owner less than €19,500 per year.

Steps to acquire Cyprus Permanent Residency .

1. Select a property of your choice and invest a minimum of €300,000 + VAT.

2. Sign the purchase agreement and pay the initial payment.

3. Submit required residency documents.

4. Cyprus Permanent Residency is issued within 6 months.

5. Visit Cyprus within one year to obtain your permit and digital ID cards.

6. Applicants and dependents should visit Cyprus at least once every two years.

Non-Domiciled Tax Residency .

Become a non-dom tax resident of Cyprus by staying in Cyprus for at least 60 days per year, while not being tax resident of any other country. The Cyprus Non-Dom Tax Status provides for exemption from tax on dividends and interest for a period of 17 years.

The Cyprus Non-Dom Tax Status .

While many high-tax countries further increase their capital gain tax on dividends, and even extend tax liability to unrealised income, Cyprus provides tax exemption on income from dividends and interest received for a period of 17 years. An individual person enjoys the Cyprus Non-Domiciled Status if he or she is tax resident of Cyprus and has not been a tax resident of Cyprus as per the Income Tax Law for a period of 20 consecutive years prior to the introduction of the law (i.e. prior to 16 July 2015). Benefits of the Cyprus Non-Dom Tax Status by the 60-Day Rule:

No tax liability on income from dividends, from Cyprus or any other country
No tax liability on income from interest, from Cyprus or any other country

Conditions .

Any individual person can become a tax resident of Cyprus and can benefit from the Cyprus Non-Dom Tax Status by the 60-Day Rule if all the below conditions are complied with:

The person has not been a tax resident of Cyprus as per the Income Tax Law for a period of 20 consecutive years prior to the introduction of the law (i.e. prior to 16 July 2015).
The person stays at least 60 full days in Cyprus, during each calendar year. The days are counted in aggregation.
The person must rent (or buy) a house or apartment in his or her name. In case of renting, the dwelling must be rented on a 12-month basis for each calendar year.
The person must demonstrate “its economic interest in Cyprus,” as the law stipulates. Acceptable forms of demonstrating the economic interest in Cyprus are typically employment by a Cyprus company, or being significant shareholder a company in Cyprus and being appointed as the company’s director, or one of its directors.
The person must be insured in Cyprus.
The person must be registered as a resident of Cyprus with the Civil Registry and Migration Department.
The person must not be tax resident of any other country.
The person must not stay 183 days or more in any other country and must be ready to prove that on an annual basis.

Other Useful Information .

While the Cyprus Non-Dom Tax Status provides for exemption from tax on income from dividends and interest, all other types of income (e.g. salaries etc.) are subject to applicable tax.
Dividends and interest received is subject 2.65% General Healthcare System Contributions (GESY, GHS), which is payable also by persons benefiting from the Cyprus Non-Dom Tax Status. However, the income from dividends and interest subject to General Healthcare System Contributions is capped at €180.000 per year, resulting in a maximum annual amount of contribution of €4,770; i.e. annual dividends and interest received above the threshold is not subject to the contribution.
The threshold is decided on an annual basis. The threshold for 2022 was 2.65%, and it has been reconfirmed at the same level for 2023.
Income from the disposal of securities in its widest sense (shares, bonds, tradable contracts etc.) are not subject to tax in Cyprus. However, 2.65% General Healthcare System Contributions are to be paid.
While EU citizens do not need any kind of permission to become a resident of Cyprus, Cyprus residency for non-EU citizens is subject to conditions. Please contact us if you wish advice on this matter.

Cyprus Headquartering .

Established and growing businesses use Cyprus as a location for their corporate headquarters. The island provides a solid environment, with a well-educated and globally minded workforce, close access to businesses, services, and transportation, a low-cost structure, and potential for expansion. Discover why Cyprus is a popular alternative for relocating your business headquarters, as well as how Cyprus Signature Estates may provide you with an excellent opportunity to observe your strategy take shape.

Why relocate your Business Headquarters to Cyprus .

Cyprus provides attractive options for businesses and individuals for relocation and headquartering. The island boasts a wide range of services that make starting and running a business an easy task to implement, with low setup costs. The business landscape and economic model of the island offers a variety of industries to engage with, including banking and financial services, investment funds, shipping, tourism, health and wellness, real estate, startups and innovation, as well as energy.

Your one-stop-shop solution .

Open any business in Cyprus within 30 days.
Acquire residence and employment permits in Cyprus.
Employment of third country nationals allowed.
Acquisition of Cypriot Citizenship.
Tax benefits and exemptions.
Digital Nomad / Freelance Visa.

Cyprus Property Buying Process .

Cyprus has long been regarded as one of the best property choices for foreign buyers. Many factors contribute to foreigners' ongoing desire for property, including the comparatively low cost of living, excellent weather, high quality of life, beautiful landscapes, and Blue-flag beaches. Cyprus is frequently considered as one of the world's safest and greatest relocation choices.

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8 Simple Steps to Buying Property in Cyprus .

Start by defining why you want to purchase property in Cyprus, and what type of property suits your needs.
Take time to research the market, including property values, preferred areas, and desirable amenities.
Set a realistic budget, factoring in peripheral costs such as lawyer fees, property taxes, and maintenance costs.
Enlist the help of local real estate agents or experts to help you locate potential properties and manage negotiations.
Organise a property viewing. Take the opportunity to thoroughly inspect the property and the surrounding area.
Once you have settled on a property, take the necessary legal steps. Hire a lawyer, apply for necessary permissions, and prepare to sign your contract.
Reduced VAT application (If applicable).
Payments and property delivery.