Exemptions

DetailsIndividualsOther Persons
Income from interest. Interest accruing to any person from the ordinary carrying on of any business including any interest closely connected with the ordinary carrying on of the business, is not exempted, but included in the calculation of profit100%50%
Dividends100%100%
Remuneration from any office or employment exercised in Cyprus by an individual who was resident outside Cyprus before the commencement of his employment. This exemption applies for a period of three years commencing from 1 January following the year of employment’s commencement20% or5.000(lower of) -
Profit from the sale of securities100%100%
Profit from a permanent establishment situated outside Cyprus, unless the permanent establishment - directly or indirectly - engages more than 50% in activities, which lead to investment income, and the foreign tax burden is substantially lower than the tax burden in Cyprus (practically < 5% headline tax)100%100%
Remuneration from the tendering outside Cyprus of salaried services for a total aggregate period in the year of assessment of more than 90 days to an employer not resident in Cyprus100% -
Deposits with the Cyprus Housing Finance Corporation (up to 25% of total gross income for schemes which started up to 30 April 2003)40% -
Lump sum payments on retirement or pension’s commutation, or a gratuity on death.100% -
Capital sums from life insurance or approved provident funds100% -
Income from scholarship or other educational endowment100% -
Income of any religious, charitable or educational institution of a public character -100%
Income of any co-operative society in respect of transactions with its members -100%
Emoluments from an institution’s foreign officers exercising educational, cultural or scientific function100% -
Emoluments of foreign diplomatic and consular representatives, if not citizens of Cyprus100% -
Income of any local authority -100%
Income of any approved pension or provident fund or any insurance fund -100%
Income of any company formed exclusively for the purpose of promoting art, science or sport -100%
Pensions and special grants under special legislation100% -
Widow’s pensions100% -