Picture of M. Paraschou Law

M. Paraschou Law

Working in Cyprus: Third Country National Employees

The Cyprus Government introduced further immigration and tax incentives to encourage businesses to relocate to Cyprus.

Naturalisation (Citizenship)

Third Country Nationals employed by Cyprus Companies now have the right to apply for Naturalisation (Cyprus citizenship) after 5 years of residing and working in Cyprus (instead of 7 years, as used to be the case)

Furthermore, Third Country National Employees who hold a recognised certificate of very good knowledge of the Greek language may apply for naturalization after only 4 years of living in Cyprus.

Tax Incentives

The following tax incentives were also introduced: 

a)    Exemption of 50% from Personal Income Tax for new employees receiving a gross annual salary of at least €55.000. The exemption applies for a period of 10 years (previously, this exception was only granted to employees with a gross annual salary of €100.000).

This exemption will also be granted to TCN employees currently employed in Cyprus, receiving a gross annual remuneration between €55.000 and €100.000.

b)    Exemption of 50% from Personal Income Tax to existing employees with employment remuneration of €100.000 and above for a period of 17 years (extended from an initial period of 10 years). 

These new incentives are extremely important for individuals who also receive part of their remuneration in the form of dividend payments or who also receive dividends from other companies/investments, as they may be combined with the current incentives for Non-Domiciled Tax Residents.

If you wish to receive our emails in relation to the above and our Newsletter in the future, please fill out the below ‘Contact Us’ form.

Share this post

Contact Us

Receive the latest news

Subscribe to our newsletter

Sign up for the monthly newsletter and never miss an update.