Also in the news...
The UK has introduced a points-based immigration system.
Find out what you need to do to prepare for making declarations on the Customs Declaration Service.
If youíre setting up a new online business, having a user-friendly website and sound SEO strategy thatís tailored to your target market is important. And if youíre targeting British consumers, there are a few SEO boxes you can tick to ensure you rank well on UK-based searches and drive the right traffic back to your website.
Find out whether you're established in the UK for customs purposes.
What UK goods vehicle operators need to do to carry out international road haulage.
Cyprus Tax Residence status for individuals in 60 days
The Parliament of Cyprus has approved by common consent the proposal of amending the rules for determining tax residency of individuals in Cyprus.
Under the currently existing (to be revised) law individuals were considered as tax resident in Cyprus if they were physically present for at least 183 days per year.
According to the new conditions an individual is considered as Cyprus Tax Resident if the following three criteria are cumulatively met:
- He/she remains in Cyprus for at least 60 days in the year of assessment.
- He/she carries out any business in Cyprus; and/or works in Cyprus and/or holds an office in a company which is tax resident in Cyprus during the tax year.
- He/she maintains a permanent residence in Cyprus (owned or rented).
In order to receive Cyprus tax residency all of the above-mentioned conditions must be satisfied and the individual shall not be tax resident in any other country during the year of assessment and shall not stay in any other country for a period exceeding 183 days in total in the same tax year.
It is further clarified that an individual who collectively fulfils the above conditions is not considered as tax resident of Cyprus in the tax year, if in that year the exercise of any business activity and/or employment in Cyprus and/or the holding of an office to a Cyprus tax resident have ceased.
For calculating the days of presence in Cyprus:
- The day of arrival to Cyprus is considered as a day in Cyprus.
- The day of departure from Cyprus is considered as a day outside of Cyprus.
- The arrival in Cyprus and the departure from Cyprus on the same day is considered as one day in Cyprus.
- The departure from Cyprus and the return to Cyprus on the same day is considered as a day out of Cyprus.
Under the new provisions an individual who is not tax resident in any other country in the same tax year, will be taxed only on income arising from the business activities exercised in Cyprus. In addition, individuals who are tax residents in Cyprus, but not domiciled in Cyprus will be exempt from special defense contribution levied on dividends, interest and rental income.
Furthermore, it is noted that earnings arising from employment in excess of Euro 100,000 an individual is allowed for an exemption from tax of 50% of the salary for 10 years.
Shanda Consult and its experienced team can assist you with the procedures of obtaining Cyprus tax residency status. For more information, please do not hesitate to contact us.