Taxation of Cyprus investment income
Taxation of Cyprus investment income
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Corporate Income Tax (CIT)
All companies that are tax residents of Cyprus are taxed on their income accrued or derived from all sources in Cyprus and abroad.
The standard CIT rate in Cyprus is 12.5%.
Interest received by companies in the ordinary course of their business, including interest closely connected to the ordinary course of business, is also considered as ‘active’ interest income and is only taxed under CIT (after deducting allowable expenses) at the standard CIT rate of 12.5%.
OECD AND THE EU INITIATIVE TO SET A MINIMUM TAX RATE OF 15% FOR ALL EU...
OECD AND THE EU INITIATIVE TO SET A MINIMUM TAX RATE OF 15% FOR ALL EU...
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In the midst of extensive tax reforms, the European Union, including Cyprus, is leading the way in a notable change in corporate taxation. The European Commission's enforcement of a minimum 15% tax rate for multinational companies earning over €750 million annually, starting from January 1, 2024, signifies a crucial moment....