Cyprus Personal Income Tax
Detailed personal income tax rates and rules for Cyprus in 2026.
Cyprus applies progressive income tax rates from 0% to 35%, with a generous €19,500 tax-free allowance. The non-domicile regime exempts foreign dividends and interest income from personal tax for up to 17 years. A 50% income tax exemption applies to new residents earning over €55,000 (previously €100,000) for up to 17 years, and a 20% exemption (up to €8,550) is available for income from employment in Cyprus.
| Income Range (EUR) | Tax Rate |
|---|---|
| €0 – €20K | 0% |
| €20K – €28K | 20% |
| €28K – €36K | 25% |
| €36K – €60K | 30% |
| €60K+ | 35% |
Filing Deadline
July 31 for electronic submission; September 30 for self-employed
Residency Rule
An individual is a Cyprus tax resident if they spend more than 183 days in Cyprus. Alternatively, the '60-day rule' applies for individuals who spend at least 60 days in Cyprus and do not reside or are tax resident elsewhere for more than 183 days, have business/employment in Cyprus, and maintain a permanent residence in Cyprus. Residents are taxed on worldwide income (subject to non-dom exemptions).
Additional Notes
The non-domicile (non-dom) regime exempts qualifying individuals from Special Defence Contribution (SDC) on dividends, interest, and rental income from foreign sources for 17 years. This effectively makes foreign passive income tax-free for non-dom residents. Cyprus also does not tax foreign pension income that exceeds €3,420 at only 5%.
How Cyprus Income Tax compares
Cyprus’s top personal income tax rate of 35% is the 59th highest of 203 countries TaxAtlas tracks, above the global average of 27.7% and Europe’s regional average of 32%.
