Tax Update: Cyprus and Switzerland sign new agreement for the avoidance of double taxation (DTA)

On the 25.07.2014 Cyprus and Switzerland signed an avoidance of double taxation agreement and relevant protocol. A Finance Ministry press release said, that the new agreement will contribute to further developing trade and financial relations between the two countries as well as with other countries. The ministry further stated that maintaining, updating and signing new…

Tax Law Update: Changes in Cyprus VAT rates

Following the enactment of Law 167(I)/2012 by the Cyprus House of Parliament, as from the 13.01.2014, the standard rate of VAT has increased from 18% to 19%. With regards to reduced rate VAT, this has increased,as from 01.01.2014, from the current rate of 8% to 9%. The reduced rates of 5% and 0% VAT have…

Tax Law Update: Special Defence Contribution 2013

Cyprus tax residents are liable to Special Defence Contribution (SDC) as follows: 1. Dividends Dividends paid by a Cyprus tax resident company to a Cyprus tax resident individual are paid net of 20% withholding SDC. Dividends paid by a Cyprus tax resident company to companies or to individuals who are not Cyprus tax residents are…