On 19 June 2020, the Cyprus House of Representatives reportedly approved a law for the implementation of the remaining measures of the EU Anti-Tax Avoidance Directive (ATAD1 and ATAD2), including the rules on exit taxation and hybrid mismatches.
Exit Tax Rules
The exit tax rules provide that taxpayers will be subject to tax on capital gains calculated at an amount equal to the market value of transferred assets, at the time of exit of the assets, less their value for tax purposes, in the f…