Cyprus has introduced a new 25% tax exemption incentive for non-resident individuals that return to work or operate a self-employed business in Cyprus. The incentive was introduced through Law No. 17(I) of 2026, which was published in the Official Gazette on 6 March 2026 and is deemed to have entered into force on 1 January 2025.
The 25% tax exemption applies to annual employment income or business income, with a maximum exemption of EUR 25,000 per year. To qualify, individuals must have b…