Cyprus in general has low tax rates but also offers a great tax residency-based system for foreign individuals. In an effort to make the system more competitive and even more attractive to foreign investors, the Cyprus Government introduced the ’60-day rule’ and the “non- domicile status”.
the individual stays in Cyprus for at least 60 days in the tax year;
do not reside in any other single state for a period exceeding 183 days;
is not a tax residence in any other country;
exercises a business and/or is employed in Cyprus and/or holds an office with a Cyprus tax resident company at any time during the tax year;
maintains (by owning or leasing) a permanent home in Cyprus.
the tax payable by a Cyprus resident non-domiciled on dividend income is 0%;
the tax payable by a Cyprus resident non-domiciled on interest income is 0%;
the rental income will only be subject to income tax at the standard rates.