Cyprus 60 Day Tax Rule Explained
Understanding the Cyprus 60-day tax rule and how it can benefit international entrepreneurs and investors.
The Cyprus 60-day tax rule is a unique provision that allows individuals to become tax residents in Cyprus by spending as little as 60 days per year in the country, provided certain conditions are met.
To qualify under the 60-day rule, an individual must not be tax resident in any other country, must not spend more than 183 days in any other single country, must maintain a permanent residence in Cyprus (owned or rented), and must have business interests in Cyprus.
This rule is particularly attractive for digital nomads, international entrepreneurs, and investors who spend their time across multiple jurisdictions but want to establish a clear tax residence in a favorable location.
Cyprus offers attractive tax benefits including a 15% corporate tax rate, no tax on dividends for certain categories of investors, and various exemptions for foreign-sourced income and capital gains.
The 60-day rule provides an alternative to the standard 183-day rule used in most countries, offering greater flexibility for internationally mobile individuals while still providing the benefits of Cyprus tax residency.