The aforementioned plan intends to define a single point of contact for companies while promoting the service facilitation, expansion and simplification of the existing policy, digitization of procedures, and the existence of an online platform.

The action plan provides relevant information on:

1. Transformation of the fast–track Business Activation Mechanism (BUSINESS FACILITATION UNIT)
2. New policy for employing third-country nationals in companies/businesses of foreign interests operating in the Republic of Cyprus or companies/businesses of foreign interests that intend to operate in Cyprus
3. Family reunification right of third-country nationals who applied with the Business Facilitation Unit
4. Simplification and acceleration of the process of granting work permits  (Category E – Long-term resident status) 
5. Issuance of Digital Nomad Visa
6. Expansion of the tax exemption applicable to employees in the Republic (assuming that they were non-residents in the Republic before starting their employment for a period of 17 years)
7. Extension of tax exemption for investment in innovative companies
8. Increased (compared to the actual) tax deduction for research and development costs
9. Naturalization

Generally, Cyprus has been among the most attractive investment destinations for several years now, mainly due to its straightforward legal and regulatory framework and favourable tax regime, which provides a wide range of advantages and incentives to legal entities and natural persons.

In particular, over the years, international investors have demonstrated interest in the sectors of tourism, shipping, energy, technology, investment funds, real estate and construction.

Of course, it is very important to mention that among the essential factors that have contributed significantly to the successful presentation of Cyprus as an investment destination is its strong presence in foreign markets, the systematic development of Cyprus as a friendly investment destination, the fact that it is a European member state and Member of the Eurozone, as well as the highly trained human resource capital.

To read in more detail the action plan for attracting companies to operate and/or expand their activities in Cyprus, follow the provided link.

ACTION PLAN DOWNLOAD

To find out additional information about Cyprus tax insights, its benefits and incentives to legal entities and natural persons, get in contact with us or book your meeting at one of our Cyprus offices locations in Limassol, Paphos and Nicosia.