Cyprus Capital Gains Tax 2026: Assessing a Property or Share Sale

Identify the asset and the tax

Cyprus capital gains tax under Law 52/1980 applies at 20% to chargeable gains within its property-based scope. Establish whether the transaction falls under this law before calculating a saving or relying on a securities exemption.

An asset falling outside property CGT is not necessarily free of all taxes. Income tax, the separate crypto regime, foreign taxes and transaction-specific rules require their own assessment.

Direct property and company shares

Do not use the former indirect threshold or a shorthand “mainly property” test. Obtain a group chart and defensible property and share valuations. Article 9 contains specific proceeds rules for share disposals; the full share-sale price is not automatically the property gain.

• Cyprus immovable property is within scope, including relevant sale agreements.
• Shares in a company that directly owns Cyprus immovable property are within the statutory definition; there is no general 50% property-value threshold for this direct-ownership category.
• For shares in companies participating directly or indirectly in property-owning companies, the definition uses at least 20% of the market value of the shares derived from Cyprus immovable property. Liabilities are disregarded when applying this ratio.

Build the calculation from evidence

For an illustration only, a €100,000 gain after the relevant cost and indexation adjustments, with the full €30,000 general individual exemption available, leaves €70,000 chargeable and €14,000 CGT. A company cannot claim that individual exemption. Other reliefs, prior utilisation and valuation adjustments would change this example.

1. 1Identify the disposal date, ownership history and any previous tax treatment.
2. 2Establish proceeds under the statutory valuation rules, including related-party or share-sale adjustments where relevant.
3. 3Reconcile the applicable cost base, supported expenditure and statutory inflation adjustment. Check historical valuation rules for older property.
4. 4Review available property losses, specific exemptions and remaining individual relief.
5. 5Apply 20% to the resulting chargeable gain and confirm filing and payment obligations before the transfer.

Individual relief requires an eligibility check

Article 5 provides a €30,000 general individual allowance, €50,000 for qualifying agricultural-land disposals by a person whose main occupation is farming, and €150,000 for a qualifying main residence. These are not annual deductions. Previous utilisation and the restriction on combining reliefs must be reviewed.

The residence conditions include the required occupation period, land-area limit and timing after occupation ends. The companion 2026 exemptions guide focuses on those conditions and the special acquisition-window relief.

Listed shares and other tax regimes

Article 5 distinguishes shares listed on a regulated market of a recognised exchange from those listed on a non-regulated market. The latter have a €50,000 aggregate annual disposal-value condition and a specific grandfathering provision for qualifying holdings at 31 December 2025. Do not assume every listed security has identical treatment.

Crypto disposal gains need a separate assessment under Income Tax Law Article 20E. Calling a token an investment or a security does not establish a zero-tax outcome.

Non-dom status concerns Special Defence Contribution. It does not exempt gains on Cyprus property or shares falling within property CGT. Foreign residence and treaty consequences must also be considered.

Documents for a transaction review

• Purchase and proposed sale contracts, title documents and ownership dates.
• Group structure and property/share valuations for a company disposal.
• Evidence of costs, improvements and any earlier taxed share disposal.
• Records of previous personal exemption use and property losses.
• Residence occupation evidence or farming status if claiming the corresponding relief.

Primary source

Capital Gains Tax Law 52/1980, as amended. Articles 2, 4–7 and 9 govern the scope, rate, exemptions, calculation and share-sale valuation discussed here. This guide is general information; a transaction requires review of its facts.

Official verification starting points

Cyprus Tax Department documents and Cyprus Tax Reform 2026 material publish the controlling material for this topic. Check the current law, form, circular or portal instructions before acting; this article is general information and the live official material prevails.

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Disclaimer: This article is for informational purposes only and does not constitute legal, tax, or financial advice. Tax laws change frequently. Consult a qualified Cyprus adviser for guidance specific to your situation. The information on this page is general guidance only and does not constitute legal, tax, accounting, immigration or financial advice. Specific advice should be obtained based on the facts of each case.