Cyprus 2026 News + Timeline
Chronological timeline of Cyprus reforms + EU regulations + regulatory milestones affecting founders + investors. Each milestone cross-links to the deep-dive articles.
— — Chronological timeline
The headline reform package effective 1 Jan 2026: Standard CIT raised from 12.5% to 15% (Law 240(I)/2025). Stamp Duty Law (Cap. 228) fully repealed (Law 239(I)/2025). 20% R&D super-deduction introduced. 7-year loss carry-forward (from 5). 8% crypto flat-rate option introduced. SDC on dividends for Cyprus-domiciliaries reduced from 17% to 5%. Non-Dom 17-year 0% SDC preserved. 50% expat exemption extended to 17 years for income >€55k.
Directive (EU) 2023/2226 (DAC8) obliges EU Crypto-Asset Service Providers (CASPs) — including Cyprus-authorised CASPs — to collect + report customer transaction data to their home-state tax authority. First cross-border auto-exchange: 30 September 2027.
Cyprus's transposition under Law 165(I)/2024 applies the OECD GloBE Pillar Two minimum-tax rules to MNE groups with consolidated revenue ≥€750M. Cyprus's QDMTT (Qualified Domestic Minimum Top-up Tax) collects any top-up before other jurisdictions' IIR / UTPR.
Eurobank's acquisition of Hellenic Bank Public Company Ltd completed in late 2024 with operational integration through 2025-2026. Combined entity holds ~€28bn in assets + ~50% Cyprus retail-banking market share. KYC harmonised; onboarding standardised at 4-8 weeks for non-resident corporates.
Cyprus CySEC opened CASP authorisation under MiCA (Regulation EU 2023/1114). Pre-existing VASP-registered providers operate under transitional rules until 1 July 2026 OR until a CASP decision (whichever sooner). New entrants apply for full CASP directly.
Pre-existing VASP-registered providers must transition to full CASP authorisation by 1 July 2026 OR receive a CASP decision. After this date, unauthorised crypto-asset services in Cyprus are illegal. Operators not yet in application need to submit by ~end-Q1 2026 to leave realistic margin.
EU Regulation 2022/2554 (DORA) applies to all CySEC-supervised firms from 17 Jan 2025. Requires ICT risk management, ICT-related incident reporting, ICT third-party risk management. Cyprus CIFs / CASPs / AIFMs must align governance + controls.
Following the UK's April 2025 abolition of the historic non-domiciled regime + introduction of the 4-year FIG (Foreign Income & Gains) regime, large numbers of UK non-doms have relocated to Cyprus under the 60-day rule + Non-Dom regime (17-year 0% SDC) — Cyprus is the most-frequently-chosen EU destination for ex-UK non-doms.
First DAC8 cross-border auto-exchange between EU member states for 2026 crypto-asset transactions. From 2027 onward, Cyprus CASPs' annual reports flow to EU member-state tax authorities of EU-resident customers. Cyprus Tax Department receives equivalent reports about Cyprus-resident customers using foreign-state EU CASPs.
EU Directive 2018/822 (DAC6), transposed by Cyprus Law 41(I)/2021, requires intermediaries + taxpayers to disclose reportable cross-border tax arrangements within 30 days. Five hallmark categories (A-E). Cyprus continues to be one of the more active EU member states in DAC6 enforcement.
Cyprus's tonnage-tax regime under Merchant Shipping Law 44(I)/2010 is currently EU-State-Aid-approved until 31 December 2029. Renewal of the EU State-Aid framework expected; Cyprus will reapply for continued approval (historic precedent suggests renewal).
— EVERYTHING INCLUDED
We track every Cyprus + EU regulatory milestone affecting our clients + adapt structures proactively. If a successful tax-authority challenge invalidates our methodology purely because of our own error, we redo the work at no cost.
Engagements coordinated with ICPAC-registered Cyprus tax advisers and Cyprus Bar Association member-firm lawyers. MOKAS-aligned under Cyprus AML Law 188(I)/2007. See our editorial standards and disclaimer.
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