What changed for UK non-doms in April 2025?

The UK abolished the long-standing remittance-basis non-dom regime in April 2025, replaced by a much narrower 4-year Foreign Income and Gains (FIG) regime for new arrivals only. Existing non-doms lost their remittance-basis access and now face full UK tax on worldwide income from April 2025 onwards. Inheritance tax exposure on worldwide assets also tightened. The change has driven a documented exodus of UK HNWIs — Cyprus, Italy, Switzerland, and the UAE are the main destinations.

How does Cyprus's 17-year non-dom compare to the UK FIG regime?

Cyprus offers 17 years of non-dom status (vs UK's 4-year FIG). During those 17 years, dividends and interest received by a Cyprus tax-resident non-dom face 0% Special Defence Contribution. Combined with the Cyprus 0% CGT on shares, 0% inheritance tax (abolished), and 50% high-earner PIT exemption — the Cyprus structural offer is materially deeper than the UK FIG replacement.

Can a UK founder qualify for the Cyprus 60-day rule?

Yes, post-2026 reform. The 4 conditions are: 60+ days in Cyprus, less than 183 days in any single other country, permanent home in Cyprus, and Cyprus economic activity. The pre-2026 5th 'no other tax residency' condition was removed — UK founders maintaining residency ties to the UK during transition can now qualify, with UK-Cyprus DTT tie-breakers resolving any conflict.

What about UK Statutory Residence Test ties during transition?

The UK Statutory Residence Test (SRT) determines UK tax residency based on day counts plus 'ties' (family, accommodation, work, 90-day, country). A founder leaving the UK typically targets ≤16 days in the UK in the year of departure (clean break) and ≤45 days in subsequent 'leaver' years to fall outside the SRT. Cyprus 60-day rule simultaneously lets you become Cyprus tax-resident with just 60 days. Coordinated UK-side tax adviser is essential for the SRT compliance.

What about UK inheritance tax (IHT) exposure?

UK IHT applies to worldwide assets of UK domiciled individuals (and after April 2025, to long-term UK residents on a tightened residence test). Cyprus has no inheritance tax (abolished). Establishing Cyprus tax residency + non-UK domicile (which is harder under the post-2025 residence-based test) materially reduces UK IHT exposure on future asset growth, though existing UK assets remain in the UK net subject to UK rules. Specialist UK estate-planning advice required.

How long does the UK-to-Cyprus transition take?

60–120 days typically: 10–15 days Cyprus company formation, 30–45 days bank account opening, 14–28 days Yellow Slip + non-dom + TIN, parallel UK SRT-compliant departure (P85 filing, HMRC notification, year-of-departure planning). Many UK founders sequence the Cyprus structure in tax year +1 to align with the UK tax year (April–April) rather than the calendar year.

For UKfounders & HNWIs

Cyprus for UK founders — after the non-dom abolition

April 2025 ended the UK's remittance-basis non-dom regime. Cyprus offers 17 years of non-dom (vs the UK's 4-year FIG replacement), 0% capital gains on shares, 0% inheritance tax, 15% CIT, and EU access. Structured exit, structured arrival.

17 yrs

CY non-dom window

4 yrs

UK FIG regime

CY CGT on shares

Book a free 30-min call See fixed-fee pricing

— The structural argument

Why UK founders pick Cyprus

17 years of non-dom (vs the UK's 4-year FIG)

Cyprus tax-resident non-dom: 0% Special Defence Contribution on dividends and interest for 17 years. The UK's April 2025 replacement (4-year FIG regime) is materially narrower — Cyprus is the cleanest like-for-like Atlantic-time-zone replacement.

0% CGT on shares + 0% inheritance tax

Cyprus capital gains tax applies only to Cyprus-situs immovable property (20%) and shares of Cyprus property-rich companies (20% via look-through). Everything else — including UK-listed equity, ETFs, private-company shares, options — is 0% Cyprus CGT. Cyprus inheritance tax was abolished entirely.

EU passport access for the founder

Cyprus is in the EU + Schengen-compatible. Yellow Slip (residence permit) is straightforward for EU/EEA citizens; non-EU founders can route via the Cyprus Permanent Residency or 60-day-rule + Yellow-Slip path.

60-day rule + 50% high-earner PIT exemption

Cyprus tax residency achievable with just 60 days/year (post-2026 reform: 4-condition test, dual residency now allowed). Combined with the 50% high-earner exemption (€55k+ employment income), the Cyprus personal tax burden compresses materially below UK rates.

— Day 0 → Day 90

Your Cyprus transition, end-to-end

UK-specific workstream from first call to operational Cyprus structure.

Day 0–5: Diagnostic + UK-tax-year alignment
Free 30-min call. We confirm fit, sketch the Cyprus structure, and time the move around the UK tax year (April–April) where useful. Engagement letter signed within 5 days.
Day 5–20: Cyprus company formation
HE1/HE2/HE3 + M&AA. TIN + UBO Register filing. Standard 10–15 days; expedited 5–10 days available.
Day 15–45: Cyprus banking — Bank of Cyprus / EMI
Cyprus bank intro (Bank of Cyprus / Hellenic / Astrobank) + EMI fallback (Wise Business / Revolut Business). KYC pack pre-prepared in English; UK passport + UK bank statements typically sufficient.
Day 30–60: Yellow Slip + Non-Dom + TIN
Yellow Slip residence permit (EU citizens: straightforward; non-EU: Permanent Residency route). Form T.D. 38 non-dom registration. TIN issuance from Cyprus Tax Department.
Day 30–90: UK Statutory Residence Test compliance
P85 filing (UK departure notification), year-of-departure UK return planning. SRT day-count discipline (≤16 days year of departure typically). Final UK self-assessment.
Day 60–120: First Cyprus dividend / first non-dom claim
First Cyprus dividend distribution under non-dom (0% SDC). First Cyprus IR1 if income trigger met. IP Box claim filed if qualifying. Annual compliance plan locked in.

— Side-by-side

Compared to staying in the UK

Dimension	Staying in the UK	Cyprus structure
Non-dom window	4 years (FIG regime, post-April 2025)	17 years
Worldwide income tax exposure	Full from April 2025 (was: remittance basis)	0% SDC on dividends + interest under non-dom
Capital gains on shares	20% / 24% (over basic-rate threshold)	0%
Inheritance tax	Up to 40% on worldwide estate (long-term residents)	0% — abolished
Top personal income tax	45% (additional rate, plus NICs)	35% top band — plus 50% high-earner exemption available
Corporate tax	25% main rate (small co. lower)	15% headline; ~3% via IP Box
Time to qualify as resident	183 days SRT	60 days under post-2026 4-condition rule

Indicative side-by-side. Your specific position depends on income mix, holdings, and the UK-side exit-tax mechanics. Engagement-letter analysis required.

— Treaty & legal essentials

the UK–Cyprus regulatory map

UK–Cyprus DTT (1974, amended)

Treaty in force. Tie-breakers under Article 4 resolve dual-residency questions during transition. Reduced WHT on dividends + interest.

UK FIG regime (post April 2025)

4-year transitional regime for new UK arrivals — narrower than Cyprus's 17-year non-dom. Existing UK non-doms lost remittance-basis access; the FIG replacement does not apply retroactively.

UK Statutory Residence Test

Day-count + ties test determines UK tax residency. Clean exit typically targets ≤16 days in the year of departure. Subsequent 'leaver' years allow up to 45 days.

UK IHT residence-based test

From April 2025, UK IHT exposure tied to long-term residence rather than domicile. Establishing Cyprus tax residency is necessary but not always sufficient — UK estate-planning advice essential.

— What we handle end-to-end

The full Cyprus transition stack

— Fixed-fee, transparent

Tax Resident from €1,899 · Relocate & Launch from €4,899 · 60-Day Nomad from €5,899. All + VAT. No "contact us for a quote".

See full relocation pricing

— Common questions

UK founders ask

Want the full deep-dive?

Read the full UK-founder Cyprus relocation guide — every form, every fee, every workstream documented.

Read the full guide

Reviewed by

Nexora Editorial Standards Board

ICPAC-coordinated · Cyprus Bar partner-firm

Updated May 2026

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.

“Walked into the call confused, walked out with a 4-step plan, fixed-fee quote, and a Cyprus company set up two weeks later. No surprises on the bill.”

M. Kowalski

SaaS founder · Poland

Published with permission. Initials shown to preserve commercial-privacy preference.

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Cyprus for UK founders — after the non-dom abolition

17 yrs

CY non-dom window

4 yrs

UK FIG regime

CY CGT on shares

Dimension

Staying in the UK

Cyprus structure

Non-dom window

4 years (FIG regime, post-April 2025)

17 years

Worldwide income tax exposure

Full from April 2025 (was: remittance basis)

0% SDC on dividends + interest under non-dom

Capital gains on shares

20% / 24% (over basic-rate threshold)

Inheritance tax

Up to 40% on worldwide estate (long-term residents)

0% — abolished

Top personal income tax

45% (additional rate, plus NICs)

35% top band — plus 50% high-earner exemption available

Corporate tax

25% main rate (small co. lower)

15% headline; ~3% via IP Box

Time to qualify as resident

183 days SRT

60 days under post-2026 4-condition rule

Cyprus for UK founders — after the non-dom abolition

Why UK founders pick Cyprus

17 years of non-dom (vs the UK's 4-year FIG)

0% CGT on shares + 0% inheritance tax

EU passport access for the founder

60-day rule + 50% high-earner PIT exemption

Your Cyprus transition, end-to-end

Compared to staying in the UK

the UK–Cyprus regulatory map

UK–Cyprus DTT (1974, amended)

UK FIG regime (post April 2025)

UK Statutory Residence Test

UK IHT residence-based test

The full Cyprus transition stack

UK founders ask

01Should I move to Cyprus before or after the UK tax year-end (April)?

02Can I keep my UK Ltd and add a Cyprus structure?

03What about UK pensions and ISAs?

04Will the Cyprus 60-day rule be enough for HMRC to recognise me as non-UK-resident?

05What's the difference between Cyprus PR and Yellow Slip?

06Is Cyprus an established UK-departure destination?

07What if I'm already UK non-dom with remittance-basis history?

08How does post-Brexit EU-access affect the Cyprus structure?

Want the full deep-dive?

Related Cyprus services, tools & guides.

Cyprus for UK founders — after the non-dom abolition

Why UK founders pick Cyprus

17 years of non-dom (vs the UK's 4-year FIG)

0% CGT on shares + 0% inheritance tax

EU passport access for the founder

60-day rule + 50% high-earner PIT exemption

Your Cyprus transition, end-to-end

Compared to staying in the UK

the UK–Cyprus regulatory map

UK–Cyprus DTT (1974, amended)

UK FIG regime (post April 2025)

UK Statutory Residence Test

UK IHT residence-based test

The full Cyprus transition stack

UK founders ask

01Should I move to Cyprus before or after the UK tax year-end (April)?

02Can I keep my UK Ltd and add a Cyprus structure?

03What about UK pensions and ISAs?

04Will the Cyprus 60-day rule be enough for HMRC to recognise me as non-UK-resident?

05What's the difference between Cyprus PR and Yellow Slip?

06Is Cyprus an established UK-departure destination?

07What if I'm already UK non-dom with remittance-basis history?

08How does post-Brexit EU-access affect the Cyprus structure?

Want the full deep-dive?

Related Cyprus services, tools & guides.