The UK abolished its non-domiciled tax regime in April 2025 and corporate tax has risen to 25%. Cyprus answers with 15% headline CIT, an IP Box that drops the effective rate to approximately 3%, and Non-Dom status with 0% SDC on dividends — inside the EU single market.
UK founders who relied on the non-dom remittance basis and need a replacement structure post-April 2025.
Entrepreneurs with UK-incorporated companies generating >£200k profit where the 10-point CIT gap is material.
Tech founders with IP income who want the approximately 3% effective rate available under the Cyprus IP Box regime.
UK-based directors of foreign companies seeking to redomicile management and control.
Individuals planning an exit who need UK residence, exit rules, Article 8(22) and Cyprus-property CGT reviewed together.
Dual citizens with ties to Cyprus or the Middle East for whom the 60-day rule is especially practical.
A headline-rate comparison does not establish the tax result. Model the taxable base, salary and distributions, permanent establishments, transfer pricing, CFC rules and the residence of the company and shareholders in both countries.
Software, patents, and other qualifying IP income benefits from the 80% IP Box deduction, bringing the effective rate to approximately 3% — compared to 25% in the UK.
Cyprus Non-Dom status exempts you from Special Defence Contribution on dividends, interest, and rental income for 17 years. No equivalent exists in the UK post-April 2025.
You can become a Cyprus tax resident by spending only 60 days per year in Cyprus (not 183). Conditions: do not be tax resident elsewhere, maintain a Cyprus home, and operate a Cyprus business.
Cyprus is an EU member with 65+ double tax treaties — including a favourable UK-Cyprus treaty. EU Parent-Subsidiary and Interest & Royalties Directives apply.
Common-law legal system, English widely spoken, British-style accounting standards, and a familiar business environment reduce the relocation learning curve for UK founders.
We review your existing UK company, shareholdings, and IP. Where beneficial, we advise on re-domiciliation or forming a new Cyprus entity to hold operations and IP.
Incorporation via the Registrar of Companies, tax and VAT registration, corporate bank account opening, and — if applicable — IP Box election and advance tax ruling.
Apply for Cyprus Non-Dom status, meet the 60-day rule conditions, obtain your Tax Residency Certificate (TRC), and notify HMRC of your departure from the UK tax system.
Annual corporate filings (HE32, IR4, VAT), personal tax returns (IR1), day-count monitoring, and coordination with your UK accountant to ensure clean treaty positions.
Often paired with
A seven-day refund policy applies subject to the signed engagement terms. Government and third-party fees are excluded unless those terms state otherwise.
General information. See our editorial standards and disclaimer.
Continue exploring
Book a free consultation and we'll guide you through the next steps — no obligation.
Initial discussion · No obligation
Send your enquiry for a no-obligation initial review.