As from 1st january, special contribution is abolished
Individual and pensioners working in Cyprus have the responsibility to pay taxes according to their monthly special.
- Should pay this tax refers to private sector employees, self-employed persons and pensioners.
- And above any month if their income exceeds 1,500 euros (excluding the first 13 month additional salary calculation), which is obliged to pay a minimum tax of € 10.
- For employees and pensioners, the tax applies to Cyprus acquired salary, and the need to pay monthly.
- For the employee, the more taxes assessed his employer (50%) , and this tax does not apply to retirement subsidies, revenue approved pension funds, qualified for reimbursement of fees and operating expenses vessels members.
- For the self-employed, this tax applies to any business in Cyprus, and the need to pay provisional tax installments twice a year.
- Private sector employees are not required to pay the following fees:
1. Retirement bonus
2. Compensation pension funds
3. Hired by foreign governments or international organizations foreigner salarie
4. Salaries of non-citizens of the Republic of foreign diplomats / consular representatives
5. When the crew of a Cyprus ship salary
6. To make up for the cost of the employer’s business and allowances
- Should pay this tax refers to public sector employees and pensioners.
- Minimum 10 euros of tax does not apply to individual public sector .
- For within the scope of their high office as an employee, the special tax rates were 3%, 3.5% and 4% three levels.
Since January 1, 2014 to December 31, 2016, related to the tax bands and the applicable tax rate in the following table.