Typically your tax residency is where you stay more than 183 days per year. This is also true in Cyprus. But now the government introduced a new rule: The 60 Day Rule. It is meant for the people who want to establish a Cyprus tax residency but have problems showing that they stay more than 183 days in Cyprus. These are the rules:

  • You cannot stay longer than 183 days per tax year in any other single country.
  • You cannot have your tax residency in another country during the tax year.
  • You need to comply with ALL of the following points:
    • You need to stay at least 60 days per year in Cyprus.
    • You need to have a job here, operate a business or are officer of a company in Cyprus during the whole year.
    • You have to maintain a permanent residence in the republic that you either own or rent yourselves.

Sound like a simple matter, doesn’t it?

However, please keep in mind that the main problem will be to convince your home country to accept you have left to live in Cyprus. In doubt, first ask your local tax advisor. Cyprus tax advisors know the local law but often have no idea about the strictness of foreign tax administrations.