On 5 January 2023 the Cyprus Tax department (CTD) issued a circular (1/2023) which terminates the application of “safe harbours” on back-to-back financing transactions with related parties. The termination applies from 1 January 2022 onwards. The “safe harbours” being either an after-tax return of 2% on loans granted to related parties (for pure intermediary financing companies) or a 10% after tax return on equity (for […]
On 30 June 2022, Cyprus has introduced provisions for implementation of transfer pricing regulations in Cyprus by amending the current Cypriot Income Tax & Assessment and Collection laws. The effective date of the TP legislation is the 1 January 2022. The main purpose of the introduction of the TP legislation is the alignment of the Cypriot Tax laws with OECD guidelines against Base Erosion and […]
Our Firm is the winner for a second consecutive year in the category of Transfer Pricing Advisory Firm in Cyprus, of Global Advisory Experts (GAE) www.globaladvisoryexperts.com awards. Our Firm continues to receive recognition for its high-quality services and especially in the demanding and complex area of Transfer Pricing. In a rapidly changing world, the impact of our advice and service can make the difference. Thank you.
The Cyprus Tax office announced the 10-year government bond yield rates as at 31/12/2020 for a number of countries. These rates increased by 5% (the reference rate) can be used for calculating the notional interest deduction on new equity introduced in the business (01/01/2015 onwards). The choice of country depends on where the new equity has been invested. The NID is restricted to 80% of […]