Cyprus Transfer Pricing (TP) Simplification measures (updated)

Cyprus Transfer Pricing (TP) Simplification measures (updated)

Introduction On 6 July 2023 the Cyprus Tax Department issued a circular (6/2023) that introduces simplification measures (simplified transfer pricing documentation and option to apply safe harbor rates) for taxpayers that are exempted from the obligation of preparing a TP Local file. The simplification measures apply as from 1 January 2022. These simplification measures relate to: These are further explained below. Further on 1 February […]

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Transfer Pricing (TP) “safe harbours” on related party financing transactions abolished.

Transfer Pricing (TP) “safe harbours” on related party financing transactions abolished.

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 […]

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The new Transfer Pricing (TP) legislation in Cyprus & its expected impact.

The new Transfer Pricing (TP) legislation in Cyprus & its expected impact.

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 […]

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Transfer Pricing Firm of the year 2021 in Cyprus

Transfer Pricing Firm of the year 2021 in Cyprus

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.

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