Check My Residency Eligibility
Planning to become a Cyprus tax resident in 2026? This Cyprus Tax Residency Checklist provides a clear, step-by-step guide to ensure compliance with the latest rules and regulations. Whether you are an EU citizen, UK national, or non-EU individual, this guide simplifies the process, explains the new 15% corporate tax implications, and highlights common pitfalls to avoid. By following this checklist, you can confidently establish your tax residency, benefit from Cyprus’s attractive tax regime, and ensure that you meet all reporting requirements. A printable version is included for convenience, making it easy to track your progress. Stay informed, avoid costly mistakes, and make informed decisions with this comprehensive cyprus tax residency guide for 2026.
Cyprus tax residency is determined by either the 60-day rule or the 183-day rule. EU/UK citizens and non-EU individuals must understand the distinctions:
- 183-Day Rule: Spend at least 183 days in Cyprus within a calendar year.
- 60-Day Rule: Must meet all 5 criteria: no other tax residency, reside in Cyprus for at least 60 days, have Cyprus business or employment, maintain permanent residence, and spend at least 60 days in Cyprus.
Knowing which rule applies is crucial for compliance and maximizing tax benefits.
Prepare all documents in advance to streamline the process:
- Valid passport or ID
- Proof of address in Cyprus (rental agreement or property deed)
- Bank statements showing local financial activity
- Employment or business contracts
- Confirmation of health insurance coverage
Keeping digital and physical copies ensures smoother verification with the Cyprus Tax Authorities.
A local bank account is essential for tax residency:
- Choose a licensed bank and provide required documentation
- Use your bank account for salary or business transactions
- Retain all transaction records for compliance
- Consider using online banking for real-time tracking and reporting
Strong banking records support your residency claim and simplify tax filing.
As a Cyprus tax resident:
- Personal income is taxed on a progressive scale up to 35%
- Corporate tax is 15% (updated 2026)
- Dividends, interest, and rental income may benefit from Non-Dom status
- Mandatory contributions to GESY (healthcare) and social insurance apply
Understanding obligations early prevents penalties and allows strategic tax planning.
All Cyprus tax residency applications must comply with official rules:
- Cyprus Tax Department (www.mof.gov.cy) oversees residency registration
- Forms: TD2001 for individual registration, TD201 for Non-Dom election
- Distinguish between EU/UK and non-EU citizens; requirements may differ
- Non-compliance may result in fines, denied residency, or higher tax rates
Always confirm latest regulations and seek professional advice if uncertain.
1. Incorrect calculation of days spent in Cyprus – may lose residency eligibility.
2. Incomplete documentation – delays or fines.
3. Ignoring Non-Dom status – losing potential tax savings on dividends.
4. Late tax registration – penalties and interest apply.
5. Using foreign bank accounts for primary income without reporting – triggers audits.
Avoid these pitfalls by following the checklist step by step and consulting experts when needed.
✅ Determine which tax residency rule applies (183-day or 60-day)
✅ Collect all required documentation
✅ Open a Cyprus bank account and ensure active transactions
✅ Register with the Cyprus Tax Department (TD2001)
✅ Elect Non-Dom status if eligible
✅ File income declarations on time
✅ Maintain accurate records for at least 5 years
Use this checklist as your roadmap to establish legal tax residency and benefit from Cyprus’s favorable tax regime.
This guide is not suitable for:
- Individuals unable to meet the 60/183-day requirement
- Those without Cyprus-based financial activity
- Persons requiring complex corporate structuring beyond standard Non-Dom rules
- Anyone seeking tax advice outside Cyprus jurisdiction
If in doubt, seek professional guidance before proceeding.
| Parameter | Suitable | Not Suitable | Recommended Action |
|---|---|---|---|
| EU/UK Citizen | ✅ | — | Consider Non-Dom for dividends/interest |
| Non-EU Citizen | ✅ if criteria met | ❌ if cannot meet 60/183 days | Seek expert advice |
Q: What is the 60-day tax residency rule in Cyprus?
A: The 60-day rule allows individuals to become Cyprus tax residents if they meet 5 conditions: no other tax residency, reside in Cyprus at least 60 days, have employment or business in Cyprus, maintain permanent residence, and spend at least 60 days in Cyprus.
Q: Do EU citizens need Non-Dom status?
A: Yes, EU citizens can elect Non-Dom status to benefit from exemptions on dividends and interest income while being Cyprus tax residents.
Q: How do I prove my tax residency?
A: Provide valid ID, proof of address, bank statements, and employment or business records. Registration with the Cyprus Tax Department (TD2001) is mandatory.
Q: Has corporate tax changed in Cyprus?
A: Yes, as of 2026, the corporate tax rate in Cyprus is 15%, up from the previous 12.5%. Individuals and businesses must plan accordingly.
Q: Can I maintain residency without a Cyprus bank account?
A: No, an active local bank account is essential for tax residency proof and for meeting financial activity requirements.
Have a specific question or unsure how this applies to your situation?
You’re welcome to get in touch for guidance from verified professionals here:
Check My Residency Eligibility