Cyprus tax has risen to 15%. How to avoid losing out and turn the change to your advantage
From 1 January 2026, Cyprus is raising corporate tax from 12.5% to 15%. That's a fact.
But if you think this is only about +2.5%- you're looking too narrowly.
The logic of how businesses, residency and profit distribution are assessed is changing. If you have a company in Cyprus or are considering this jurisdiction- these changes affect you directly. In the webinar we'll explain how to operate under the new rules of the game and reduce your risk.
Webinar by THE A
the webinar is on 22. 04 at 19:00 Kyiv time
If you have a business, this is for you
And everyone who stays with us to the end of the webinar gets a nice bonus- a 15% discount on all our legal services. So you definitely don't spend your focus and time on routine.
Attendance is free, by prior
registration
And everyone who stays with us to the end of the webinar gets a nice bonus- a 15% discount on all our legal services. So you definitely don't spend your focus and time on routine.
Attendance is free, by prior
registration
Operating company
for example
On profit of 300 000 € you used to pay 37 500 €.
From 2026 — 45 000 €.
A difference of 7 500 € a year.
But what matters more:
after the rate increase, banks will look even more closely at the economic substance of your structure. If the company is «technical», with no real presence, the questions get tougher.
Non-dom regime
If a Cyprus company is used for holding shares, distributing dividends or as an intermediary link- the rate increase on its own may not be critical.
But:
— the approach to profit distribution changes
— the beneficiary's residency comes under closer scrutiny
— the risk of double taxation rises
Mistakes in a holding structure usually cost more than the operating business itself.
Many people see non-dom as stable protection.
After the reform, growing importance is placed on the actual centre of management and economic ties.
If you are physically located in one country,
while profit is distributed through Cyprus-
the questions may arise not in Cyprus.
But in another jurisdiction.
Planning to open one
The most common question:
"Does it still make sense to set up in Cyprus now?"
The answer depends on your model.
In 2026, Cyprus remains a workable jurisdiction.
But it's no longer a one-size-fits-all solution.
If you set up a structure on the old logic- you'll have to rebuild it within a year.
Holding company
WHO THIS WEBINAR IS FOR
What's worrying business owners right now
— How much will the real tax burden rise?
— Will the structure have to change?
— Will opening accounts get harder?
— Will there be back taxes or penalties?
— Could double taxation arise?
— Does Cyprus still make sense as a jurisdiction?
If you have a business, this affects you:
— you have a company in Cyprus
— you're planning to open a company in 2026
— you receive or plan to receive dividends
— you're considering tax residency
— you use a Cyprus company as a holding vehicle
— you work with international banks
What you get
We'll break down:
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How the rate increase from 12.5% to 15% will affect different business models
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What changes for holding companies and dividend structures
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How the changes affect tax residency
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Why banks are tightening compliance after the reform
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Which decisions in 2025 could create risks in 2026
You'll understand:
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whether it's worth revisiting your structure
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where additional costs may arise
-
which steps make sense to take in advance
Marina Uskova- lawyer at THE A.
Works with:
— cross-border structures
— tax residency
— banking compliance
— sources of funds (SoF / SoW)
THE A's team handles complex
international cases where mistakes cost
tens and hundreds of thousands of euros.
speaker
We work in 50+ jurisdictions and support international structures of any complexity.
We're trusted by entrepreneurs with turnover of $100m + a year.
Our job is to make your decisions legal, secure and predictable.
This is a new reality in which those who prepare in advance come out ahead.
OUR APPROACH
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10+ years in financial/legal practice
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7 000+ cases
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50+ experts on the team
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Coverage: EU, US, MENA, Asia
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Support on transactions worth hundreds of millions of $, across banking and regulatory matters
Prepare now so you don't worry later.
