Question 1

What does Tsquared do?

Accepted Answer

Tsquared is a Cyprus accounting firm providing tax planning and preparation, bookkeeping, payroll, financial advisory and audit support for individuals and businesses.

Question 2

Where is Tsquared based?

Accepted Answer

Our office is at Griva Digeni 78, 3rd Floor, 3101 Limassol, Cyprus. We work with clients across Limassol, Nicosia, Larnaca, Paphos and internationally online.

Question 3

How much income tax do I pay in Cyprus?

Accepted Answer

From 2026 the first €22,000 of income is tax-free, then rates rise in bands of 20%, 25%, 30% and 35% above €72,000. Employees also pay Social Insurance and GHS. Use our free calculator for an estimate.

Question 4

Do you work with foreign clients relocating to Cyprus?

Accepted Answer

Yes. We help relocating professionals with tax residency, non-dom status, new-resident exemptions and company setup.

Question 5

How do I get started?

Accepted Answer

Book a free consultation through our contact page. We review your situation and send a clear fixed-fee proposal.

Question 6

I'm moving to Cyprus. What should I sort out first?

Accepted Answer

Register for a tax identification number, decide whether the 183-day or 60-day tax residency rule fits your situation, and check if you qualify for the non-dom regime or the 50% / 20% new-resident employment exemptions before your first payslip. Doing this in the right order can save you thousands - book a free consultation and we'll map it out for you.

Question 7

What is the Cyprus non-dom regime and is it worth it?

Accepted Answer

Non-domiciled tax residents pay no Special Defence Contribution on dividends and interest, which for many relocating professionals means close to 0% tax on that income for up to 17 years. We assess your eligibility, prepare the application and structure your income correctly.

Question 8

Can I become a Cyprus tax resident in just 60 days?

Accepted Answer

Yes, under the 60-day rule, if you spend at least 60 days in Cyprus, are not tax resident elsewhere, and meet conditions around business, employment or a Cyprus company plus a permanent home here. We confirm which rule suits you and document it properly for the Tax Department.

Question 9

Does living in Cyprus help with Schengen travel?

Accepted Answer

Cyprus residence permits allow you to travel within the Schengen area for short stays, and Cyprus is in the process of joining the Schengen zone. Immigration permits are handled by licensed lawyers and migration agents - we work alongside them on the tax and company side so your application and finances tell the same story.

Question 10

I'm a real estate developer. How are my projects taxed in Cyprus?

Accepted Answer

Property development profits are generally taxed as trading income at the corporate rate, not as capital gains, and VAT treatment differs between new buildings, land and resales. Structuring each project correctly - company setup, VAT registration, cost allocation and land acquisition - makes a material difference to your margin. We advise developers from land purchase through to unit sales.

Question 11

What taxes do I pay when buying property in Cyprus?

Accepted Answer

Buyers typically face VAT on new properties (a reduced rate may apply for a primary residence, subject to conditions) or transfer fees on resales, plus stamp duty and legal costs. We calculate the full cost before you commit so there are no surprises at the Land Registry.

Question 12

Can I sell my Cyprus property without paying capital gains tax?

Accepted Answer

Capital gains tax applies to profit on selling Cyprus property, with lifetime exemptions for individuals and a full exemption for a primary residence up to a limit, subject to conditions. Property bought between July 2015 and December 2016 may also be exempt. We check your position before you list.

Question 13

I work remotely for a foreign company. Can I live in Cyprus?

Accepted Answer

Yes - many remote workers use the digital nomad route or set up a Cyprus company and employ themselves. The right option depends on your income level, nationality and how long you plan to stay. We compare the tax outcome of each route and handle the setup.

Question 14

How do I bring my family and what about schools and healthcare?

Accepted Answer

Cyprus tax residents contribute to GHS, the national health system, which gives access to public healthcare. Family relocation involves residence permits, school enrolment and registering each member for social insurance where applicable. We coordinate the financial registrations while your immigration adviser handles the permits.

Question 15

Is Cyprus still worth it for international business after the tax changes?

Accepted Answer

Yes. The corporate rate remains among the lowest in the EU, with no withholding tax on dividends to non-residents in most cases, an extensive double tax treaty network, the IP Box regime and the notional interest deduction. We model your specific structure so you can see the effective rate before deciding.

Question 16

When is the Cyprus personal tax return due?

Accepted Answer

Employees' returns are normally due by 31 July of the following year, and self-employed returns with audited accounts later. Deadlines are sometimes extended by the Tax Department, so we confirm each year.

Question 17

Can you help with the non-domicile status?

Accepted Answer

Yes. We assess eligibility, prepare the application and make sure your dividend and interest income is treated correctly.

Question 18

Do I need bookkeeping as a small company in Cyprus?

Accepted Answer

Yes. Every Cyprus company must keep proper accounting records and prepare audited financial statements annually.

Question 19

Why outsource payroll?

Accepted Answer

It removes the risk of late-filing penalties, keeps employee data confidential and frees your time for running the business.

Question 20

Is advisory a one-off or ongoing?

Accepted Answer

Both. Some clients book a single project; others have a monthly CFO-style check-in.

Question 21

Is an audit mandatory in Cyprus?

Accepted Answer

Yes. Cyprus limited companies, including dormant ones in most cases, must have their annual financial statements audited.

Answers to common Cyprus tax and accounting questions.

General

Relocation & Property

Tax Planning & Preparation

Bookkeeping & Accounting

Payroll Management

Financial Consulting & Advisory

Audit & Assurance

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