The double tax treaty with Jersey has now entered into force and will come into effect as from 1st January 2018. The new double tax treaty with Jersey will further strengthen the Cypriot treaty network.
The main provisions included in the treaty are as follows:
There is no withholding tax on dividend, interest and royalty payments.
Capital gains arising from the alienation of the shares of a company will be taxable only in the state where the alienator is a resident. This provision also covers the tax treatment of alienations relating to shares of property-rich companies.
All content prepared by KPMG Cyprus.