The assessment should be completed by the end of November 2024.
The reform should simplify the tax system, taking into account the transition to a green and digital economy, making it fiscally neutral. Ordered a relevant study by the Ministry of Finance of Cyprus. The main questions for researchers are what will be the impact of the reform on the country’s economy and finances in general, as well as on the activities of companies, the lives of citizens with different income levels, investments, the labor market, productivity and competitiveness.
Developers believe that the new tax reform will attract foreign investments to the island, stimulate entrepreneurial activity, make the Cypriot labor market more attractive, offer business tax benefits, help reduce the dependence of the Cypriot economy on expensive types of electricity, help fight tax evasion and the shadow economy more actively .