Cypriot employers ask for tax overhaul | eKathimerini.com
Employers in Cyprus are advocating for a comprehensive overhaul of the tax system, proposing significant changes aimed at boosting economic activity and competitiveness. They are calling for adjustments to individual tax rates, including reducing taxes on interest earned from savings to 10%, raising the tax-free threshold, introducing a “mortgage relief” program, and granting couples/single parents the option to file taxes separately or jointly. Employers are also pushing for changes to corporate taxation, advocating for the elimination of taxes on certain dividends, raising the corporate tax rate to 15%, and reducing the tax rate on dividends from 17% to 5%. They are also proposing changes to various aspects of the tax system, including lowering the capital gains tax, simplifying transfer pricing rules, and providing tax incentives for companies engaging in mergers and acquisitions, startups, and investments in the research and green sectors. Additionally, they are prioritizing green taxation with recommendations for tax breaks for investments in eco-friendly industries and incentives for purchasing energy-efficient buildings and solar panels.