Cyprus 60-Day Tax Residency Rule – A Flexible Route to Cyprus Tax Residency
Cyprus continues to offer one of the most flexible tax residency frameworks in Europe through its well-established 60-Day Tax Residency Rule.
The regime allows eligible individuals to become tax residents of Cyprus by spending as little as 60 days in Cyprus during a calendar year, provided that the relevant statutory conditions are satisfied. This can be particularly attractive for internationally mobile individuals, entrepreneurs, executives and professionals who do not wish to relocate permanently to Cyprus but would nevertheless like to benefit from the Cyprus tax framework.
Following the recent Cyprus Tax Reform, effective from 1 January 2026, the regime has become even more accessible. In particular, the previous requirement that an individual must not be tax resident in any other country during the same tax year has been abolished.
What are the main requirements?
In order to qualify as a Cyprus tax resident under the 60-Day Rule, an individual must satisfy the applicable statutory requirements, including the following:
1. Establish a sufficient professional or business connection with Cyprus
The individual must carry on a business in Cyprus, be employed in Cyprus and/or hold an office in a Cyprus tax-resident company, subject to the conditions prescribed by law.
Depending on the circumstances, an appropriate Cyprus connection may be established through the incorporation of a Cyprus company and the subsequent establishment of a properly structured contractual relationship between the company and the individual, for example through employment or appointment to an office (under a non – executive agreement).
The appropriate structure will always depend on the individual’s particular circumstances, nationality, existing professional activities and immigration status.
Importantly, tax residency and immigration status are separate legal matters. In many cases, depending on nationality and the applicable entry rules, an individual may be entitled to remain in Cyprus for a short period without obtaining a visa or residence permit. This can make the 60-Day Rule particularly practical for internationally mobile individuals. Immigration requirements must, however, always be considered separately on a case-by-case basis.
2. Spend at least 60 days in Cyprus
The individual must be physically present in Cyprus for an aggregate period of at least 60 days during the relevant tax year.
The 60 days do not necessarily need to be consecutive, allowing considerable flexibility to individuals whose professional and personal activities require them to travel frequently.
Fast-Track Procedure
In cases where there is an urgent need to obtain a Cyprus Tax Residency Certificate, an application may, subject to the circumstances of each case and the satisfaction of the Cyprus Tax Department, be submitted and processed before the individual has completed the required 60 days of physical presence in Cyprus. This may allow the process to commence even at a very early stage of the individual’s stay in Cyprus, provided that the necessary Cyprus ties have been established and sufficient evidence is submitted demonstrating the reasons justifying the early issuance of the certificate.
3. Not spend more than 183 days in any other single country
During the same tax year, the individual must not remain in any other single state for a period exceeding 183 days in aggregate.
Following the 2026 Tax Reform, however, the separate requirement that the individual must not be considered a tax resident of another country has been removed, significantly broadening the potential application of the 60-Day Rule.
4. Maintain a permanent residence in Cyprus
The individual must also maintain a permanent residential property in Cyprus, which may either be owned or rented by him or her.
Why consider Cyprus?
For individuals who satisfy the relevant requirements, the 60-Day Rule provides an opportunity to establish Cyprus tax residency without having to spend the majority of the year in the country.
Depending on the individual’s income, domicile status and personal circumstances, Cyprus tax residency may provide access to a number of advantages available under the Cyprus tax system, including the non-domicile regime, applicable exemptions and Cyprus’ extensive network of double tax treaties.
The combination of these benefits with the flexibility of the 60-Day Rule makes Cyprus an increasingly attractive jurisdiction for entrepreneurs, executives, investors and internationally mobile professionals.
How we can assist
Our team can review and assess each case on its individual merits, taking into account the client’s particular circumstances and the applicable legal and regulatory framework.
For further information regarding the Cyprus 60-Day Tax Residency Rule and the services offered by our firm, please contact Mr. Vasilis Antoniou, Advocate & Legal Consultant, at v.antoniou@markoullc.com.
Disclaimer: The above is provided for general information purposes only and does not constitute legal, tax or other professional advice. The application of the Cyprus 60-Day Tax Residency Rule depends on the particular facts and circumstances of each individual case. Any application and the granting of Cyprus tax residency, including any request submitted under an expedited procedure, are subject to the assessment and approval of the Cyprus Tax Department. Specific professional advice should therefore be obtained before taking or refraining from taking any action
