How high are the special defence contributions in Cyprus?
As Cyprus Non-Dom, you are exempt from Cyprus's special defense contributions (SDC).
| Type of income | Income tax | SDC |
|---|---|---|
| Dividends | Exempt | Exempt |
| Interest | Exempt | Exempt |
| Rental Income | Taxable (normal rates) | Exempt |
However, a tax residence domiciled in Cyprus will be subjected to a 17% interest tax rate and 30% for dividends based on the SDC law. The rent income will also be subjected to a 3% rate on 75% of the gross amount.
| Type of income | Income tax | SDC |
|---|---|---|
| Dividends | Exempt | 17% |
| Interest | Exempt | 30% |
| Rental Income | Taxable (normal rates) | 3% on 75% of gross income |