# Income Tax in Cyprus



## Zinfandel (Feb 11, 2015)

Hi all,

I'm trying to estimate what my net salary would be if I were to take up a position in Cyprus.

I know that it's 20% above €19,500 but I was wondering what else comes out of your salary? I've seen things about Providence Funds and Industrial Training but I don't know exactly what the rates are for this? 

I would much appreciate any advice.

Thank you.


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## Baywatch (Mar 30, 2014)

Zinfandel said:


> Hi all,
> 
> I'm trying to estimate what my net salary would be if I were to take up a position in Cyprus.
> 
> ...


Hi!

7.8% is taken as social fund contribution. That should be all that is deducted from your salary. The employer pay the same amount in social contributions plus some other costs.


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## Zinfandel (Feb 11, 2015)

Baywatch said:


> Hi!
> 
> 7.8% is taken as social fund contribution. That should be all that is deducted from your salary. The employer pay the same amount in social contributions plus some other costs.


Thank you Baywatch, much appreciated!

Couple of questions. Is that amount paid on all your earnings? 

Also, Is the income tax calculated on your gross amount? So for example you earn €23,000. 

7.8 Social fun is €21,206. 

Would you pay Income Tax on the difference between €19,500 and €21,206 or would you still pay 20% of the difference between €19,500 and €23,000?


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## Baywatch (Mar 30, 2014)

Zinfandel said:


> Thank you Baywatch, much appreciated!
> 
> Couple of questions. Is that amount paid on all your earnings?
> 
> ...


As I can interpret the regulation you pay on income minus the social contribution

http://www.pwc.com.cy/en/publications/assets/tax-facts-figures-2016-english-january-2016.pdf


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## GSmith (Nov 9, 2015)

Baywatch said:


> As I can interpret the regulation you pay on income minus the social contribution
> 
> http://www.pwc.com.cy/en/publications/assets/tax-facts-figures-2016-english-january-2016.pdf


Spot on Anders. You can also claim for payments to some life insurance policies so given the figures quoted, the tax payable on a €23,000 salary will be minimal


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## Zinfandel (Feb 11, 2015)

GSmith said:


> Spot on Anders. You can also claim for payments to some life insurance policies so given the figures quoted, the tax payable on a €23,000 salary will be minimal


Thanks very much . 

Any idea if it's a comfortable amount to live on?


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## GSmith (Nov 9, 2015)

Hi Zinfadel, You are moving to the right town. Limassol is a great place to live with lot's of life and events. You can livve comfortably on 23,000 as long as you don't expect to live in a villa with a pool etc. The property rentals here are more expensive than Paphos for example but that reflects demand as there are more work opportunities here. Have you found a place to live? What area are you going to work in? If you want more lowdown on the area, send me a PM.

Best wishes for the future

Garry


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## GSmith (Nov 9, 2015)

*Update*

I'd like to update the info on this post.

Living in Limassol is still great but rental prices have soared in the last couple of years and now even finding an apartment to rent within the city is difficult. Expect to pay €850pm to €1,000pm for a tidy 2 bed apartment with parking.

That said, there are lots of employment possibilities


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