On 30 June 2023, an amending law with regards to Article 8(23A) of the Cyprus income tax legislation was published in the Official Gazette of the Republic of Cyprus.1 The amending legislation has a retrospective effect, as from 1 January 2022.
As per the amending law, various changes have been introduced with regards to the eligibility conditions for the 50-percent exemption from income tax for first-time employment in Cyprus.
It should be noted that, as a result of its retrospective application, special provisions have also been introduced for individuals who were eligible for the 50-percent exemption under the initial Article 8(23A), as it was in place prior to the publication of the amending law, but those individuals do not satisfy all the conditions under the amended Article 8(23A).
For further details regarding the provisions of Article 8(23A) as initially introduced in 2022, please see GMS Flash Alert 2022-202, 10 November 2022.