Cyprus-US Cross Border Tax and Residency By Investment Update for 2025

The Essential Tax Podcast with Mishkin Santa, Season 2, Episode 4

In this episode of The Essential Tax Podcast, Mishkin Santa speaks with Eleni Drakou, Partner at Michael Kyprianou Law Firm, Limassol, Cyprus. Eleni holds a law degree from the Aristotle University of Thessaloniki in Greece and a master’s degree in management (MA) from the University of Wolverhampton Business School in the United Kingdom. Eleni specializes in immovable property law and has extensive immigration law experience. Her practice focuses on strategic planning for business growth in Cyprus and abroad.

Eleni and Mishkin discuss general Cyprus tax and immigration laws, the status of residency by investment and other beneficial tax programs in Cyprus, an overview of Cyprus entities and trusts, and more.

Tune in for these key takeaways:

• Information about the Cyprus 183-day and 60-day tax residency rules

• Details about the new Cypriot Center of Business Interest rule, to be implemented in 2026

• Cyprus income tax rates and reporting requirements

• Cyprus tax exemptions and benefits for non-domiciled individuals

• Details on the upcoming Cyprus tax reform initiatives and associated updates to the Cyprus tax code coming in early 2026

• Available Cyprus Ministry of Finance tax deductions for charitable contributions, home loans, dependents, and rental payments

• Cypriot Wealth and special assessment taxes for immigrating individuals

• Details about the Cyprus Investment Promotion Agency

• Suspension of the Cyprus Citizenship by Investment (CBI) Program and replacement with other paths to naturalization

• How the US Controlled Foreign Corporation (CFC), Foreign Grantor/Non-Grantor Trust, Passive Foreign Investment Company (PFIC), and Foreign Financial Asset reporting rules apply to various aspects of Cyprus financial assets, investments, and entities

• The transition from temporary to permanent tax residency in Cyprus

• Cyprus’s Requirements for reporting worldwide income

• Requirements, purposes, and benefits of establishing a business entity or trust in Cyprus

• Current and potential future Cyprus tax rates for business entities and trusts

Learn more about Eleni Drakou:

• Visit the About page on Michael Kyprianou Law Firm’s website: https://www.kyprianou.com/about/

• View Eleni’s profile on Michael Kyprianou Law Firm’s website: https://www.kyprianou.com/key_contact/eleni-drakou/

• Connect with Eleni on LinkedIn: https://www.linkedin.com/in/elenidrakou/

• Follow Michael Kyprianou Law Firm on LinkedIn: https://www.linkedin.com/company/m-kyprianou-llc/

• Visit Michael Kyprianou Advocates’ YouTube Channel: https://www.youtube.com/channel/UCzOqshpyMFb7nk3EKZeHlWw/videos

• Follow Michael Kyprianou Law Firm on Facebook: https://www.facebook.com/MiKyprianou

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About The Essential Tax Podcast:

In each episode of The Essential Tax Podcast, Mishkin Santa takes on the complex world of tax — all the jargon, acronyms, and stuff that makes your eyes glaze over, and explains it in an impactful way to understand the complex and unknown areas.

Watch or listen to more episodes of The Essential Tax Podcast:

• * YouTube: https://www.youtube.com/@TheWolfGroupPC

• * Apple: https://podcasts.apple.com/us/podcast/the-essential-tax-podcast/id1754660944

• * Spotify: https://open.spotify.com/show/2beZfOpwfBlBgWHlNelAOf

Connect and learn more from your host, Mishkin Santa:

• Connect with Mishkin on LinkedIn: https://www.linkedin.com/in/msanta

• Follow The Wolf Group on LinkedIn: https://www.linkedin.com/company/the-wolf-group-pc

• Read Mishkin’s bio on The Wolf Group’s website: https://thewolfgroup.com/our-people/mishkin-santa