Cyprus has contracted 33 Treaties in respect to the avoidance of double taxation which apply in 40 countries. In general, the result of these treaties is that companies which are registered in Cyprus and enjoy tax exemptions.

Another important point is the exemption of tax at a low rate for specific income such as interest rights, dividends, capital gains and others which are related to the transactions between the parties which make use of the Treaty for the Avoidance of Double Taxation.

Most Treaties follow the OECD Model Convention, despite the fact that the Treaty with the United States follows the most recent model of USA agreements. Thus, the country of residence shall grant a tax recognition regarding taxes paid in the country where businesses are carried out.

The table below shows the countries that have contracted a treaty for the avoidance of double taxation with Cyprus.