Set at the crossroads of Europe, Asia, and Africa, the Republic of Cyprus occupies one of the oldest inhabited islands in the Mediterranean, with history and culture spanning millennia. Its unique identity was shaped by Greek, Ottoman, British, and Middle Eastern influences, and, after gaining independence in 1960, Cyprus became a young state with one of Europe’s most progressive stances on business and mobility.

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In recent decades, the island has been acknowledged among the region’s top expat hubs – and this transformation was not accidental but the result of strategic reforms, foreigner-friendly policies, and tax incentives. Cyprus gained independence from Britain but kept English embedded in its legal and business systems, making it exceptionally easy for internationals to integrate. Unlike its Southern European neighbors, the island leaned early into economic diversification, shifting from a tourism-driven economy to a broader service-oriented model and becoming a tech and professional services hub with reliable digital infrastructure. Combine this with EU member status, low taxes, and easy residency routes for employed professionals, entrepreneurs, and digital nomads alike, and you will get the recipe for the perfect expat destination with long-term perks way beyond ancient ruins, Byzantine monasteries, and sun-soaked Mediterranean charm.

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This guide covers all key aspects of work- or business-related relocation to Cyprus: visa paths available for various types of professional activity, the country’s unique tax landscape, living essentials, as well as tips and shortcuts to speed up and simplify the process.

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What types of visas are available for non-EU nationals to live and work in Cyprus?

As of 2025, Cyprus offers a variety of visa pathways specifically designed to attract highly skilled workers, entrepreneurs, and remote professionals from all over the world. The following types of visas are available:

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• Standard Work (Category D) Visa. This visa is designed for non‑EU nationals hired by Cyprus-based employers in sectors like education, healthcare, tourism, and skilled trades, and is valid for 1 year with the possibility of renewal. An eligible applicant must meet the minimum salary threshold, provide a formal job offer, and secure employer sponsorship.
• EU Blue Card. In July 2025, Cyprus joined other EU countries in issuing this type of visa, which is intended for highly skilled professionals in IT, shipping, and pharmaceutical research. The Cyprus EU Blue Card is valid for 2 years or, in case of a shorter contract, for the duration of the contract plus an additional 3 months. Eligibility requirements include a relevant degree or at least 3 years of equivalent experience, a job contract of 6 months or more, and a gross annual salary of at least EUR 43,632.
• Digital Nomad Visa. Unlike its counterparts on the Iberian peninsula, which are also extremely popular with digital nomads but have yet to develop more attractive visa policies, Cyprus welcomes this category of professionals with open arms. The country’s Digital Nomad Visa is valid for 1 year with a possibility of renewal for 2 more years. Eligible applicants must earn at least EUR 3,500 monthly (net) and work for foreign clients or employers. Notably, visa holders who stay in Cyprus for fewer than 183 days per year remain tax non-residents. Beyond that, they may benefit from the 50% tax exemption on foreign income above EUR 55,000.
• Startup Visa. This visa is targeted at non‑EU founders and C-level executives relocating a scalable, innovation-led business to Cyprus, and is valid for 3 years, with the possibility of extension for another 2 years. After the January 2025 update, holders of the Startup Visa in Cyprus enjoy a reduced share-capital requirement (25%) and can hire up to 50% non-EU staff.

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How much tax do expats pay in Cyprus?

The country’s tax regime is explicitly tailored to attract global professionals, startup founders, and location-independent freelancers. Individuals employed by local companies pay progressive personal income tax: from 0% on annual income up to EUR 19,500 to a maximum of 35% on annual income above EUR 60,000. Foreigners meeting the 183‑day or 60‑day threshold become tax residents, while non-domiciled residents enjoy zero Special Defence Contribution (SDC) on dividends, interest, and rental income.

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💡To get an accurate idea of your net (after-tax) salary in Cyprus or to forecast your employer’s contributions for the local team, we recommend using the Payroll Cost Estimator tool.

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Employers enjoy a 12.5% corporate tax rate, one of the lowest in the EU and effective for most SMEs and startups. While a proposed tax reform may soon raise this to 15%, local authorities are introducing measures to offset the increase, such as investment tax credits, an enhanced IP regime, and capped withholding taxes for cross-border royalties and dividends.

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Self-employed professionals benefit from social security contributions capped at 16.6% of income. Moreover, remote earners and digital nomads working outside Cyprus who register as tax residents may qualify for the 50% exemption on annual foreign income over EUR 55,000. This and the absence of inheritance, wealth, or capital gain tax (except on real estate) make Cyprus an appealing destination for globally mobile talent.

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What is the cost of living in Cyprus, and what essential services are available?

In the island’s most popular expat hotspots, such as Limassol, Nicosia, Paphos, and Larnaca, living costs remain competitive compared to many Western and Southern European destinations: expect EUR 600-1,300 per month for a one-bedroom apartment, EUR 250-350 for groceries, and EUR 120-180 for utilities and internet.

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Public healthcare under the national GeSY system is accessible to residents through modest insurance contributions (2.65% of gross monthly salary for employees and 2.90% for employers). Individuals who are not eligible for state healthcare can access private options through international or local insurance providers. The costs are higher than those under GeSY, but still on the more affordable side Europe-wide: approx. EUR 50-100 per GP visit or EUR 150-300 per month for comprehensive coverage.

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Public education is free but conducted in Greek. International kindergartens and schools that teach the English curriculum typically cost between EUR 5,000 and EUR 15,000 per year.

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It is also important to note that public transport options are limited outside of urban hubs. Car ownership is essential for getting around the island, especially if you live in less crowded areas.

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What are the possible challenges of relocating to Cyprus, and how to overcome them?

While Cyprus offers an affordable and laid-back Mediterranean lifestyle, local salaries are modest, and it is better to move here with a foreign income or a contract in a highly skilled, well-paid field. Bureaucratic delays may affect the processing of applications for long-stay permits. Finally, newcomers may need several years before becoming eligible for full social benefits such as a pension or certain healthcare subsidies. 

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Are you interested in moving to Cyprus for work? Or are you representing a business and exploring the fastest and safest way to relocate your team to Cyprus?

To employers, we offer an EOR solution: we hire and manage teams locally on your behalf without the need to establish a legal entity. For employees and remote workers, our Umbrella Company solution works best: we handle your employment, allowing you to live and pay taxes locally while working for a foreign employer.

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Our team has an in-depth understanding of the local landscape and is happy to provide you with detailed information. Book a meeting with our expert or submit a request form, and we’ll be in touch with you soon!