How long does Cyprus non-dom status last?

Until you've been Cyprus tax resident for 17 of the last 20 years. Since 2026 you can extend it by up to two five-year periods by paying €250,000 per period.

How do you get non-dom status in Cyprus?

Become Cyprus tax resident, then file form TD38 with the Tax Department in the first year you receive dividends or interest. Give form TD624/NP to banks and companies so they don't deduct SDC.

How long does a non-dom application take?

Harneys reports about three weeks. Other firms say several months when the Tax Department is busy or documents are missing. File as soon as you're resident.

Does Cyprus tax foreign dividends?

Not for non-doms, apart from 2.65% GESY. Domiciled residents pay SDC at 5% on dividends from 2026 profits and 17% on older profits. Dividends are never subject to Cyprus income tax.

Do non-doms pay GESY?

Yes. Non-dom only removes SDC. GESY is 2.65% on dividends, interest, rent and pensions, and stops once your total liable income reaches €180,000 in a year.

Can I get Cyprus non-dom with the 60-day rule?

Yes. Non-dom only needs Cyprus tax residency, by either the 183-day or the 60-day rule, and a domicile of origin outside Cyprus.

Do I need to be born outside Cyprus?

Not exactly. What counts is your domicile of origin, normally your father's domicile when you were born. Someone born in Cyprus to British parents is usually still non-dom.

Are my UK dividends taxed in the UK after I move to Cyprus?

Generally not. Article 10 of the UK–Cyprus treaty exempts dividends paid to a Cyprus resident in the UK, apart from 15% on distributions from UK property investment vehicles. As a Cyprus non-dom you then pay no SDC, only 2.65% GESY. Watch the UK five-year temporary non-residence rule if you might return.

Do non-doms pay capital gains tax in Cyprus?

Only on Cyprus property and shares in companies that own Cyprus property, at 20%, like everyone else. From 2026 the lifetime exemptions are €150,000 for a main home and €30,000 for other disposals. Gains on foreign shares and UK property are outside Cyprus CGT.

Does non-dom cover crypto gains?

No. From 2026 crypto-asset gains are taxed at a flat 8% income tax whatever your domicile. Non-dom only removes SDC on dividends and interest.

Which countries have non-dom regimes?

In Europe, Cyprus, Malta, Italy and Greece still have one. Cyprus charges nothing to join, Italy charges €300,000 a year and Greece €100,000. The UK abolished its regime on 6 April 2025.

Non-Dom Cyprus 2026: 0% SDC, 17 Years & How to Claim

Non-Dom Cyprus: How the 0% Dividend and Interest Regime Works in 2026

Cyprus non-dom status exempts tax residents who are not domiciled in Cyprus from Special Defence Contribution (SDC), so their dividends and most interest carry no Cyprus tax beyond the 2.65% GESY health contribution. Most British movers qualify automatically for 17 of their first 20 years here, and since 2026 they can buy up to ten more years at €250,000 per five-year period.

JJason 11 min read Last verified 27 September 2026

Plan my non-dom set-up Check my tax route

The short version

What it does: non-doms pay 0% SDC on worldwide dividends and most interest. Domiciled residents pay 5% on dividends from 2026 profits (17% on older profits) and 17% on interest.

Who qualifies: Cyprus tax residents whose domicile of origin isn't Cyprus. That covers almost every British-born mover.

How long: until you've been Cyprus tax resident for 17 of the last 20 years. From 2026 you can extend by up to two five-year periods at €250,000 each.

What it doesn't cover: income tax on salary, pensions and rent, capital gains tax on Cyprus property, and 2.65% GESY.

How to claim: form TD38 to the Tax Department, and TD624/NP to each bank or company paying you.

SDC on dividends and interest for non-doms

17 of 20

Years before you become deemed domiciled

€250,000

Optional lump sum per 5-year extension

Up to two extensions, from 2026

2.65%

GESY still due on dividends

Max €4,770 a year

What is non-dom status in Cyprus?

Non-dom status is an exemption from Special Defence Contribution (SDC), the Cyprus tax on dividends, interest and (until 2025) rent. SDC only applies to people who are both Cyprus tax resident and Cyprus domiciled. If you're tax resident but not domiciled, you're outside it.

Dividends and interest are already exempt from Cyprus income tax. So for a non-dom, SDC was the only tax left on them. Take it away and dividends and most interest are free of Cyprus tax, apart from the GESY health contribution.

The regime has applied since the SDC law changed on 16 July 2015. It rests on three laws: the Income Tax Law, the SDC Law (117(I)/2002) and the Wills and Succession Law, which defines domicile. The short version is in our non-dom glossary entry, and the Cyprus tax residency hub shows how non-dom fits with income tax and GESY.

Who qualifies for Cyprus non-dom status?

You're non-dom in Cyprus if you're Cyprus tax resident and your domicile of origin is outside Cyprus. Domicile of origin is fixed at birth: you take your father's domicile if he was alive and married to your mother, otherwise your mother's. It is not the same as your birthplace or passport.

Family walking up to a new villa with a pool on the hillside at Peyia — New villas on the hillside at Peyia

For most people born and raised in the UK to British parents, the domicile of origin is in the UK, so they qualify from their first year of Cyprus tax residency.

Two groups need a closer look:

People with a Cypriot father or family roots. You can still be non-dom if you acquired a domicile of choice abroad and weren't Cyprus tax resident for 20 consecutive years before returning, or if you weren't resident at any time from 1995 to 2014.
Long-term residents. Anyone who has been Cyprus tax resident for 17 of the last 20 years becomes deemed domiciled and loses the exemption, whatever their origin.

You must first be Cyprus tax resident under the 60-day rule or the 183-day rule. Non-dom is a layer on top, not a separate residence route.

Cyprus non-dom tax vs domiciled residents (2026)

What each type of income costs a Cyprus tax resident in 2026.

Income	Non-dom	Domiciled resident	Also due
Dividends from 2026 profits	0% SDC	5% SDC	2.65% GESY
Dividends from profits up to 2025	0% SDC	17% SDC	2.65% GESY
Interest (bank deposits, loans)	0% SDC	17% SDC (3% on certain bonds)	2.65% GESY
Rental income	Income tax bands	Income tax bands (SDC on rent abolished from 2026)	2.65% GESY
Salary and business profits	Income tax bands	Income tax bands	Social insurance and GESY
Foreign pension	5% above €5,000, or bands	5% above €5,000, or bands	2.65% GESY

Sources: PwC Worldwide Tax Summaries (reviewed 4 August 2026), KPMG Cyprus April 2026. GESY stops once total liable income reaches €180,000 in a year.

Myth

Myth: non-dom means tax-free

Reality

Non-dom only removes SDC. You still pay income tax on salary, self-employed profits, pensions and rent (the first €22,000 is tax-free), 20% capital gains tax on Cyprus property, and 2.65% GESY on dividends and interest. Your company pays 15% corporation tax before any dividend reaches you. More myths in Cyprus non-dom myths.

What non-dom saves: a worked example

Example: a British couple, both non-dom, living in Paphos. One runs a Cyprus company that pays her €80,000 of dividends from 2026 profits. They also earn €10,000 interest on savings.

Sailing yacht leaving Paphos harbour past the medieval fort at golden hour — Heading out of Paphos harbour on an evening sail

	Non-dom	If domiciled
SDC on €80,000 dividends	€0	€4,000 (5%)
SDC on €10,000 interest	€0	€1,700 (17%)
GESY at 2.65% on €90,000	€2,385	€2,385
Total on this income	€2,385	€8,085

Before the 2026 reform the gap was bigger, because domiciled residents paid 17% on all dividends. With the 5% rate on new profits, the benefit of non-dom now comes mostly from interest and from older retained profits still taxed at 17%.

GESY is capped: once your total GESY-liable income (salary, pension, rent, dividends and interest together) reaches €180,000 in a year, you pay nothing more. The maximum is €4,770. See GESY contributions for how it's collected.

Free introduction

Get your non-dom and dividend plan checked

We'll introduce you to a vetted Cyprus tax advisor who handles non-dom claims and company dividend planning for UK clients. The introduction is free; the advisor quotes their fee.

TD38 claim and domicile questionnaire
Salary vs dividend mix from your company
UK exit timing for dividends and gains

Founder-led. Replies within one working day.

How to get non-dom status in Cyprus

There's no permit and no fee. You declare your status to the Tax Department and to the people who pay you.

1
Become Cyprus tax resident
Year one
Meet the 183-day or 60-day rule and register with the Tax Department for a Tax Identification Code.
2
File form TD38 with the Tax Department
First year you receive dividends or interest
TD38 is the declaration of non-domicile. Attach questionnaire TD38Qa on your domicile of origin (and TD38Qb if you have a Cypriot domicile of origin but claim a domicile of choice abroad).
3
Give TD624/NP to each payer
Before the first payment
Cyprus banks and companies must deduct SDC unless you hand them form TD624/NP. It goes to the payer, not the Tax Department.
4
Reclaim any SDC deducted by mistake
If needed
If SDC was withheld before you filed TD624/NP, claim it back with form TD1EE4A.
5
Keep your evidence
Every year
The Tax Department can ask for passports, boarding passes, leases and title deeds to check your residence and domicile.

Harneys puts the Tax Department's turnaround at about three weeks. Other Cyprus firms say it can take several months when the office is busy or papers are missing, so file early. The Tax Department can issue a non-dom certificate, which Cyprus banks and foreign tax authorities generally accept.

A false declaration on these forms is a criminal offence, with a fine of up to €10,000 and/or up to five years in prison. If you stop qualifying, tell each payer in writing within one month.

The 17-year limit and the new €250,000 extension

Non-dom status ends once you've been Cyprus tax resident for 17 of the previous 20 tax years. For someone who moves in 2026 and stays, that's the end of 2042. After that you're deemed domiciled and pay SDC like a Cypriot.

Family lunch at a long table under a vine pergola in a village garden near Paphos — Long Sunday lunches under the vines

The 2026 reform added a way to keep the exemption. A deemed-domiciled person can elect to pay a lump sum of €250,000 per five-year period, for up to two periods. That buys up to ten more years of SDC exemption on dividends and interest, from Cyprus and abroad, however large the income. It doesn't cover rent, which no longer carries SDC anyway.

At €50,000 a year, the extension only pays for itself if you'd otherwise pay more than €50,000 SDC a year, for example on around €1 million of dividends at 5% or about €300,000 of interest at 17%. For most families it won't be worth it. The figures come from KPMG's April 2026 guide and Cyprus law firms; the Tax Department hadn't published guidance on the election at the time of writing.

Cyprus non-dom vs the old UK non-dom

The UK scrapped its own non-dom regime on 6 April 2025. The remittance basis was replaced with a residence-based system: new UK arrivals get a four-year foreign income and gains exemption if they haven't been UK resident in the previous 10 years.

That matters for British movers in two ways:

Cyprus non-dom is unaffected. It still depends on Cyprus domicile, not UK rules.
UK inheritance tax now follows residence. If you've been UK resident for 10 of the last 20 tax years, your worldwide estate stays in UK inheritance tax for 3 to 10 years after you leave. Cyprus has no inheritance tax, but moving here doesn't remove UK IHT straight away.

Our UK to Cyprus tax guide covers leaving the UK properly.

Cyprus non-dom vs other European non-dom regimes

British movers usually compare Cyprus with Italy, Greece and Malta. Figures are for new arrivals in 2026.

Cyprus

SDC exemption

Wins 2 of 5

Italy

Flat tax

Greece

Investor lump sum

Malta

Remittance basis

Wins 1 of 5

Annual cost

None to claim

€300,000 a year on foreign income

€100,000 a year on foreign income

Minimum €5,000 tax if foreign income tops €35,000

Entry condition

Tax residency (60 or 183 days) and non-Cyprus domicile of origin

Move tax residence to Italy

€500,000 investment in Greece

Residence in Malta

How long

17 of 20 years, plus up to 10 more at €250,000 per 5 years

Up to 15 years

No time limit

Dividends and interest

0% SDC, 2.65% GESY

Covered by the lump sum

Untaxed unless brought into Malta

Who it suits

Most UK movers with dividends or savings

Very high foreign incomes

People who can keep income offshore

The verdict

For a typical British family or company owner, Cyprus is the only one of the four with no entry fee, and it covers dividends and interest in full. Italy and Greece only make sense once foreign income runs into seven figures. Malta's remittance basis works if you can live on money you don't bring in. The UK regime no longer exists. Italy, Greece and Malta figures are from IMI Daily's 2026 comparison; check them with a local advisor.

Boats anchored in the clear turquoise water of the Blue Lagoon on the Akamas peninsula — The Blue Lagoon on the Akamas peninsula, reached by boat from Latchi

Cyprus non-dom: the honest trade-offs

What works

0% SDC on worldwide dividends and most interest

Automatic for most UK-born movers, no fee to claim

Lasts 17 years, extendable since 2026

Combines with the 60-day rule and the 5% pension option

What to watch

Smaller gap on new dividends now domiciled residents pay 5%

GESY at 2.65% still applies

Doesn't touch income tax, CGT on Cyprus property or UK IHT

Your company pays 15% corporation tax first

Non-dom Cyprus FAQs

It means you're Cyprus tax resident but your domicile of origin is outside Cyprus. Non-doms are exempt from Special Defence Contribution, so their dividends and most interest carry no Cyprus tax apart from 2.65% GESY.

Make the most of it

Plan your dividends before you move

When you take dividends, and from which year's profits, now changes the Cyprus bill. A free introduction to a vetted advisor gets it planned before your first payment.

Plan my non-dom set-up Read the 60-day rule guide

Sources checked for this page

1.Cyprus Tax Department — Form TD038 (non-dom declaration)Government
2.Cyprus Tax Department — Form TD38Qa (domicile of origin questionnaire)Government
3.Cyprus Tax Department — Form TD624/NP (SDC exemption declaration)Government
4.Cyprus Tax Department — Form TD1EE4A (SDC refund)Government
5.PwC Worldwide Tax Summaries — Cyprus income determination (pensions, SDC, exemptions)Professional
6.PwC Worldwide Tax Summaries — Cyprus taxes on personal income, 2026 and 2025 bandsProfessional
7.KPMG Cyprus — Tax Residency and Non-Dom Rules (April 2026)Professional
8.Andersen Cyprus via International Tax Review — Cyprus tax reform effective 1 January 2026Professional
9.GESY (Health Insurance Organisation) — Financing: contribution rates and co-paymentsGovernment
10.gov.uk — Reforming the taxation of non-UK domiciled individualsGovernment
11.Cyprus Tax Department — Individuals (tax residency)Government
12.IMI Daily — Special tax regimes in Europe ranked (2026)Professional
13.gov.uk — 2018 UK–Cyprus Double Taxation Convention as amended by the 2018 ProtocolGovernment
14.PwC Worldwide Tax Summaries — Cyprus other taxes (social insurance, GHS, CGT)Professional

Written by

Jason

Founder, Paphos Advisor

British founder who moved his family from the UK to Paphos in 2025. I write down what I learned doing it properly — the tax, the residency and the living-here detail — and introduce people to the specialists I’d use myself.

How I research and fact-check

Non-Dom Cyprus: How the 0% Dividend and Interest Regime Works in 2026

What is non-dom status in Cyprus?

Who qualifies for Cyprus non-dom status?

Cyprus non-dom tax vs domiciled residents (2026)

What non-dom saves: a worked example

Get your non-dom and dividend plan checked

How to get non-dom status in Cyprus

Become Cyprus tax resident

File form TD38 with the Tax Department

Give TD624/NP to each payer

Reclaim any SDC deducted by mistake

Keep your evidence

The 17-year limit and the new €250,000 extension

Cyprus non-dom vs the old UK non-dom

Cyprus non-dom vs other European non-dom regimes

Cyprus non-dom: the honest trade-offs

Non-dom Cyprus FAQs

What does it mean to be non-domiciled in Cyprus?

How long does Cyprus non-dom status last?

How do you get non-dom status in Cyprus?

How long does a non-dom application take?

Does Cyprus tax foreign dividends?

Do non-doms pay GESY?

Can I get Cyprus non-dom with the 60-day rule?

Do I need to be born outside Cyprus?

Are my UK dividends taxed in the UK after I move to Cyprus?

Do non-doms pay capital gains tax in Cyprus?

Does non-dom cover crypto gains?

Which countries have non-dom regimes?

Sources checked for this page

Keep reading

What is non-dom status in Cyprus?

Who qualifies for Cyprus non-dom status?

Cyprus non-dom tax vs domiciled residents (2026)

Get your non-dom and dividend plan checked

How to get non-dom status in Cyprus

Become Cyprus tax resident

File form TD38 with the Tax Department

Give TD624/NP to each payer

Reclaim any SDC deducted by mistake

Keep your evidence

The 17-year limit and the new €250,000 extension

Cyprus non-dom vs the old UK non-dom

Cyprus non-dom vs other European non-dom regimes

Cyprus non-dom: the honest trade-offs

Non-dom Cyprus FAQs

What does it mean to be non-domiciled in Cyprus?

How long does Cyprus non-dom status last?

How do you get non-dom status in Cyprus?

How long does a non-dom application take?

Does Cyprus tax foreign dividends?

Do non-doms pay GESY?

Can I get Cyprus non-dom with the 60-day rule?

Do I need to be born outside Cyprus?

Are my UK dividends taxed in the UK after I move to Cyprus?

Do non-doms pay capital gains tax in Cyprus?

Does non-dom cover crypto gains?

Which countries have non-dom regimes?