Cypriot employers ask for tax overhaul

Employers in Cyprus are advocating for a comprehensive overhaul of the tax system, proposing significant changes aimed at boosting economic activity and competitiveness.

They are calling for adjustments to individual tax rates, including reducing taxes on interest earned from savings to 10%. They also propose raising the tax-free threshold to account for the increased cost of living over the past two decades. Additionally, they recommend introducing a "mortgage relief" program to allow homebuyers to deduct loan interest from their taxable income, potentially increasing disposable income and stimulating economic activity. Furthermore, they suggest granting couples/single parents the option to file taxes separately or jointly. Lastly, they're urging authorities to seek VAT exemptions on land sales from the European Union, aligning with practices in other European countries.