Top Things to Keep in Mind When Moving to Cyprus from UK

Top Things to keep in mind when moving to Cyprus

Are you thinking of moving to Cyprus from the UK? We can assist with immigration permits, property rental or purchase, starting a business, or obtaining a tax residency permit in Cyprus. 

Below, you will find the essential information you need to know about making your dream come true without hassle.

UK citizens arriving in Cyprus after Brexit.

You can arrive in Cyprus through the Paphos International Airport or the Larnaca International Airport. However, depending on your country of nationality, you may need an entry visa to do so on some occasions.

UK nationals moving to Cyprus after Brexit do not require a visa to enter the country. You can enter Cyprus and stay without restrictions if you obtained a residence permit (MEU1, MEU2, MEU3) before December 31, 2020.

If you don’t have a permit to live in Cyprus, you can still apply for a residence permit with an MEU1, MEU2, or MEU3 application. These are the residence permits that existed for British citizens before Brexit. The Category F residence permit is also an option for long-term residency for those with a secure income.

British citizens who wish to reside in Cyprus after Brexit and who have not obtained a residence permit before December 31st, 2020, will have 90 days from entering Cyprus to either leave the country or apply for residency under the new regime. The temporary residence permit (pink slip) is an option for those who wish to extend their stay beyond 90 days. For more information, click here for our guide: Residence in Cyprus for English nationals after Brexit.

Third-country nationals arriving in Cyprus 

You may need a visa when arriving to Cyprus from other countries, such as South Africa. Remember, you can only stay in Cyprus with an entry visa for a maximum of 90 days. Even when a visitor does not require a visa, the maximum 90-day rule still applies.

Once you arrive in Cyprus, you can take the necessary measures to apply for a residency permit. There are two types of residence permits: temporary (called “pink slip”) for 1 year and permanent (fast track or long track). For more information on Cyprus and temporary residence permits, click here, and for permanent residency schemes, click here.

Choosing a place to live in Cyprus

Most British expatriates choose to live in the Paphos District due to its authentic and peaceful lifestyle. Conversely, Limassol is a busier, more cosmopolitan place, whereas Nicosia is the island’s capital. Larnaca is also a popular choice for some people who wish to be close to the Larnaca International Airport.

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Buying or renting a property in Cyprus

To live in Cyprus, you usually have to buy, engage in a property purchase, or rent a house or apartment to get a residence permit. Typically, visitors also do this when they intend to reside in Cyprus and don’t want to stay with friends or family.

You can read our brief guide to buying a property here. The timing for completing a property purchase varies depending on the circumstances. It is highly recommended that a real estate agent be engaged when buying property in Cyprus to navigate the local market and handle the necessary paperwork.

Our “Fast Conveyancing Initiative” can sometimes complete property purchases or sales in just 15-30 days. This is significantly faster than the usual time frame of 3-6 months. Also, we usually finish our transactions in under 45 days, making us possibly the quickest firm in Cyprus.

Long-term rental is also an option for people who want to get temporary or permanent residency. However, when it comes to permanent residency, only the long-track permanent residency (Category F) is an option with a rental. The fast-track permanent residency application requires the purchase of a new property of a minimum value of €300.000 plus VAT. There are also options for retirees, such as the Category F permit and the investor’s permanent residence permit, which cater to different eligibility criteria and benefits.

Rents vary depending on location. Typically, renting a property will be cheaper in Paphos and Larnaca than in Limassol.

Starting a business and working in Cyprus 

Starting a business in Cyprus is simple. However, non-EU citizens without a work permit can only do it by becoming shareholders.

They also need to appoint others as directors and secretary. These people can sometimes act as nominees on your behalf. For our company registration guide, click here.

This for example applies to holders of a temporary or permanent residency permit in Cyprus. 

EU citizens can easily obtain a work permit with a simple registration. Non-EU citizens can apply for a work permit under the following schemes:

  1. For specialized work in a company, the number of employees from third-party countries cannot exceed 30% of the total number. For more information, see our comprehensive guide here.

  2. Under an entrepreneur’s visa, for which you can read our guide here; or

  3. If you are the director, manager, or specialist of a Cypriot company that received a €200,000 foreign investment. (in which case the family of the work permit holder can get a residence permit too). For more information, click for our guide here

The National Health System of Cyprus (GESY)

When moving to Cyprus, registering with the country’s National Health System, known as GESY, is important. This is available for holders of permanent residence in Cyprus and people who work in Cyprus. 

Taxation in Cyprus

Cyprus offers one of the most competitive taxation schemes in Europe. Living in Cyprus allows you to become a tax resident. As a tax resident, you can benefit from various advantages, including favourable income tax rates for retirees.

These advantages include not having to pay tax on dividends from anywhere. Additionally, you are exempt from capital gains tax, except when selling property in Cyprus. Lastly, there is no inheritance tax in Cyprus.

Expats in Cyprus only pay 5% tax on pensions from abroad, after the first €3,420 which is tax-free. Foreign pension income is subject to a flat tax rate, benefiting from double taxation agreements that make taxation favorable for retirees.

Making future arrangements 

To buy a property in Cyprus, you should make a will or trust. If you pass away, Cyprus law applies to all your property in Cyprus. This means that your English or other country’s will shall be subject to Cypriot law, including forced heirship. 

To prevent future issues with asset distribution, we recommend creating a will or engaging in estate planning.

The above information is for information purposes only, accurate only on the date given and should not be relied upon without advice.

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Contact us today for expert advice on residency, property purchase, and business setup in Cyprus.

+357 26 822 122 [email protected]