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Cyprus-Jersey DTT

Cyprus signs double tax treaty agreement with Jersey – an important financial centre.

Published on: 29 August 2016

In a recent press release by the Ministry of Finance, the negotiation teams of the Republic of Cyprus and Jersey have signed an agreement at the Cyprus High commission in London, on the 11th of July, for the avoidance of Double Taxation on Income and on Capital, based on the OECD model Convention

The said agreement increases the number of DTT agreements signed by the Republic of Cyprus to 60 and expands the commercial and economic development of the country in order to boost foreign investment, as Jersey is considered a prime financial centre and is of political and economic importance.

Following the formal acceptance of the agreement, assuming the usual model convention provisions have been met, whose details are yet to be published, the two countries are expected to ratify agreement, prior to it entering into force. It will become effective from the commencement of the year proceeding its entry into force.

Cyprus is considered one of the most favourable tax jurisdictions in the world and has significant tax planning opportunities.

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