Cyprus - Netherlands Double Tax Treaty

A new double tax treaty with The Netherlands was concluded in September 2019, the provisions of which will take effect on or after 1 January 2021.


The taxes that are covered are as follows: -


  • Dividends – the treaty provides for a 15% withholding tax on dividends unless the beneficial owner of the dividend holds at least 5% of the share capital of the dividend paying company for a period of at least one year or the beneficial owner is a recognized pension fund.


  • Interest and Royalties – there is no withholding tax on interest and royalties as far as the recipient is the beneficial owner of the income.


  • Capital gains – gains from the sale of shares of companies are taxed in the country where the seller is located, except in the case of sale of shares of immovable property companies, where the tax is levied in the country where the immovable property is located.


Latest news

Changes to the Cyprus - Russian double taxation treaty

Negotiations to the Cyprus and Russian double taxation treaty have taken place following the request from Russia for an increase in the withholding tax on income from dividends and interest to 15% (currently the treaty provides for withholding tax of either 5% or 10% on dividends, and 0% on inter...…

Published: Sunday 16 August, 2020

Filing of companies temporary tax return for the year 2020

It is a requirement of the Cyprus tax system that tax on a company's profits for the current tax y...…

Published: Saturday 20 June, 2020

Extension for filing of personal tax returns

It has been announced by the Commissioner of Taxation that if a person's gross income for the year 2019 exceeds €19.500 (it applies to employees, pensio...…

Published: Thursday 18 June, 2020