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Cyprus Income Tax Bands 2026: What Changed and What You Now Pay

The 2026 reform raised the tax-free threshold from €19,500 to €22,000 and added a 35% top rate above €72,000. Here are the new bands, the old ones, and what the change is worth.

Tax year 2026✓ Figures verified 2026-09-05cyprusincome tax2026 reformtax bandsrates

What this covers

The 2026 tax reform changed the personal income tax bands in Cyprus for the first time in many years. The tax-free threshold went up, a new top rate was added, and the bands in between were widened.

These are the bands as published by the Tax Department, alongside the ones they replaced, so you can see exactly what moved.

The bands from tax year 2026

Taxable income Rate Tax on the band Cumulative tax
€0 to €22,000 0% €0 €0
€22,001 to €32,000 20% €2,000 €2,000
€32,001 to €42,000 25% €2,500 €4,500
€42,001 to €72,000 30% €9,000 €13,500
Above €72,000 35% (income − €72,000) × 35% €13,500 + (income − €72,000) × 35%

These are marginal rates. The 35% applies only to the part of your income above €72,000, not to the whole of it.

The bands they replaced, tax years 2008 to 2025

Taxable income Rate
€0 to €19,500 0%
€19,501 to €28,000 20%
€28,001 to €36,300 25%

The Tax Department continues to publish the full pre-reform table, along with the 1991 to 2007 bands, on its Individual Income Tax Return page.

What actually changed

The tax-free threshold rose from €19,500 to €22,000. Everyone earning above the threshold gains from this, because the first €22,000 is now untaxed.

Every band was widened. The 20% band used to end at €28,000 and now runs to €32,000. The 25% band used to start at €28,001 and now starts at €32,001.

A 35% rate was introduced above €72,000. Before the reform the top rate applied from a much lower level, so higher earners face a new top rate but reach it later.

Worked example

Someone with taxable income of €50,000 in tax year 2026.

  • First €22,000 at 0% = €0
  • Next €10,000 (€22,001 to €32,000) at 20% = €2,000
  • Next €10,000 (€32,001 to €42,000) at 25% = €2,500
  • Remaining €8,000 (€42,001 to €50,000) at 30% = €2,400
  • Total: €6,900

The cumulative column in the Department’s table gives the same answer: €4,500 of cumulative tax at €42,000, plus 30% of the €8,000 above it.

Taxable income is what remains after deductions. The 2026 reform introduced several new ones, which are covered in the deductions guide.

Filing: method and deadline

From tax year 2026, returns are submitted exclusively through the Tax For All (TFA) platform. TAXISnet was the exclusive route for tax years 2017 to 2025 and is being replaced.

Under Article 5 of the Tax Assessment and Collection Law, the statutory deadline is 31 July of the following year. In practice the Council of Ministers extends it almost every year by decree under Article 13(1), so the statutory date and the real date usually differ.

Tax year Actual deadline
2025 31 October 2026
2024 15 October 2025
2023 30 November 2024
2022 31 October 2023
2021 31 August 2022

What commonly goes wrong

Treating the top rate as applying to all income. It does not. Only the portion above €72,000 is taxed at 35%.

Assuming the statutory deadline is the real one. 31 July is the date in the law, but it has been extended by decree in every recent year. Check the current year’s announcement rather than counting on July.

Using TAXISnet for tax year 2026. From 2026 onwards, submission is exclusively through Tax For All.

Confusing gross income with taxable income. The bands apply after deductions and exemptions, not to your gross salary.

Where to check

The Tax Department publishes the current bands, every historical band table, and the full list of filing deadlines on its Individual Income Tax Return page. If you spot an error in a return you have already filed and the deadline has passed, Form T.F.001AN is the amendment route.

For anything that depends on the numbers, have it confirmed by a firm licensed to advise in Cyprus.

Official sources

Everything above traces to these. We summarise and explain them; we do not replace them.

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