The Cyprus Intellectual Property (IP) Regime is one of the most competitive in Europe, offering significant tax advantages to companies that generate income from qualifying IP assets. This includes businesses that own patents, copyrighted software, or create and sell digital products and technologies.

Eligible companies can benefit from an effective tax rate as low as 2.5% on profits derived from qualifying intellectual property. This is achieved through the application of the “80% exemption rule” on net IP income under the Cyprus Income Tax Law.

At TaxInCy, we guide clients through the entire process—from assessing eligibility and structuring the IP ownership correctly, to applying for a tax ruling with the Cyprus Tax Department. This ensures legal certainty and full compliance while unlocking the regime’s full benefits.

Ideal for software developers, digital entrepreneurs, tech startups, and companies engaged in R&D or licensing activities, the Cyprus IP Regime is a powerful tool for optimizing your global tax position.