The Foreign Direct Investment (FDI) Screening Law of 2025 (Law 194(I)/2025) officially entered into force in Cyprus on April 2, 2026. Transposing EU standards, this framework mandates pre-approval for certain third-country investments to protect national security and public order.

• Who It Applies To: Non-EU/EEA/Swiss investors and EU-based entities with direct, indirect, or ultimate beneficial third-country ownership exceeding 25%.

• Mandatory Triggers: Filing is strictly required before a deal closes if an investment hits a target value of €2,000,000 within a critical sector, OR if a foreign investor's equity or voting stake crosses the 25% or 50% threshold.

• Target Sectors: Critical infrastructure (energy, health, finance, transport, tourism), sensitive data management, and advanced tech like AI, cybersecurity, and biotech.

• Review Timelines: Managed by the Ministry of Finance, Phase I takes up to 20 working days. If a transaction is escalated to a deep-dive Phase II review, it takes up to an additional 65 working days.

• Penalties & Audits: Non-compliance can lead to transactional blocks, transaction reversal, and fines up to €100,000. The Ministry also holds a 5-year look-back window to audit unnotified mandatory transactions.

Grant Thornton Cyprus hosted its bi-annual Concert for a Cause, bringing together more than 300 colleagues, clients, friends, and family members for an evening dedicated to community, collaboration, and meaningful impact.

Πρόκειται να προσλάβετε καινούριο προσωπικό; Γνωρίζετε ότι με την πρόσληψη προσωπικού, μπορείτε να επιχορηγηθείτε μέχρι και το 80% του μισθολογικού κόστους του νέου ατόμου;

Blockchain
Blockchain is a shared, immutable ledger that provides an immediate, shared and transparent exchange of encrypted data simultaneously to multiple parties as they initiate and complete transactions.

Since members share a single view of the truth, they gain confidence and trust in their transactions with other members, along with new efficiencies and opportunities.

Cyprus tax residents are taxed on all chargeable income accrued or derived from all sources in Cyprus and abroad. Non-tax residents are only taxed on their income accrued or derived from sources in Cyprus. Certain types of income are subject to SCD
(See article on the taxation of investment income https://shiakas.com/taxation-of-cyprus-investment-income/)