Cyprus has been in the list of states with preferential tax status of the Hellenic Republic since 2014, the Ministry of Finance noted on Thursday in a written statement, adding that this does not affect commercial and economic relations between the two states.

As stated by the Ministry, the Republic of Cyprus has been included in the list since March 7, 2014, as the conditions for its inclusion are met, based on Greek legislation. According to it, the list includes states whose tax rate on profits or income or capital is equal to or less than 60% of the tax rate of legal persons and legal entities, according to Greek tax legislation.

Therefore, since the corporate tax rate in Cyprus is 12.5% and is less than 60% of the corresponding corporate rate of the Greek Authorities (22%), Cyprus has been included in the list since 2014, it is added.

Along with the Republic of Cyprus, the Greek list also includes other European states such as Ireland, Hungary and Bulgaria, although none of them is included in the European list of non-cooperative jurisdictions, since the inclusion criteria are not based on the corporate tax rate but are related to tax transparency, information exchange and fair taxation, the Ministry clarifies.

Finally, the Ministry noted that the inclusion of Cyprus in this list does not affect the commercial and economic relations between the two states, nor the business activities between Cypriot and Greek companies.