The Cyprus Tax Framework is set for a significant overhaul as work begins on the Integrated Tax Transformation Project. Finance Minister Makis Keravnos emphasized the project's importance, highlighting that tax system provisions and regulations play a crucial role in fostering economic development and ensuring sustainability through a transparent and fair distribution of the tax burden.
During his speech, Keravnos acknowledged the long-standing demand for tax reform from various professional bodies, employers and trade unions, and other organized entities. He stressed the government's commitment to crafting a modernized framework aligned with the evolving economic landscape, characterized by transparency, simplicity, and minimal bureaucracy.
The Minister emphasized the need for the reformed system to be business-friendly, socially equitable, and compliant with European standards, with a primary focus on reducing tax evasion and avoidance while promoting tax fairness.
Keravnos revealed that the Centre for Economic Research at the University of Cyprus, staffed by experienced academics and professionals in tax and legal matters, has been entrusted with the project. He invited stakeholders to provide their insights and suggestions to shape the future tax model, ensuring the best possible outcome for the Cypriot economy.