Finance Minister Harris Georgiades has floated the idea of raising the corporate tax in Cyprus from the current 12.5% to 15% in a meeting with business bodies last week.
The idea came as a bombshell since tax reform proposals that are currently under discussion make no reference to changing the tax rate.
The report was run by Nomisma website.
According to Insider’s sources, the minister proposed some changes to set off such an increase, such as reducing the tax on dividends from the current 17% to 15%, reducing the capital gains tax from 20% to 15% and halving the tax on interest from the current 30% to 15%.
The business associations have reportedly asked for time to examine the proposals.