President Nikos Christodoulides has expressed the hope that Parliament will approve the Government's proposal for tax reform with relevant legislation submitted to the Cabinet meeting today, Wednesday, 29 October.
During his opening statement at the Cabinet meeting the President of the Republic, in a message to MPs, said, "I want to express my satisfaction because 22 years after the last tax reform, within the framework of our policy for continuous reforms, we will today approve six bills for the country's Tax Reform.
He said the reform was characterised by the government's clear ideological-political philsophy, which is Social Liberalism and which touches all its policies.
"Through our proposals, I am happy because we are achieving our first goal, which was a fairer distribution of the tax burden. We are essentially strengthening the middle class, which is the backbone of our economy and society. We are strengthening families with provisions for more tax breaks based on family composition and taking into account that we must face the demographic challenge," Christodoulides said.
He also said that the goal of acquiring housing was being achieved, "which is a great challenge, especially for the younger generation."
" We substantially support large and single-parent families," the President continued.
He went on to note, "We are promoting female employment, taking into account the fact that unemployment rates are below 5%, we are strengthening Cypriot businesses. For the first time, Cypriot businesses are being strengthened to such an extent. And of course, we are promoting the Digital and Green Transition."
"It is particularly important that with our proposals, in some cases, the taxable income exceeds the €24,500 I had promised during the election campaign. I hope that Parliament will respond immediately and that the Tax Reform in its entirety will be implemented from 1 January 2026. I would like to remind you that we first presented our framework in February 2025 and extensive consultation took place with all stakeholders," Nikos Christodoulides went on to note.
"Now is the time for decisions. Now is the time for a vote by Parliament," he continued, "Our responsible fiscal policy, far removed from populism and cheap public statements that in the past unfortunately led the country to economic disaster, allows us to move forward with this bold tax reform after 22 years, through which the Cypriot citizen, Cypriot businesses and society at large, to whom we are exclusively accountable, will benefit," he underlined, concluding, "So, I hope the Parliament will respond and from January 1, 2026 we will have a new tax framework."
(Source: InBusinessNews)
