Marios Andreou: How and why Cyprus can benefit from the abolition of the UK non-dom

Cyprus can benefit from the UK’s intention to abolish its provision of non-dom status from next April, Marios Andreou, Partner, Tax Advisory, Head of UK & India Market at PwC Cyprus suggests.

Speaking to InBusinessNews, he notes that what remains to be seen are the precise measures that we be announced by the UK and exactly how much Cyprus will benefit from the situation that will develop.

However, based on statements that have already been made, the nom-dom regime will essentially be replaced with some new measures that will be competitive on an international level.

The British calculations

Referring to calculations by the British government, according to which of the 74,000 non-doms in the United Kingdom, around 1,200 to 1,400 may leave due to the new government policy, Marios Andreou explained that at first the number may seem small and not what some had expected, but for the economy of Cyprus the number could be considered satisfactory - depending on which non-doms Cyprus will attract will be and if they will transfer their businesses to Cyprus.

"We don't have data on how these numbers were calculated and how each non-dom is affected," noted Andreou, who believes the degree to which each will be affected will be different.

More particularly, for the existing non-doms, he anticipates that one portion will not be affected, another will be affected, but not to a great extent, while others will be more affected, but of these, not all will leave London. "They will consider their situation and decide accordingly," he pointed out.

London offers much more than a tax regime

London and the United Kingdom offer much more than a tax regime, so the degree to which each non-dom will be affected concerns a wider level and not just the tax one, he explained.

"It is possible that some new non-doms that would be interested in UK status will reconsider their options and choose a more advantageous option," he added.

Why Cyprus?

Cyprus has a very good ecosystem, we have our own non-doms that help the economy a lot with their investments, Andreou stated, adding that as a country Cyprus must communicate its advantages, such as its geographical position, participation in the EU and some tax benefits provided to non-doms.

However, he also underlined that legislation for non-doms also exists in other countries, such as Greece, Italy and Switzerland and noted that there are many destinations for high net worth individuals (HNWI) and their businesses and that it is not only tax benefits that play a role in such cases, but also what each country can offer them in general.

The IMH conference in collaboration with Invest Cyprus in London

IMH in collaboration with Invest Cyprus is on 4 December organising the ‘Non Doms: The Cyprus Private Client Offering Gathering 2024’ conference in London with the main theme of ‘Cyprus: A destination of choice for High Net Worth Individuals (HNWIs), their families, companies and employees.’

The purpose of the conference is to highlight Cyprus, as one of the few places in the world and especially in the EU, that offers a full range of quality services to meet the needs of private customers, the wide range of advantages, both financial and non-financial, available to affluent and wealthy individuals, their families, businesses and employees.

More specifically, the conference "Non Doms: The Cyprus Private Client Offering Gathering 2024" aims to present all the benefits and advantages Cyprus can offer private clients, from taxation and wealth preservation and living and working in Cyprus to the establishment of a business presence on the island.

Read more and find out about the conference HERE

(Source: InBusinessNews)