Law enforcement in Paphos is cracking down on tobacco smuggling with heavy fines reaching up to €12,500 to combat tax evasion and protect public health. Recent seizures of illicit tobacco products highlight the rigorous checks and swift legal action taken by authorities to deter illegal trade and safeguard the community.
The Israel Tax Authority is cracking down on Israeli citizens conducting business in Cyprus to combat tax evasion and ensure full income reporting. Many Israelis take advantage of Cyprus’s low corporate tax rate, prompting the ITA to target undisclosed income and assets in efforts to promote transparency and prevent tax leakage.
Cyprus is facing a challenge with tax evasion, impacting its economy. Solutions include improving tax administration efficiency, digitalizing services, implementing stricter penalties, and simplifying tax return processes to reduce evasion and foster compliance.
Tax reformation in Cyprus is pressing due to a regressive system that benefits the wealthy and leads to income disparities and tax evasion. Proposals include increasing progressivity, broadening the tax base, and adjusting brackets to alleviate burdens on lower and middleincome groups, highlighting the need for immediate action to address these challenges.
