Cypriot Citizenship Scheme Revamped
The Cypriot citizenship scheme is now even more interesting thanks to recent changes that will make the program accessible to an even wider range of investors.
Changes in the Cypriot Citizenship Scheme
The biggest change in the Cypriot Citizenship Scheme is a significant reduction of the minimum investment amount to €2 million, from €5 million, plus a residential property worth at least €500,000 plus VAT in value. In cases where the applicant invests at least €2 million in one or more residential properties then the applicant is not required to purchase another residence. On privately used residential property a reduced VAT rate applies. The requirement to hold the investment for a period of at least three years has not been altered.
Parents can now be included in citizenship application
Another significant change to Cypriot citizenship scheme is that an applicant’s parents can now apply for citizenship through the same application, provided they purchase a permanent residence in Cyprus with a value of at least € 500,000 plus VAT. The investors children up to the age of 28 can still be included to the citizenship application.
Collective investment scheme has been abolished
Another adjustment to the application procedure facilitates individual processing. Previously, investors could settle an application with a reduced investment amount of €2.5 million if it was processed as a group of five investors due to the requirement for collective investment applications of at least €12.5 million. This led to delays until there were enough applicants to form a group that met the minimum investment requirement. Cyprus boasts the fastest citizenship program of EU countries; qualified applicants may receive approval within 90 days of submitting their necessary documents.
Already submitted applicants will not be affect by the changed; however, applicants who would prefer that their applications are processed with the new rules can re-apply based on the new conditions. Until end of October 2016, applicants may still apply under the old rules, but starting form November 2016 applications under the Cypriot Citizenship Scheme may only be settled under the new rules.
These latest changes make Cyprus’s Citizenship by Investment Programme even more attractive, not that the program needed help in the first place. Cyprus is a popular migration destination due to its mediterranean locale, safety, excellent infrastructure and education and healthcare system. The country also has low tax rates.
Not only is the application procedure quick, it has other characteristics that help investors in their transition to being a citizen of Cyprus. Citizenship applicants are granted a Residence permit until they secure their passport and the application procedure allows for simultaneous submission of residency and citizenship applications. There are no physical residency requirements. Citizens of Cyprus also have the unrestricted right to live, work and study in the European Union (EU) and to own property in an EU member state. Cyprus does not require applicants to relinquish other citizenships.