The ongoing tax reform process in Cyprus, the first in over 20 years, was the focus of a conference organized by FMW. The event included technocrats from the Ministry of Finance, tax service experts, and representatives from political parties, trade unions, and employers' organizations.

In his address, Finance Minister Makis Keravnos announced that a proposal for a new tax framework would be submitted to Parliament by the end of the first half of 2025. He emphasized that the reform aims to create a fairer and simpler system, promote equitable tax distribution, sustain public finances, and enhance economic development.

Keravnos, through a speech delivered by Naya Symeonidou, Head of the Tax Policy Unit, highlighted the main pillars of the reform: broadening the tax base, boosting employment, increasing the competitiveness of the Cypriot economy in line with international and European standards, promoting innovation and the green transition, and ensuring a fair tax burden distribution through a simplified system that reduces administrative costs.

Senior Customs Official Melina Stavrou discussed the objectives of green taxation, estimating an additional emissions reduction of 3% to 3.5% by 2030, with a cumulative compliance cost of €35 to €50 million by that year.

Kyriakos Iordanou, Director General of the Institute of Certified Public Accountants of Cyprus, proposed a comprehensive review of the entire tax system and existing practices to develop a thorough, applicable solution.

Marios Tsiakkis, General Secretary of the Cyprus Chamber of Commerce and Industry, expressed opposition to comprehensive tax planning but supported changes in specific areas to better meet current needs.

Antonis Frangoudis, Director of the Economic Affairs Department of the Employers and Industrialists Federation, called for equal treatment of Cypriot companies compared to foreign firms to foster healthy competition.

Trade unions SEK and PEO emphasized the importance of including trade unions in the entire reform process.