09 November 2025, 13:03

10

Cyprus will increase the mandatory audit threshold for individuals to 120,000 euros. To make life easier for small businesses

Cyprus will increase the mandatory audit threshold for individuals to 120,000 euros. To make life easier for small businesses

The Ministry of Finance of the Republic of Cyprus intends to raise

from 70,000 to 120,000 euros

income level at which individuals - individual entrepreneurs (self-employed) and professionals (accountants, architects, consultants, doctors in private practice, real estate agents, marketers, etc.) - must annually provide audited financial statements. This will help make life easier for small businesses and reduce accounting costs.

The innovation is included in the package of laws on tax reform in the Republic of Cyprus. Six bills are being considered in parliament. If deputies approve the texts of laws before the end of 2025, the authorities will begin to carry out tax reform

from January 1, 2026

.

If the new law comes into force, for incomes up to 120,000 euros per year, the usual

financial statement

And

financial statements

no audit.

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