On 30 June 2022, the Cyprus Parliament voted for the introduction of transfer pricing documentation requirements for Cyprus tax resident persons and permanent establishments of non-Cyprus tax resident persons, applicable as from 1 January 2022. The arm's length principle is at the heart of Transfer Pricing, pursuing the fair and proportional attribution of profits between related parties for tax purposes. The arm’s length principle provides that transactions between related parties should be carried out at no different terms and conditions…

At the time of writing (14 March 2022), it is difficult to make predictions for Cyprus in 2022. This is due to the fact that it is impossible to forecast how long the military phase of action in Ukraine will last, and what type of solution one can expect. For 2022, however, it is likely that no matter what occurs (assuming this does not involve escalation into a regional conflict between NATO and Russia), the impact on Cyprus will be…