Free tool
Cyprus PAYE calculator
Enter a salary and see the income tax (PAYE) due, broken down band by band, with the effective rate. On 2026 Cyprus rates.
| Band | Rate | Taxed in band | Tax |
|---|---|---|---|
| €0 to €22,000 | 0% | €22,000 | €0 |
| €22,000 to €32,000 | 20% | €10,000 | €2,000 |
| €32,000 to €42,000 | 25% | €3,420 | €855 |
Estimates on 2026 Cyprus rates. Taxable income is the gross less Social Insurance (8.8%) and GHS (2.65%). For guidance only, not tax advice, and rates are reviewed each year.
The 2026 income tax bands
How PAYE is worked out
Income tax is banded, not a single rate. Only the slice of income that falls inside each band is taxed at that band's rate. So on a salary that reaches the 25% band, the first 22,000 euro is still tax-free, the next slice is taxed at 20%, and only the part inside the 25% band pays 25%. That is why your effective rate, the tax as a share of the whole salary, is always below the top band you touch. PAYE is the same calculation, run by the employer each pay run so the tax is collected as you earn.
Cyprus gives every taxpayer a tax-free band up to 22,000 euro of taxable income a year. Taxable income is the gross less Social Insurance and GeSY, so in gross terms the tax-free point is a little higher. Below it, no income tax is due at all, though Social Insurance and GeSY still apply.
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