General Health System (GHS) and Non-domiciled Individuals

Cyprus tax resident but non-domiciled individuals are not exempted from the GHS contributions. The income of such individuals is subject to GHS contribution. Details of what is meant by the term non-domiciled individual you can find in our previous article.

We outline below the most common income of non-domiciled individuals.

  • Rental income (worldwide)
  • Interest
  • Dividend income from Cyprus Company
  • Deemed Dividend (press here to learn more about Deemed Dividends)
  • Dividend income from abroad
  • Interest income (worldwide)
  • any profits or other benefits received from the holding an office or salaried services in Cyprus and abroad
  • profit from the disposal of securities, if such profit is considered to be trading profit
  • any pension received from overseas sources

The exemption of the non-domiciled individuals on interest, dividends and rental income under the Special Defense Law are not applied for GHS purposes.

Below is the table with the GHS Contributions Percentages:

The total maximum annual amount on which contributions are payable is the amount of €180,000.
The cumulative order to calculate the amount of €180,000 is as follows:

  1. Employment income
  2. Self-employment income
  3. Officer income
  4. Pensions
  5. Other Income (e.g. rents, dividends, interest)

Example 1

Mr John is a non-domiciled individual. He is a shareholder/Director in ABC Ltd (Cyprus company) and also, he is a shareholder in UAE company:


  • He is the owner of an apartment in Larnaca
  • During 2020 he had the below income:

Solution 1

Year: 2020

Example 2 (Deemed Dividends)

Mr John is a non-domiciled individual and he is a shareholder and Director in ABC Ltd (Cyprus company).


  • ABC Ltd Profits after tax for the year 2018 is €100.000.
  • No actual dividends issued during the years 2018, 2019 and 2020 from the profits of 2018.
  • During 2020 he had the below income:

Solution 2

Year: 2020

KKP team is always at your disposal for any queries you may have.