Published: 05.06.2026
Cyprus’s Tax Department warned banks that citizenship- and residence-by-investment programmes could be used to conceal a person’s actual tax residence and overseas assets. Banks must ask additional questions when customers declare tax residence in jurisdictions with potentially high-risk CBI/RBI programmes; the measures apply immediately to new customers, while reviews of existing customers must be completed within six months.
According to the source, holding residence or citizenship obtained through investment should no longer be treated by a bank as sufficient proof of a customer’s tax status. During account opening or review, banks may request information about other residence rights, time spent in different countries and personal income-tax filings. This is particularly relevant to investors, account holders and non-residents transferring money through Cyprus, as source-of-funds and tax-residency checks may become more extensive and time-consuming. People planning an investment-based relocation should prepare evidence of their tax status and documentation concerning overseas assets in advance.