Cyprus, Italy, Spain: Tax Rates & Residency Pathways Compared

Side-by-side breakdown of tax rates, residency pathways, personal tax, and 6 more dimensions for founders choosing where to incorporate in 2026.

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3 selectedClear all
🇪🇸Spain
69
Worldwide
🇨🇾Cyprus
81
Worldwide
🇮🇹Italy
70
Worldwide

Dimension Profile

Shape = jurisdiction fingerprint. Gap = your decision.

Tax Regime Comparison3
🇪🇸SpainWorldwide47%
🇨🇾CyprusWorldwide35%
🇮🇹ItalyWorldwide43%
Exit tax applies in one jurisdictionCritical

Spain has an exit tax. If you establish residency and later wish to leave, you may owe tax on unrealized gains or assets at departure. The other countries in this comparison do not have an exit tax.

12pp personal tax rate spreadNote

Both countries tax worldwide income, but the top personal income tax rates differ materially. Spain: 47% vs Cyprus: 35%. Both apply to all global earnings once you establish residency.

CFC rules apply in one jurisdictionReview

Spain and Italy have Controlled Foreign Corporation (CFC) rules. Owning a foreign company as a resident may trigger local tax on undistributed profits - even if the company pays no dividends. The other country in this comparison does not have CFC rules.

Not tax advice. Tax laws change frequently. Verify with a qualified professional before making residency decisions.

Field-by-Field Breakdown

Green = best value per row
Metric
🇪🇸Spain69
🇨🇾Cyprus81
🇮🇹Italy70
Dimension Scores
Corporate Tax
32
83
32
Funding
100
85
100
Visa
90
90
90
Residency
43
65
68
Tax Res.
45
70
55
Practical
96
86
83
Remote Work
64
64
64
Family
95
100
85
Ecosystem
60
65
65
Corporate Tax Details
Corporate Tax Rate25%12.5%27.9%
Capital Gains Tax28%0%26%
Tax Treaties9665100
Territorial SystemNoNoNo
Funding Details
Active VCs1002080
Government GrantsYesYesYes
EU Funding EligibleYesYesYes
Visa Details
Has Startup VisaYesYesYes
Processing Time456060
Min Investment-$30K-
E-ResidencyNoNoNo
Digital Nomad VisaYesYesYes
Residency Details
Visa Programs Available234
Citizenship Timeline10710
Dual CitizenshipNoYesYes
Immigration Score776
Tax Res. Details
Tax Residency Days183183183
Personal Tax Top Rate473543
Territorial TaxationNoNoNo
Special Tax RegimeYesYesYes
Exit TaxYesNoNo
Practical Details
Banking Difficultyeasymoderatemoderate
100% Foreign OwnershipYesYesYes
Company Formation7530
Virtual Office OKYesYesYes
Remote Work Details
Nomad VisaYesYesYes
Tourist Workgray_areagray_areagray_area
Tourist Visa Days909090
PE Risk Levelmoderatemoderatemoderate
Days Before Tax Res.18360183
Internet Speed22065117
Coworking/mo$250$180$275
Family Details
Safety Index728065
Int'l SchoolsYesYesYes
Homeschoolinglegal_with_restrictionslegal_with_restrictionslegal_with_restrictions
Healthcare Quality827582
Cost of Living557055
Ecosystem Details
Unicorns519
English Business EnvNoYesNo
Talent Pool Quality706065

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