Is there a tax treaty between Israel and Cyprus?
Short answer
No. Neither country's list of tax treaties includes the other, and Israel's notification under the OECD's multilateral tax convention leaves Cyprus out. Israel relieves double taxation only through its own foreign tax credit.
The credit is limited to the Israeli tax on the same income, and unused credit can be carried forward for five years.
Without a treaty there is no tie-breaker rule to decide which country you are resident in, so you can be resident in both. That is why ending Israeli residency properly matters more for Israelis than for people from treaty countries.
In March 2024, the Israel Tax Authority was reported to be examining Israelis' companies, property and travel in Cyprus.
Sources
- Cyprus Ministry of Finance: double tax treaties (list) gov.cy
- Israel Ministry of Finance: international agreements (Hebrew) gov.il
- OECD: Israel's position under the multilateral convention (MLI), at deposit oecd.org
- PwC Worldwide Tax Summaries: Israel, foreign tax relief and treaties taxsummaries.pwc.com
- Globes: Tax Authority targets Israelis' ties with Cyprus (18 March 2024) en.globes.co.il
Information, not advice. This answer describes the published rules as they stand on 12 October 2026, checked against the sources listed. Tax and residence rules depend on your own circumstances and change; check your position with a tax adviser qualified in Israel and in Cyprus before you act on it.
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