Fiscal Aspects of Cyprus Membership Patterns in Neighboring Areas
This paper discusses the fiscal implications of the Cyprus’ full membership in the EU. Two aspects are covered: first, tax harmonization in Cyprus and second, the implications of the European budget. It is shown that although the Cyprus’ tax system differs from the EU member countries, in many respects, its harmonization will not require substantial changes. As a result, the effects of this harmonization on the Cyprus’ economy will not be substantial, but tax revenues will increase considerably. Concerning the implications of the European budget for Cyprus, it is shown that the country will be a net beneficiary.
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Volume (Year): 3 (1999)
Issue (Month): 2 (Winter)
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