Immovable Property Tax 2013

Under the provisions of the revised Immovable Property Tax Law (No. 24/1980), all owners of property in Cyprus are now liable to pay an annual tax to the Inland Revenue based on the 1980 value of all the immovable property registered in their name. The minimum payment is €75.Registered Owners of property who pay their annual Immovable Property Tax for 2013 to the Inland Revenue department before 30 September 2013 will receive a 10% discount.
The revised law, which was introduced in May 2013, is designed to achieve one of the bailout conditions that Cyprus agreed with its international lenders, i.e. to ensure that a further €75 million is collected by the state from property taxation.The Immovable Property Tax rates for 2013 assessed 1980 Property Values are as follows:

From €0  to   €40,000

0.60%

240 (with   €75minimum)

From €40,000  to   €120,000

0.80%

640  (€880    max)

From €120,000  to    €170,000

0.90%

450     (€1,330 max)

From €170,000 to €300,000

1.10%

1.430  (€2,760max )

From €300,000 to   €500,000

1.30%

2.600   (€5,360 max)

From €500,000 to   €800,000

1.50%

4.500  (€9,860   max)

From €800,000 to €3,000,000

1.70%

37.400  (€47,260   max)

More than €3,000,000

1.90%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The amount of tax you pay will be calculated by an Inland Revenue officer and will be based on the 1980 value of all the properties registered in your name as shown on their Title Deeds – or more correctly the ‘Certificate of Registration of Immovable Property’ – in Greek ‘Πιστοποιητικό Εγγραφής Ακίνητης Ιδιοκτησίας’.

For example if a property is registered in a single name and has a 1980 value of €170,000, its owner will be asked to pay:
On the first €40,000 – 0.6% = €240
On the next €80,000 – 0.8% = €640
On the remaining €50,000 – 0.9% = €450
Total IPT payable = €1,330

If the same property is registered jointly (e.g. between a husband and wife) each of their IPT liability will be calculated on half the 1980 value – €85,000 – and each will be asked to pay:
On the first €40,000 – 0.6% = €240
On the remaining €45,000 – 0.8% = €360
Total IPT payable by each joint owner – €600

Currently, it is the responsibility of each owner to self-declare the property registered in their name and its 1980 value annually to the Inland Revenue Department. In 2014 a new system should be in place that will send out tax demands to more than 300,000 individuals and companies liable for this tax.

Permanent residents should visit their local Inland Revenue office, taking with them:
– The Title Deeds for all the properties registered in their name – Form No. 131A – earlier version 131. (Note that clear photocopies may be acceptable).
– Their ‘Yellow Slip’ – Certificate of Registration – Form No. MEU1.
– A completed Form 303. In some cases a completed Form 302 may be required.
– Their current passport and identity card.
– Inland Revenue forms 303 and 302

Web page where you can find any relevant forms regarding immovable property:

http://www.cyprus.gov.cy/portal/portal.nsf/gwp.getGroup?OpenForm&access=0&SectionId=citizen&CategoryId=Land%20and%20Property&SelectionId=Applications%20/%20Forms%20regarding%20immovable%20property&print=0&lang=en

 

Overseas residents
The registered owners of property who are not resident in Cyprus and who are unable to visit their local Inland Revenue Office should appoint a representative on the island to deal with this matter on their behalf. They should provide their representative with:
– Their permanent address and other contact details.
– A clear copy of their passport.
– A clear copy of the Title Deed for each property registered in their name.

 

Those who pay their IPT by 30th of September will enjoy a 10% discount, while those who delay paying after the 30th September will face a penalty of 10% on the tax they owe.

Here you can download the form in Greek but with instructions in English.

http://cdn.cyprus-property-buyers.com/wp-content/uploads/2013/07/Form_303_c.pdf