ARTICLES  

Corona virus – tax and VAT measures

As a result of the disruption caused by Corona Virus disease, the Cyprus government has taken taxation and VAT measures in order to support the local economy. These are as follows:

Taxation

  1. The new submission deadline for the 2018 corporate income tax returns and personal income tax returns of individuals preparing audited financial statements is now 31 May 2020 from 31 March 2020.
  2. The increase in the contributions to the General Healthcare System by employers, employees and the State are postponed for the months of April, May and June 2020.

VAT

  1. Temporary suspension of the obligation for payment of the VAT liability without imposition of penalties as a measure to enhance liquidity for businesses. It covers the three-monthly periods to 29 February 2020, 31 March 2020 and 30 April 2020. This measure applies to:
         
    •    Businesses with turnover not exceeding €1 million based on the turnover of the VAT returns that were submitted during 2019
    •    Businesses whose turnover has been reduced by more than 25%.
  2. The VAT liability to be paid gradually until 11 November 2020 on the assumption that the VAT returns were submitted on time.

Latest news

Extension to the filing date of tax returns

The following deadlines have been extended by the Cyprus government for the filing of tax returns by companies and individuals: The last date for the filing of an individual's tax return (IR1) for the year 2020 and settlement of any tax due will be 30 September 2021 without the imp...…

Published: Saturday 24 April, 2021

Extension for filing of corporate tax returns

On 12 March 2021 the Tax Department issued an announcement in relation to the extension of the deadlines for the submission of the 2019 corporate income tax return and the 2019 income tax return filed by individuals preparing audited Financial Statements. The above deadlines are extended to 30 Se...…

Published: Saturday 27 March, 2021

Interest and dividends – declarations through Taxisnet

There are new declarations on Taxisnet through which Special Defence Contributions and GESY should be recorded on the payment of interest and dividends. The printed forms 61AT and 61AM are now also available in electronic form and can be submitted through the Taxisnet as follows: …

Published: Wednesday 27 January, 2021