If you’re self employed or a director of a limited company, you must make provisional tax payments by 1st August, 30th September and 31st December. For self-employed individuals, an annual tax return, detailing actual earned income must be made before 30th April the following year. Your liability is assessed and you either receive a refund or are charged for the shortfall.
A limited company must have paid all tax due by 1st August the following year. Arrears for companies and individuals are charged at a rate of 5 per cent for up to six months from the due date or 9 per cent if arrears are more than six months late.
You should submit your returns and pay your tax to your nearest Inland Revenue Office, of which there are four, as follows:
- Larnaca – Griva Digheni 42, 6045 Larnaca (Tel. 24-803 658);
- Limasssol – Gladstonos 3, 3002 Limassol (Tel. 25-803 700);
- Nicosia – M. Paridi and Byzantiou, 2064 Strovolos, Nicosia (Tel. 22-807 412);
- Paphos – Corner N. Nicolaidi and Digheni Akrita, 8010 Paphos (Tel. 26-802 100).
You can submit returns yourself directly to the office or, if an accountant has prepared your tax return, he can do it on your behalf. The Director of the Inland Revenue department is in Nicosia (Tel. 22-807 482) and can answer any general queries you have.
This article is an extract from Buying a Home in Cyprus from Survival Books.