|
|
Property Tax in Cyprus
Stamp Duty
Stamp duty is due
at the time of signing the contract of sale. It is levied at the
rate of CYP 1.50 per 1,000 up to CYP 100,000. Thereafter it increases
to the rate of CYP 2 per 1,000. The purchase contract must be stamped
within 30 days of its date signature, otherwise a fine will be imposed.
Immovable Property Tax
The annual immovable property ownership tax imposed
by the Government is
CYP 0 to CYP 100,000 exempt
CYP
100,001
to CYP 250,000 - 2%
CYP 250,001 to CYP 500,000 - 3%
CYP 500,00
plus - 3.5-4%.
Here's a working example on an imaginary property
valued at CYP 150,000
CYP 50,000 x 2% = CYP 1,000 p.a.
It's
worth noting that the municipal authorities will also levy an annual
property tax at the rate of about CYP 20-30 per year. You may also
find other authorities could charge a small sewage tax of CYP 20-40,
depending on the property value.
Capital Gains Tax
If at a
later date, the property owner decides to sell, Cyprus Law allows
the full amount paid for the property to be transferred to an overseas
account at the time of sale. The equivalent of the full purchase
price and any increase in value of the property may be transferred
immediately without restriction.
Although, similar to elsewhere,
property sales in Cyprus are subject to a capital gains tax at the
rate of 20% on any profit, the first CYP 10,000 of any gain is exempt
from this tax. Furthermore, if the property investor has owned the
building for more than five years, then the first CYP 50,000 of
any gains are tax-exempt.
Inheritance Tax
Inheritance tax
is not imposed. This was abolished in Cyprus as of January 2001.
Legal Safeguards For Foreign Investors
Contrary to some other countries,
where the purchase of property is linked with many inherent risks,
Cyprus has never been involved in the nationalisation of any sector
of the economy, or in the expropriation of property owned by non-Cypriots.
This creates a very favourable climate for property investments,
and is very much inkeeping with the government's vision on growth
of the Cypriot property market.
Tax Priveleges
Personal
effects, household goods and furniture may be imported duty free by
non-Cypriots
wishing to relocate and take up residency in Cyprus. The only stipulation
is that they are for personal use and have been used for a reasonable
amount of time prior to being shipped out. Also, if someone is taking
up residency in Cyprus and wishes to bring their car, there is no
duty on importing a car from abroad.
|
|
Add Your Property
Advertise your property on the
Cyprus Investor site. Whether you have a
property for sale or Holiday Villa to rent,
you can now get included in our property
portfolio and benefit
from worldwide exposure to your target
audience.
Learn More
Property Services
Property Management, Design
and Build, Project
Management, Property Letting, Key Holder
Service, Property Maintenance, Garden
Services, Swimming Pool Maintenance.
Learn More
*
Land For Sale
*
Car Hire
*
Flights & Hotels
* Insurance
*
About Us
Website Design
Own a Holiday Villa and need your own website? We can design a
personal site to showcase your property.
Learn More
Cyprus Property For Sale
Choose from a selection of Villas, Apartments, Bungalows, Townhouses, Golf Property, Off-Plan and Investment Properties in Larnaca, Paphos, Limassol, Ayia Napa, Protaras and Paralimni
View Property
|