Annual Immovable Tax Payments
Registered Owners of property who pay their annual Immovable Property Tax for 2013 to the Inland Revenue department before 31 August 2013 will receive a 10% discount.
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.
The revised law, which was introduced in May, 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 are as follows:
Assessed 1980 Property Value Annual Property Tax Accumulated Tax Max
Up to €€12,500 €0.60% (with €75 minimum) € €100
€€12,400 to €€40,000 0.60% € €240
€€40,000 to €€120,000 0.80% € €880
€€120,000 to €€170,000 0.90% € €1,330
€€170,000 to €€300,000 1.10% € €2,760
€€300,000 to €€500,000 1.30% € €5,360 €
€500,000 to €€800,000 1.50% € €9,860
€€800,000 to €€3,000,000 1.70% € €47,260
More than €€3,000,000 1.90%
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. But in 2014 a new system should be in place that will send out tax demands to more than 300,000 individuals and companies that are liable for this tax.
How much Immovable Property Tax (IPT) will I pay?
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
Here’s what you need to do:
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.
Inland Revenue forms 303 and 302
Inland Revenue forms 303 and 302 are currently only available in Greek, but to help English-speakers to complete them I have translated the both forms. In addition I have mapped the relevant entries on a Title Deed to the relevant table entries on the form 303. (Note that the table on form 302 is identical to that on the form 303). Click here to download translated form 303 (with example).
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 31st August will enjoy a 10% discount, while those who delay paying until after the 30th September will face a penalty of 10% on the tax they owe.