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Immovable Property Tax / Immovable Property Transfer Fees

Immovable Property Tax

Immovable Property Tax is imposed on the market value as at 1 January 1980 and applies to the immovable property owned by the taxpayer on 1 January of each year.

This tax is payable on 30 September each year. Physical and legal persons are both liable to Immovable Property Tax.

Property value €  Rate ‰  Tax €  Accumulated Tax € 
 0 – 40.000  6 240 (min amount € 75)   240
 40.001 - 120.000  8  640  880
 120.001 - 170.000  9  450  1.330
 170001 - 300.000 11  1.430  2.760
 300.001 - 500.000  13  2.600  5.360
 500.001 - 800.000  15  4.500  9.860
 800.001 - 3.000.000  17  37.400  47.260
 Over 3.000.000  19  ....  ....


 

 Immovable Property Transfer Fees

 
 
Value €  Rate %  Fee €  Accumulative fees € 
 0-85.000  3  2.550  2.550
 85.001-170.000  5 4.250   6.800
 170.001 and over  8  ....  ....
 

As from 2 December of 2011 until 31 December of 2016, a transfer subject to VAT will be exempt from the above transfer fees and a transfer not subject to VAT will be eligible for 50% exemption from the above transfer fees.
No immovable property transfer fees are payable in the case of reorganization of companies.
In the situation of transferring of immovable property to a family company and provided the shareholders remain members of the same family, then after the passing of 5 years the immovable property transfer fees are being refunded.
Specifically, for properties charged with VAT there will be no transfer fees payable and for properties that are not charged with VAT the transfer fees will be reduced by 50%.
In the case of property transferred from a company whose shareholders are spouses and/or their children, to one of the two spouses, or their children or to third degree of relation the transfer fees are calculated on the value of the property as follows:
 if the transfer is to spouse - 8%
if the transfer is to child - 4%
if the transfer is to a relative - 8%
Also the following rates are applicable in the case of free transfers:
from parents to children - 4%
between spouses - 8%
between third degree relatives - 8%
to trustees - €8,54
 
Value in these cases is the one written on the title deed which refers to values of the year 1980.