Cyprus Immovable Property Tax
Cyprus immovable property tax is paid by every registered owner once a year. It is calculated on the market value of the property as at 1 January 1980. Therefore, unless your property is worth today more than €1,700,000 you will have no, or very little, tax to pay. See table below for Cyprus immovable property tax rates with examples.
Local Council Tax in Cyprus
Owners of immovable property also pay other taxes on their property but the amounts involved are relatively small. For example, local council tax or village rates, refuse (rubbish) collection and sewage charges will cost you less than €350 per year. However, hefty charges are being levied for the new, national grid sewage system under construction. We paid around €3,500 for our house over the last four years, still the system has not reached our area, and we live in central Limassol. Government matters take time in Cyprus; it's pretty much the same throughout the whole system.
Cyprus Immovable Property Tax
|
Market value of property as at (1/1/1980) (€) Euro At 1 January 1980 |
Annual Immovable Property Tax €/PER THOUSAND |
|
Up to €170.860,14 |
Exempt |
|
€170.860,15 to €427.150,36 |
2.5/PER THOUSAND |
|
€427.150,37 to €854.300,72 |
3.5/PER THOUSAND |
|
Over €854.300,73 |
4.0/PER THOUSAND |
Example: If your house were worth €250,000, at the 1980 value, you would pay Cyprus immovable property tax at the rate of 0.0025 (per thousand) on the last €79.139,86 only, with the first €170.860,14 being exempt.
€79.139,86 x 0.0025 = €125 yearly.
Note: Until you have received the title deed for the property in your name, you may be asked to pay immovable property tax by the registered owner (Developer) until the title deed is transferred to you. When you receive your title deed you will be able to claim a refund from the Inland Revenue, a tax rebate as some developers charge you more than they pay the Government. Therefore, you should not pay the developer any money until they show you a receipt from the government demonstrating how much they have actually paid and your percentage should your property be on a development. If you are not sure contact your lawyer in Cyprus.
See Also: Cyprus Property Lawyer | Cyprus Estate Agents | Cyprus Transfer Fees | Cyprus Property VAT | Cyprus Stamp Duty | Council of Ministers Cyprus | Cyprus Property Tax | Capital Gains Tax Cyprus | Bank of Cyprus | Mortgages in Cyprus | Purchase Contract | Cyprus Land Registry | Chartered Surveyors | Making a Will | Property Title Deeds | Final Approval
