Immovable property tax has been abolished as of the 1st of January 2017, payable up until the tax year of 2016.
Immovable Property Tax is enforced as of the market value of the property on the 1st of January 1980 and applies to immovable property situated in Cyprus owned by the tax payer on the 1st of January of each year. The tax is to be paid on the 30th of September every year. Physical and legal persons are both liable pay Immovable Property Tax up until the tax year of 2016. Even though IPT has been abolished, any outstanding property tax must be paid up until the tax year 2016. If you are going to sell your property, all outstanding taxes on the property must be paid up until the tax year 2016.
On the 1st of January 2013, the tariff and rates of Immovable Property Tax for properties located in Cyprus were modified. Please see the table below which applies per owner, not per property. Owners of a property which has a total value of €12.500 or less (as of the value of the 1st of January 1980) are exempt from paying Immovable Property Tax.
Immovable Property Tax Rates
|
Property value (as at 1 January 1980) € |
Rate (%) |
Accumulated tax (€) |
|
First 40.000 |
6 |
240 |
|
From 40.001 – to 120.000 |
8 |
880 |
|
From 120.001– to 170.000 |
9 |
1,330 |
|
From 170.001– to 300.000 |
11 |
2,760 |
|
From 300.001– to 500.000 |
13 |
5,360 |
|
From 500.001– to 800.000 |
15 |
9,860 |
|
From 800.001- to 3.000.000 |
17 |
47,260 |
|
Over 3.000.000 |
19 |
|
|
|
|
|
Exemptions
Immovable Property Tax is not imposed on the following:
• Schools
• Churches and other religious buildings (partly exempt)
• Public hospitals
• Immovable properties which are owned by the Republic
• Foreign embassies and consulates
• Common use and public places
• Public cemeteries
• Buildings under a Preservation Order
• Buildings of charitable organisations
• Agricultural land used for farming or stock breeding, by a farmer or stock breeder residing in that area
• Property under Turkish occupation
