Income Tax Returns

Hi guys, I'm sure someone here knows this - I've got my permanent residency sorted out, now how do I register for income tax purposes. Is it online, form download or a visit to the Citizens Advice Centre or Tax Office? Can I do it myself or do I need an agent (please say no!)

Thanks in advance

You don't need an agent go to the tax office and get the registration forms fill them in whilst there or download them and take to the tax office they will give you a TIN  Tax Identification Number .. You can then ask them to register you on taxisnet  and they will give you a username and password .....  Tax returns are all online now... But unless you earn more than €19500 per year each you may not need to complete one but eventually everyone will.. best check with tax dept to see what is current now

Tax return to be completed and submitted  by July 2022 are for 2021

Latest

The cabinet on Wednesday approved a bill proposing tax rebates for energy upgrades to businesses, as well as an extension of the tax deadline for individuals to October 2 and the suspension for another year of the obligation to file a tax return for those earning €19,500 or under.

According to Finance Minister Makis Keravnos, the bill was tabled by his ministry and aims to diversify income tax for businesses, through tax reductions for specific capital expenses that could lead to energy upgrading and savings.

This would also be another step towards a green economy, “which is one of the government’s goals, and at the same time reduces the operating costs of businesses,” he said.

Specifically, for improving the energy efficiency of buildings, an increased capital discount of 7 per cent would be granted instead of the 3 per cent that was in force until now, and for investments in machinery and equipment connected to renewable energy systems, as well as technical systems to improve energy efficiency business performance, an increased capital discount of 20 per cent would be provided, he explained

Keravnos also noted that for new commercial electric vehicles, as well as taxis and buses, an increased capital discount of 25 per cent would be applied.

With this bill, the costs incurred for an energy upgrade study, or the issuance of an energy saving certificate, would be deducted from taxable income, he clarified.

“It is an important decision which encourages and helps our businesses to modernise when it comes to their energy use, which will lead us to the green economy,” he said.

The finance minister said that the cabinet also approved an extension for the submission of tax returns for 2022, noting that the tax payment deadline is extended until October 2, 2023.

He explained that the extension was granted to give time for the passing of the relevant legislation currently before the House, concerning first time employment exemption, valid for the 2022 tax year.

Once the matter passes through parliament in the coming weeks, it will be possible to submit the applications with the relevant amendments so that everyone can submit their tax return, he said.

A third decision taken by the council of ministers was to suspend for one more year the obligation to file a tax return by persons whose taxable income does not exceed €19,500.

“This is done so that there will not be a volume of tax returns in this period, as we test the implementation of our new tax system, so that it can soon accept and process these applications,” Keravnos said.

Source Cyprus Mail

The Cyprus Inland Revenue has confirmed that for 2022 income tax returns applications will be made on-line via TAXISNET, and not the new “Tax For All” portal recently announced.Tax returns will be able to be completed and filed in May and the deadline for submissions will be the end of July.

Please remember that any outstanding tax due should also be paid, including GESY contribution and Special Contribution for Defence.

UK Nationals who hold an S1 medical card are exempt from the payment of GESY contributions. If you do not already have an exemption remember to apply for the 2022 tax year exemption.

Please note that everyone who is resident in Cyprus (for more than 183 days a year) is required to register for tax and complete and submit a tax return. In some cases registration for tax is required after 60 days.

The only exception is, those individuals who earn less than €19,500 and have no other source of income and have received approval for non-submission from their local tax office. If you are in doubt, you should seek guidance from your local tax office.

The rate of tax applied to “foreign pensions” which includes the UK state pension and all UK company, government and private pensions is 5%. The personal allowance is €3,420.

The normal personal allowance for income tax is €19,500.

The normal rates of income tax for all other forms of income are as follows.

Tax bands:

Taxable Income €19.501 – €28.000      Rate 20%       Amount €1,700

Taxable Income €28.001 – €36.300      Rate 25%       Amount €2,075

Taxable Income €36.301 – €60.000      Rate 30%       Amount €7,110

Taxable Income €60.000 – €100.000    Rate 35%       Amount €14,000

Above               – €100.000     Rate 35%

The rate of tax applicable to GESY contributions is       2.65%

The rate of tax applicable to Interest (SCD) is            30%

The rate of tax applicable to Dividends (SCD) is          17%

The rate of tax applicable to rental income (SCD) is      3%, after an allowance of 25% of the rental income.

For individuals who have lived in Cyprus for less than 17 years out of 20 years it is possible to apply for Non Domiciled (in Cyprus) status, which will exempt you from Special Contribution for Defense.

But please note that should you be Non Domiciled in Cyprus you will be UK Domiciled for UK tax. Before making such an election seek professional tax advice.

If you have any concerns or questions about your Cypriot tax speak with your local tax office or a professional tax adviser

Source CPRG

In accordance with a Decree issued on 09 June 2023, the following deadlines are extended to 02 October 2023:

☑️ Electronic submission of the 2022 personal income tax return by employees and pensioners (TD1 – Employee) whose gross income exceeds €19.500, and for the payment of their final tax due, and

☑️ Electronic submission of the 2022 personal income tax return by self-employed individuals (TD1 – Self-employed) with turnover that does not exceed the amount of €70.000 and who do not have obligation to prepare audited financial statements and for the payment of their relevant tax due.

Latest ....

Tax Return for individuals for 2022 is not available via Taxisnet for submission. An email notification will be sent to all users when the return is ready for submission.

Submission deadline is October 2nd 2023, unless otherwise announced.

Υπηρεσία TAXISnet Άμεσης Φορολογίας

TAXISnet Service For Direct Taxation

2022 Tax return is now available on Taxisnet

Taxpayers can now pay any tax arrears online after submitting their returns electronically, tax inspector Soteris Markidis said on Saturday after 11,500 individuals submitted their declarations for 2022.

As of Friday, some 16,000 had accessed the “Declaration of Income of Individuals without Accounts” for last year on the Taxisnet portal, of whom, 11,500 submitted their final declarations while the remaining 4,500 are still processing them, Markidis told CNA. The system opened on July 15.

In relation to a new service that has been added in the 2022 returns, the tax Inspector said that a link appears after the declaration has been submitted that guides the taxpayer to the immediate payment of any arrears.

Next to the amount of tax owed there is the option to go either to internet banking where payment is made through the accounts chosen by each taxpayer or to JCC Smart, where without the use of additional codes the payment can be completed using the credit or a debit card.

According to Markidis, taxpayers who already previously registered with the online tax submission system Taxisnet will use the same passwords for the tax portal.

He also apologised to taxpayers for the delay in posting the Personal Income Declaration in the Taxisnet system, explaining this was due to the approval of the relevant legislation on June 30.

Because of this, the deadline for filing returns has been extended to October 2 this year from July 31.

Markides said that useful information material on completing and submitting returns has been posted on the Department of Taxation’s website www.mof.gov.cy/tax under the “2022 Individual Income Return” icon.

The material includes a guide to completing the declaration, a guide to paying outstanding income tax, examples and comparative tables for implementing the new provisions of the legislation on first employment applicable from the year 2022, as well as useful instructions for registering in the Taxisnet system and contact numbers.

“The 2022 return retains all the automations that have been introduced in recent years for faster and easier completion by taxpayers,” he said.

According to a cabinet decree, employees, pensioners and self-employed persons whose gross total income for the tax year 2022 exceeds €19,500 are obliged to submit a Personal Income Declaration for the tax year 2022.