Cyprus Property Forum for Buyers, Sellers & Investors

Dear Nigel,

After a long struggle we may be near to getting our title deeds. We get conflicting advice from architect, lawyer and others. If you know the answer to the following we would very much appreciate it.
1. Do we have to pay VAT on the transfer tax? (Seems to us unlikely, but some say that we do!)
2. As the buyers, having lived in Cyprus for some years, is it likely that we will be asked to produce tax clearance for Income Tax?
Many thanks for all the wonderful information on your site.

Alison T

Dear Alison,

The answer is NO to both questions (the tax clearance has to be provided by the vendor to prove that he owes no taxes arising from the sale).

If you haven't done so already, you should visit the Inland Revenue Office and have them add the details of the property to your tax record. This will ensure you will be billed for IPT next year (assuming the value of your property will make you liable for IPT).

Regards,