Cyprus Property Forum for Buyers, Sellers & Investors

We recently had our Title Deeds released by developer after 8/10 years of ownership. During this time we have been coerce into paying IPT on the understanding it would be refunded on obtaining Title Deeds and applying to Inland Revenue.
However, the early Sales Contract that we signed had not included the provision of IPT however later ones did have this provision included.
The Inland Revenue have written to say that they will not refund IPT as our Contracts of Sale had no clause to say this was payable.
During the past 8/10 years owners have requested proof that the developer had paid the tax on our behalf, this has never been provided.
At the same time owners are having to pay IPT for 2013 otherwise they will not release their Title Deeds. We understood that IPT and no connection to obtaining your Title Deeds?
Any suggestions on how to obtain a refund and the continual threat of pay up or no Title Deeds?

Hello Max 56 and welcome to the forum.

Most of the contracts I have seen state that the purchaser is responsible for paying all property-related taxes from the time they take delivery of the property. If this was not included in your contract then you were under no obligation to pay - and you should have refused any demands for money made by the developer.

And as you were under no obligation to pay, the Inland Revenue has refused your request for a refund.

I suggest you read the page Cyprus Immovable Property Tax law and also this letter from the Interior Ministry.

If the developer refuses to provide people with the necessary information (see the Interior Minister's letter) then they should withhold payment until he does.

And if he keeps bullying people for payment, get a lawyer onto the case.

Regards,