05 Aug The Property Transfer Fees Reduction Of 50% Is Now Permanent
The Property Transfer Fees Reduction Of 50% Is Now Permanent
On 14/07/2016 the Cyprus Parliament implemented the change to the Law of Land and Surveys Department (Fees and Rights) (Amendment) (No.2) and the temporary arrangement to reduce the Property Transfer fees by 50% is now permanent.
The Finance Ministry announced that it has lifted the temporary arrangement to reduce Property Transfer Fees by 50%, which was valid until 31st December 2016. According to the announcement of Finance Ministry the above arrangement aims to boost additional growth in the construction industry and attract new investments from both the domestic, and the foreign markets.
For property evaluated to €300.000.- and which was purchased by one person, the fees are now €8.600.- instead of €17.200.-
For property valuated to €300.000.- and which was purchased by two people the fees are now €5.800 instead of €11.600.-
The transfer fees payable to the Land Registry Office depend on the value of the immovable property, not always on the exact amount paid by the purchaser (purchase price) but are calculated on the market value of the property as at the date of the transfer. The transfer fees are payable at the time the transfer is effected.
The rates are as follows:
Value of Property € Transfer fees rate % Accumulated Tax €
0 – €85,430.07 3% 2,562.90
€85,430.08 – €170,860.14 5% 6,834.40
over €170,860.15 8%