Cyprus General Healthcare System (GHS) (12/04/2019)
Cyprus General Healthcare System (GHS)
One of the main subjects we have been advising our clients on at A & C CHRISTOFI LTD Ltd is the new General Healthcare System (GHS) of Cyprus. This is also known by its Cypriot acronym “GeSY”. To help our accounting and tax clients in Cyprus, we have prepared a short update of the current situation. For more information, please contact us.
WHAT IS THE GHS?
The Cyprus General Healthcare System (GHS) is designed to be a patient-centric healthcare system with the aim of delivering quality healthcare services to beneficiaries. The GHS provides universal healthcare cover to all the registered and insured population of Cyprus. This includes a freedom of choice to choose the healthcare provider, and includes a comprehensive package of healthcare services. Learn more
WHEN WILL IT BE LAUNCHED?
The GHS is already in the launch stage and is intended to be live from 1 June 2019. The social insurance contributions are already being collected on Cyprus payroll taxes from March 2019. There remain many subjects to be resolved with the structure and participation in the GHS, so there may be changes to the launch date for the provision of healthcare services.
HOW SHOULD I ENROLL IN THE GHS?
In order to enroll as a patient in the GHS Beneficiary Registry, the interested party must be registered in the Cyprus Civil Registry, or the Registry of the Migration Department and/or the Cyprus Social Insurance Services. In addition, and in order to comply with the criteria that must be fulfilled in accordance with the GHS Law of 2017, the Health Insurance Organisation may request additional certificates. The application for enrollment in the GHS Beneficiary Registry is submitted online via the Beneficiary Portal. Learn more
HOW MUCH WILL IT COST MY COMPANY?
GHS contributions are already being levied as payroll taxes in Cyprus from March 2019. The different contribution rates include:
Employees: 1.70% in 2019, rising to 2.65% from 01/03/2020
Employers: 1.85% in 2019, rising to 2.90% from 01/03/2020
There is an additional tax on income earned from rents, interest or dividends paid in Cyprus. These are:
1.70% in 2019, rising to 2.65% from 01/03/2020
HOW SHOULD I PREPARE?
If you are not prepared for the implementation of the Cyprus General Healthcare System, please contact us for a consultancy or advisory session so that you can prepare for implementation. Among other things, we can model your future Cyprus payroll costs and find ways of optimizing your Cyprus tax contributions.