Annual Levy for Cyprus Companies 2020 (12/10/2020)

As statutorily required, Cyprus registered companies must pay an annual company fee at the Department of the Registrar of Companies (the “RoC”) every year.  For the year 2020, the fee is payable the latest by 31 December 2020.

The annual company fee, as in previous years, is set at €350/company.

This year, the payment can only be made through the RoC’s website www.mcit.gov.cy/drcor. Kindly note that you may wish that you pay the annual company fee directly, or we may make the payment on your behalf. Please contact us by email or call us at +35725332177.

If you make the payment of the annual company fee for each company, we shall require receipts of payment of the annual company fee for the purposes of updating our records for each company.

Lastly, where the annual company fee is not paid until the deadline set by the Companies Law, penalties apply as follows: €490 from 01.01.2021 (a 30% penalty is imposed).

Where a company does not pay the annual company fee before the deadline, nor before 31.12.2020, the Registrar removes the company from the register of companies.  Where the annual company fee is paid within a period of two years from the removal of the company from the register of companies, and provided the company pays to the RoC the fee of €500, the company is restored to the register of companies, and where the payment is made on the lapse of two years the company must pay the amount of €750 for the company to be restored to the register of companies.

Remaining at your assistance for any clarifications you may require.

TAX Portal (03/07/2020)

The Tax Department has launched a new e-service with the name Tax Portal, where citizens and companies/businesses will be able to get information directly or through their representatives about their payments and any debts to the Department.

Tax Portal will be a central point and citizens will have the opportunity to submit self assessments, temporary assessments and withholding from taxes and make any payments through their internet banking.

The website of the Tax Portal is  https://taxportal.mof.gov.cy and it can be accessed by using the credentials of TAXISnet.

It is highlighted that payments as from 01/09/2020 will only be made online.

Special Support Schemes for Businesses and Employees (02/07/2020)

The Labour Ministry has launched the online application process for the 4th period of its support schemes addressed to businesses and the unemployed that are financially hit by the Coronavirus outbreak.

The five schemes cover the period from June 13 to June 30, 2020, and can be found on the website www.coronavirus.mlsi.gov.cy (in Greek).

The five special schemes for the above period are:

1. Hotels and Tourist Accommodation (Application ΕΕΑ.9)
2. Businesses associated with the tourism industry or businesses directly affected by tourism or businesses under obligatory full suspension of operations (Applications ΕΕΑ.10 and ΕΕΑ.11)
3. Special scheme for full suspension of business operations (Application ΕΕΑ.3)
4. Special scheme for businesses of particular activities (Application ΕΕΑ.13)
5. Special scheme for the unemployed (Application ΕΕΑ.8)

The Labour Ministry has also published on its Coronavirus website an accountant report template that needs to be submitted electronically together with the relevant business scheme application.

If you need the report, you are kindly requested to contact us UNTIL TOMORROW, 03/07/2020:

TEL: +357-25332177 or
Email: info@acccyp.com

It was also noted that all businesses need to submit their IBAN details via the ΕΕΑ.12 form.

VAT rate reduced to 5% (01/07/2020)

The Cyprus Government has temporarily reduced the VAT rate that applies to the tourism, restaurant and transport industries from 9% to 5%.

The Council of Ministers Under has decided on 23 June 2020, under the articles 18 and 18A of the Cyprus VAT Laws issued decree ΚΔΠ 268/2020, that for the period between 1 July 2020 and 10 January 2021, both inclusive, the VAT rate of 9% is reduced to 5% for the below categories:

• – Hotel, tourist and other similar accommodation;
• – Restaurant and catering services;
• – Transport of passengers and their accompanying luggage within the Republic with a taxi or a bus.

TAX Portal (30/06/2020)

The Tax Department has launched a new e-service with the name Tax Portal, where citizens and companies/businesses will be able to get information directly or through their representatives about their payments and any debts to the Department.

In addition, they will have the opportunity to submit self assessments, temporary assessments and withholding from taxes and make any payments through their internet banking.

The Tax Portal can be accessed by using the same credentials as the e-service TAXISnet.

More information will be announced by the Tax Department soon.

General Healthcare System (GHS) Contribution Rates (16/06/2020)

The contribution rates for the General Healthcare System (GHS, commonly known as Gesy) have changed as from 1^st of June 2020 as per below table:

For the Income Earners, the new contribution rate 2,65% will come into effect as from 01^st of July 2020.

We always remain available to our clients and we are doing our best to ensure the best quality of our services.

New Laws following the COVID-19 outbreak (30/03/2020)

Following our latest newsletter sent on 19th March 2020, the Cyprus Parliament has voted the relevant TAX and VAT laws on 27th March 2020.

General Health System (GHS) Law
Decreased Contributions for Gesy for 3 months, April – June 2020, as per below table:

VAT Law

Deferral of the VAT payable amounts for the VAT quarters ending:

• – 29 February 2020 (due 10 April 2020)
• – 31 March 2020 (due 10 May 2020)
• – 30 April 2020 (due 10 June 2020)

Only if the VAT declaration is submitted by the due date, and any VAT payable is paid by 10 November 2020.

If for any reason there is late submission of the VAT return then the following will be applied:

• – Additional tax of 10% on VAT payable amounts
• – Annual interest of 1,75%

The application of the amendments does not apply to certain categories of businesses as follows:

• – Producers of electricity
• – Collection and distribution of water (for water supply)
• – Groceries and supermarkets that are mainly for food
• – Convenience stores and mini markets
• – Retailing of a variety of goods in department stores where food, beverages and tobacco are not predominant
• – Retail of fruit and vegetables – fruit shops
• – Retail sale of meat and meat products including poultry
• – Retail sale of fish and seafood-fish and molluscs
• – Retail sale of bread, other bakery and confectionery products
• – Retail sales of fuel
• – Retail sale of computers, peripherals and software
• – Retail sale of books
• – Retail sales of newspapers and stationary
• – Retail sales of toys of all kinds except video games
• – Pharmacies
• – The Cyprus Telecommunications Authority (CYTA)
• – Internet services
• – Satellite telecommunications services
• – Other telecommunication services, besides CYTA

We always remain available to our clients and we are doing our best to ensure the best quality of our services.

IMPORTANT ANNOUNCEMENT (19/03/2020)

The Council of Ministers has decided on the 18^th March 2020 the following regarding the coronavirus:

• – The VAT due submission date which was supposed to be submitted on the 10^th of April is extended until 30 April 2020 assuming the businesses’ turnover over the last 12 months was less than €1 million. Saying that, the VAT payment for the relevant period ends 10^th of November 2020.
• – The normal VAT rate of 19% is reduced to 17% for a period of two months, i.e. from 01 April 2020 until 31 May 2020. Also, the reduced rate of 9% is reduced to 7% for a period of 3,5 months, i.e. from 01 April 2020 until 15 July 2020.
• – Regarding the General Health System (GESY), for March 2020 the new increased rates apply, whereas for April and May 2020, the already rates will be in effect.
• – The electricity bills will be reduced by 10% for 3 months.
• – Temporary suspension for dispossession for 3 months.
• – Extension for 3 months for the applicants of the ESTIA Scheme.

We always remain available to our clients and we are doing our best to ensure the best quality of our services.

COVID-19: Cyprus Economic Measures (18/03/2020)

The World Health Organization (WHO) has declared the Covid-19 outbreak to be a pandemic and since then our daily lives have changed. In Cyprus, the Government has announced several measures in order to support the economy of the country. These measures include:

TAX

• – Extension of the submission deadline of income tax returns for two months i.e. the new deadline TD. 4 (Corporate Tax Returns) and TD. 1 (Personal Income Tax) for 2018 is now 31 May 2020.
• – Suspension of the rise in the General Health System (GESY) contributions by the employer and the employee for two months.
• – There will be special arrangements for the taxpayers who have been included in the scheme regarding the settlement of overdue taxes

VAT

• – Reduction in the Standard VAT rate from 19% to 17% for two months
• – Reduction in the Reduced VAT rate from 9% to 7% for 3,5 months
• – Suspension of the obligation for the VAT payment without any penalties for two months. This applies for:

1. 1. – Businesses with turnover less than €1 million based on the VAT returns during 2019
   2. – Businesses whose turnover has been reduced by more than 25%

An Important Announcement about Coronavirus (COVID-19) (16/03/2020)

In accordance with the latest guidelines from Cyprus Government and the World Health Organization (WHO), A & C CHRISTOFI LTD have decided the following in order to preserve the health and safety of our Clients and our Employees:

• – To minimize the risk of spreading coronavirus we encourage phone calls / Skype meetings with our Clients
• – We will not accept any Clients until 31^st March 2020
• – Our office will operate with limited human resources during this period
• – We are not in position to fill in the forms regarding the suspension of businesses which are included in the measurements taken by the Government
• – We are not in position to fill in the forms regarding sickness and unemployment allowances
• – The deadline for the applications regarding self-employed is extended to 30 April 2020
• – For more information regarding the Social Insurances, you can call 1434
• – Once we have more information, we will keep you updated

Nevertheless, we always remain available to our clients and we are doing our best to ensure the best quality of our services.

Thank you for the understanding,

General Health System (GHS) Contributions will increase as from 01 March 2020 (19/03/2020)

The General Health System (GHS commonly known as Gesy) has come into effect as of the 1st of March 2019.

The GHS contributions are as per below:
1. employer’s contribution is 1,85%
2. employee’s contribution is 1,70% on the employee’s gross earnings
3. self-employed individuals’ contribution is 2,55% on their gross earnings

Furthermore, as from the 1st of March 2020 and upwards the contributions rates are increased to 2,90% for employers, to 2.65% for employees and to 4,00% for self-employed individuals.

Please note these contributions are payable up to maximum annual earnings of €180.000.

Please find below a table summarizing the contribution rates for GHS in Cyprus:

Increase of the Annual Tax Deduction for Individuals (03/01/2020)

As from 06 December 2019, it has been approved by the House of Parliament in Cyprus, that there will be an increase of the annual tax deduction for individuals. The amount was previously set to the 1/6th and now is equal to 1/5th of the annual taxable income of an individual. This applies for contributions to Social Insurance, Pension and Provident Funds, to life and private medical insurance premiums, and the General Health System (GHS).

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 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. read more..

ACC CY app is here! (25/06/2019)

ACC CY is a simple and easy-to-use mobile application that helps you calculate your income and taxes and keep you up to date with the latest finance news. Whether you are self-employed or work at a company, this application is tailored to your needs.

The app also offers the ability to keep track any key dates and to set important reminders to your calendar for Tax, VAT and Social Insurance deadlines. read more..

Payment of Annual Levy (27/05/2019)

The Annual Levy deadline is 30 June 2019 and the amount is €350.

There is a penalty charge of 10% imposed if the payment is made within 2 months of the due date. In the case of settling the fee within 5 months from the due date, an additional charge of 30% is imposed.

In the case the payment is due for more than one year, the Registrar of Companies has the right to strike off the company.

For any questions, please email us.

The launch of new website (19/04/2019)

We are proud to announce the launch of our newly redesigned website.

Our goal with this new website is to provide our visitors an easier way to learn more about our company and the services we provide.

It is mobile responsive and gives the flexibility of navigating easily from any platform.

We will continue to update our content with helpful information, articles, newsletters and company announcements. The website also contains integrated social media buttons for Facebook, Twitter and Linkedin to improve communication and ongoing dialogue.

We hope you find the new website with a fresh look, easy to access information and valuable resources.

For any questions, please email us.

Extension to the Deadline Submission of Income Tax Return 2017 (27/03/2019)

Extension to the Deadline Submission of Income Tax Return 2017 for Companies and Self Employed

The Cyprus Tax Department has announced that the deadline for the submission of Income Tax Returns for Companies (TD4A) and Self Employed with Accounts (TD 1A Acc), has been extended from 31 March 2019 to 30 April 2019.

Please contact us to prepare your Cyprus Corporate Income Tax Returns and your Cyprus Self Employed Income Tax Returns.

The launch of new Mobile App (01/02/2016)

This App has been brought to you by A & C CHRISTOFI LTD (Chartered Accountants) in order to give you key financial information at your fingertips, 24/7. You can now download the app on your iPhone, iPad and Android phone or tablet to learn and make your own calculations anytime, anywhere!

Now you can have instant access to the latest business news, key dates and penalties relating to Income Tax, VAT, Social Insurance and Company Registrar and calculators. read more..

New Website Launch (1/2/2016)

The new website of the Audit and Accounting Firm, A & C CHRISTOFI LTD, is available online at www.ac-accountants.com.

The development of the new website is part of the broader communication strategy employed by the A & C CHRISTOFI LTD, with the intention of informing and serving the general public and his associates.

The user-friendliness, modern aesthetic approach and plenty of informative material are the main features of the new site, where the visitor can find rich information about the services offered by A & C CHRISTOFI LTD.

Employee Income Tax Return 2015 (13/04/2016)

EMPLOYEE INCOME TAX RETURNS 2015

Tax Department announces the submissions for

Salaried income Tax Statement for the tax year 2015 are now being collected. The statement can be submitted:

In printed Forms until  April 30^th, 2016

In electronic form until July 31^th 2016

Income tax Statements in Printed Form read more..

Annual Levy 2016 (25/05/2016)

As statutorily required, Cyprus registered companies must pay an annual company fee at the Department of the Registrar of Companies (the RoC)  every year. For the year 2016, the fee is payable the latest by 30 June 2016. All previous statutory exceptions have now been removed.

The annual company fee, as in previous years, is set at € 350/company.
This year, the payment can only be made through the payment on your behalf.www.mcit.gov.cy/drcor” Kindly note that you may wish that you pay the annual company fee directly, or, we may make the payment on your behalf. read more..

Electronic Submission of VAT Return (25/05/2016)

The Taxation Department expects soon the approval, by the House of Assembly, of the Bill pertaining to the obligation of legal persons to electronically submit, through TAXISnet system, the VAT return (form VAT 4).

The Taxation Department urges legal persons who are not registered into TAXISnet VAT, to apply for registration the soonest possible in order to avoid any delay from the mass submission of registration applications.

Overdue payments (after the 31/07/2016), can be completed at the District Office of tax collection only and will consequently have interest and charges.

Visa payment system (06/07/2016)

For your convenience, we would like to inform you that from today, you will be able to settle your debts/utilities, both to our company and to Government Authorities (Income Tax, VAT, Social Insurance, Registrar of Companies, etc.) through our company, using your credit card.

Thank you for your cooperation

Payment Of Income Tax For Self-Employed (Without Accounts) For The Year 2015

The tax department recalls that the last date to pay the income tax for employees and self-employed (without accounts) for the tax year of 2015 is the 30thof June 2016.

Payments can be completed electronically via the website, www.jccsmart.com.cy as well as at the District Office of tax collection until the 31/07/2016.

Overdue payments (after the 31/07/2016), can be completed at the District Office of tax collection only and will consequently have interest and charges.