In Cyprus, local tax compliance is a crucial part of conducting business within the country. It involves adhering to various tax-related obligations and reporting requirements, ensuring that your company operates in accordance with Cyprus’ tax laws. From filing annual returns and VAT reports to submitting audited accounts and tax returns, staying compliant is essential. To help you navigate this intricate landscape, we provide comprehensive information and resources regarding local tax compliance in Cyprus. Let’s delve into the details and ensure your business remains fully compliant in Cyprus.
In general, local tax compliance
Local tax compliance means to comply with all local tax laws and reporting requirements in each country where a company operates. This includes income tax filings, VAT returns, and other tax-related filings.
In Cyprus, local tax compliance
Some of the most important obligations of a Cyprus company are:
Filing of an Annual Return
Any company registered in Cyprus is obliged to hold an annual General Meeting and file a yearly return with the Registrar of Companies. It describes any changes that might have happened during the previous year with the shareholders, with the director, or with the company’s secretary. Annual return when filed is accompanied by the previous year’s Company’s financial statements.
Filing of VAT Reports
Where applicable a company may have to be registered with the Cyprus VAT Department and submit VAT quarterly returns.
Audited Accounts
A Cyprus company is obliged to complete financial statements in compliance with International Financial Reporting Standards. Depending on the values involved an audit engagement or a review engagement might also be necessary to be performed.
Filing of Tax Returns
A company is obliged to file with the Cyprus Tax department an annual tax return which is based on its annual financial statements
Temporary tax returns and payments
Each year profitable companies must file temporary tax returns and pay provisionally the company’s corporation tax by 31 July and 31 December respectively.
Pay the Special Government Annual Levy
A Cyprus company is required to pay a special government annual levy, amounting to 350.00 Euros by the end of June every year.
Further information
For further information on local tax compliance, relevant deadlines, and registration procedures refer to our publications following the links below:
Conclusion
Local tax compliance in Cyprus is a fundamental aspect of running a business effectively and responsibly. Meeting your tax obligations ensures not only your legal standing but also contributes to the financial stability and success of your company. As you engage in business activities within Cyprus, our resources and publications aim to provide you with the guidance and knowledge needed to navigate local tax compliance with confidence and accuracy, promoting a thriving business environment.
Stay informed
Rightax is your trusted partner in navigating the complexities of tax compliance. Our expert guidance and comprehensive resources are designed to ensure you meet all your obligations and deadlines with confidence. Let us assist you in managing your tax responsibilities, allowing you to focus on what matters most – the success of your business.
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The authors expressly disclaim all and any liability and responsibility to any person, entity, or corporation who acts or fails to act as a consequence of any reliance upon the whole or any part of the contents of this publication.
Accordingly, no person, entity, or corporation should act or rely upon any matter or information as contained or implied within this publication without first obtaining advice from an appropriately qualified professional person or firm of advisors, and ensuring that such advice specifically relates to their particular circumstances.