The property must be used only for personal and family living of the Purchaser. It is not permitted to generate any income such as rental fees, or to utilise the property as an investment or any other type of business.
The VAT Authorities may investigate to ensure that the purchaser has honoured the requirements.
If the purchaser has ceased to use the property as his permanent residence or sells the property within 10 years, then they must pay the remaining Cyprus Property VAT of 14%
Income Tax Rates in Cyprus
The following Income Tax rates apply to individuals:
|Chargeable Income||Tax Rate|
|€0 to €19,500||0%|
|€19,501 to €28,000||20%|
|€28,001 to €36,300||25%|
|€36,301 to €60,000||30%|