The House Commerce Committee on Tuesday decided to postpone to January the decision on a bill regulating the operation of short-term online property rentals.
MPs decided to withdraw the bill and to re-table it later with amendments due to the fact that an upcoming government bill will bring in changes to the law concerning hotel and tourist accommodation.
Owners of properties on websites such as airbnb and booking.com would be required to register their accommodation on a special register and those that have an income of more than €15,600 would be required to pay taxes.
If the law passes, properties will receive a special registry number which will be shown in their online profile. Long-term renters will also have to acquire a licence.
At the moment, there are an estimated 40,000 properties on online booking sites in Cyprus that are not licensed.
The move has been a long standing demand of hoteliers who have complained of unfair competition from premises that are not subject to the same rules as licensed holiday accommodation.
The bill covers villas, residences and apartments used for tourism purposes.