Insider Economy Exemptions from filing a tax return

Exemptions from filing a tax return

Vulnerable groups of the population as well as small businesses seem to be excluded from proposed  legislation in Cyprus aiming to strengthen legal ‘weapons’ against tax evasion, Phileleftheros reports.

The Department of Tax plans to issue a decree notifying  the public over these exemptions once the bill is approved by parliament.

Specifically, the bill proposes six major amendments one of which is the mandatory filing of a tax return regardless of income. That is, no matter how low the income it still has to be declared – with only a few exemptions.

In fact, the Department has already put proposals on the table on the categories of taxpayers that will be excluded from filing a tax return.

And a key consideration is the inconvenience of citizens for whom it is unreasonable to submit employee or self-employed income statements.

The categories that will be excluded include very low-income retirees, Minimum Guaranteed Income recipients, vulnerable groups of the population, and people with very serious health issues and very low income.

On the other hand, Department does not intend to exempt young employees from having to file a tax return even though their remuneration is low, according to insiders.

This is because the Department wants to create a tax culture in Cyprus, plus, tax technocrats will be assisted with statistics and risk analysis data.

In addition, the bill provides that all businesses are required to have a special machine to accept credit card payments. The Tax Commissioner will issue a decree specifying those that will be exempted from this provision.

Specifically, exemptions will relate to the size of the business and areas in which they are located. Very small businesses that basically work two to three months a year only such as those up in mountainous areas will probably be exempted.

Meanwhile, an important provision of the bill is that the Tax Department officer will be allowed to carry out unannounced raids on businesses and places where freelancers work.


Top Stories

Cyprus eighth from bottom in EU as far as women holding a parliamentary seat goes

Cyprus ranked eighth from the bottom in the EU with just 22% of women holding a seat in parliament in 2020, according to data...

Safeguarding public health top priority, says Cyprus President

One year after the outbreak of the coronavirus pandemic and Cyprus President Nicos Anastasiades on Sunday sent the message that top priority for his...

Police issue 214 fines in 24 hours for breach of covid measures

Police in Cyprus booked 213 citizens and a coffee-shop owner over the past 24 hours for breach of measures aiming to curb the spread...

Headmaster Lambon: The English School still a leader in education (PHOTOS)

The English School has always been an innovator with a reputation as a leader in education but the coronavirus pandemic has proved it is...

Cypriots fed up with rising corruption, insufficient measures to combat it-poll

Cypriots are fed up with rising corruption on the island and consider as insufficient measures announced by the government aiming to combat the bleak...


Squash soup

Ingredients: 1 kg pumpkin, cut into small cubes, approximately 5 cups 2 medium (400g) sweet potatoes, cut into cubes, approximately 2 ½ cups 1 chopped leek, only...


No visit to Cyprus is complete without enjoying the traditional meal of many small dishes known as ‘meze’. This large feast, which has been a...

Prawns with fried cheese, barley shaped pasta

Put the barley shaped pasta into a small pan with salted water, bring to a boil and when tender, drain. Peal the prawns leaving...

Salmon and shrimp sheftalies

Mix all ingredients for tabbouli in a bowl and keep to one side so flavours can combine. Prepare the sheftalies: wash and soak the casing...