Insider Economy Registrar of Companies, Tax Department in collision

Registrar of Companies, Tax Department in collision

A total of 63,000 companies in Cyprus that the Registrar is trying to write off are stuck in bureaucracy with the Cyprus Tax Department blocking such a move.

And this gives the government a real headache because the Global Forum on Transparency and Exchange of Information for Tax Purposes is due to visit Cyprus in November for an evaluation.

The Forum consists of OECD countries, including Cyprus, and other jurisdictions that agreed to implement tax related transparency and information exchange.

Cyprus which has been targeted by international organisations over alleged money laundering activity is keen to clear out its name.

That’s why the two government departments are now zealous in their bid to ensure transparency and combat tax evasion.

Officers of the Registrar of Companies have said the Tax Department is blocking the deletion of the 63,000 companies, many of which are very old, while some 23,000 are even without a postal code.

In addition, the majority of these companies are not viable and do not submit annual reports to the Registrar to indicate that there is some traffic. These companies have been inactive for many years with no managers or secretaries in sight.

And in most cases these companies were registered for some reason and have remained inactive ever since.

The Department of Tax, however, cannot delete them because these companies owe taxes. That’s why tax officers are now processing the data to decide whether to give the green light to the Registrar to delete the companies or whether they will seek to recover due taxes.

The obstacle created is because of the big number of companies, and the government is called upon to seek solutions to facilitate the process so that it is carried out smoothly and quickly.

The previous evaluation by the Global Forum was in 2015.


Read more:

Top Stories

122 new cases, one death announced on Friday

The Health Ministry announced the death of one person due to COVID-19. This raises the death toll from the virus in Cyprus to 179,...

Where to get antigen rapid tests on Saturday

The Health Ministry announced the following antigen rapid test sites for Saturday, 23 January 2021: LIMASSOL Grigoris Afxentiou Square 08:30-16:30 Gafkos Clerides Park, Germasoyia 08:30-16:30 Municipal Hall Ypsonas...

Civil servants’ trade union requests psychological support for health professionals

PASYDY, the civil servants’ trade union requested psychological support for health professionals due to the consequences of COVID-19 on their health. The trade union noted...

Scientific advisory committee to convene on Monday under President Anastasiades

Cyprus President, Nicos Anastasiades, will preside on Monday morning over a meeting of the scientific advisory committee on COVID-19. According to CNA information, during the...

Polish medics depart for Slovakia to help mass testing

A group of 200 Polish medics departed for neighbouring Slovakia on Friday (January 22) to help in a week-long testing campaign in the central...


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...