Cyprus

Individual - Tax administration

Last reviewed - 30 June 2022

Taxable period

In Cyprus, the tax year is the calendar year.

Tax returns

Separate returns must be filed by each individual on a calendar-year basis. Submission deadlines vary depending on the individual taxpayer’s profile.

Electronic submissions

All individuals should be registered online and submit their income tax returns electronically. In this respect, the deadlines for the electronic submission of income tax returns are as follows:

  • For employees and pensioners: 31 July of the following year.
  • For self-employed individuals whose annual turnover does not exceed EUR 70,000 and who do not have an obligation to prepare audited financial statements: 31 July of the following year.
  • For self-employed individuals whose annual turnover exceeds EUR 70,000: 1 March of the second year thereafter.

Please note that submission deadlines may be revised as part of Cyprus’ economic response to COVID-19. Taxpayers are recommended to monitor developments.

The submission deadline for year 2020 for self-employed individuals whose annual turnover exceeds EUR 70,000 has been extended from 31 March 2022 to 31 July 2022.

Payment of taxes

There is an obligation for PIT withholding on salaries under the pay-as-you-earn (PAYE) system. If a taxpayer has other income not subject to withholding tax (WHT), payments of estimated tax must be generally paid in two equal instalments on 31 July and 31 December within the same tax year.

For (i) employees and pensioners whose incomes do not include income from a trade/business, rents, dividends, interest, royalties, nor income relating to trading goodwill, and (ii) individuals who have gross income that falls under Article 5 (includes dividends, interest, and profits from share dealings) and who are not required to prepare audited financial statements, a final balancing payment must be made by 31 July of the following year.

For self-employed individuals preparing audited financial statements, a final balancing payment must be made by 1 August of the following year.

Please note that payment deadlines may be revised as part of Cyprus’ economic response to COVID-19. Taxpayers are recommended to monitor developments.