Cyprus

Individual - Tax administration

Last reviewed - 28 July 2021

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 and payments of income tax electronically. In this respect, the electronic submission deadlines for the 2020 income tax return and for settlement via self-assessment on income tax due will be as follows:

  • For employees and pensioners: 31 July 2021.
  • 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 2021.
  • For self-employed individuals whose annual turnover exceeds EUR 70,000: 1 March 2022 and 1 August 2021, respectively.

Please see also COVID-19 economic response extensions granted for the electronic submission of income tax return and payment of any related tax via self-assessment for employees and pensioners, as well as for the electronic submission of income tax return of self-employed individuals whose annual turnover exceeds EUR 70,000.

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 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 obliged to prepare audited financial statements, a final balancing payment must be made by 31 July.

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