Cyprus: Tax

The Cyprus Tax Department has mandated that Form T.F.1220, the Responsible Declaration for non-imposition of VAT on property leasing, must now be submitted exclusively through the Tax For All (TFA) digital portal.

The Cypriot tax landscape has undergone a significant recalibration following the entry into force of a broad package of fiscal reforms, effective as from the 1st of January, 2026.

The Cyprus Tax Department has issued new guidance extending the examination period for pending VAT declarations and clarifying transitional provisions for the reduced 5% VAT rate on primary residence acquisitions and construction. Key deadlines and eligibility criteria have been established for properties with planning permits issued or applied for by October 31, 2023.