We would like to inform about certain actions implemented by the Cyprus Government in order to support the country’s economy, as a consequence of the unprecedented events of the pandemic.
- The increased contributions to the General Health Scheme (GHS) will not be applied for April, May and June as originally planned.
- Extension of the deadline submission of the income tax returns to 01 June 2020.
- Temporary deferral of the VAT payable amounts for the periods ending 29 February 2020, 31 March 2020 and 30 April 2020, until 10 November 2020, provided that:
– The taxable person submits the relevant VAT return by the statutory due date, and
– The VAT payable amount for the above periods is settled by 10 November 2020.
As long as these conditions are satisfied, the following will not be applicable for the above mentioned periods:
– additional tax of 10% on VAT payable amounts;
– the annual interest of 1,75% thereof; and
– criminal sanctions against taxable persons for failure of VAT payments and submission of tax returns.
- The deferral shall not apply to businesses with economic activities that belong to the following codes of economic activity in accordance with their registration certificate:
| Code for economic activity | Description |
| 35111 | Producers of electricity power |
| 36001 | Collection and distribution of water (for the supply of water) |
| 47111 | Grocery and supermarkets mainly for food |
| 47112 | Kiosks – Mini markets |
| 47191 | Retail trade of a variety of goods in department stores where food, beverages and tobacco do not prevail |
| 47211 | Retail trade of fruits and vegetables |
| 47221 | Retail trade in meat and meat products including poultry |
| 47231 | Retail trade of fish and seafood |
| 47241 | Retail trade of bread and other bakery goods |
| 47242 | Retail trade in confectionery |
| 47301 | Retail trade of fuel |
| 47411 | Retail trade in computers, peripheral equipment and video games |
| 47611 | Retail trade of books |
| 47621 | Retail trade in newspapers and stationery |
| 47651 | Retail trade of toys of any kind other than video games |
| 47731 | Pharmacies |
| 61101 | Cyprus Telecommunications Authority (CYTA) |
| 61201 | Internet services |
| 61301 | Satellite telecommunications services |
| 61901 | Telecommunication services other than those provided by CYTA |
- Annual leave of four (4) weeks, for parents with children aged up to 15 years old, in the private sector, for cases that their position does not allow to work from home;
- A supporting scheme will take place for those companies that will suspend their operations or will continue to operate with a reduced turnover of 25% or more;
- Unemployment benefits for the employees that their duties have been discontinued due to the extended measures;
- A €750 allowance for the students abroad that are in quarantine;
- Social insurance contributions will be accepted to be paid online, only;
- The strike-off of non-compliant companies is suspended until January 2021;
- The payment of the annual levy for the year 2020 is extended until 31 December 2020 without imposition of the additional penalty charges;
- The introduction of the administrative penalties for late filings of notifications (e.g. HE2 Change of Registered Address, HE4 Alterations of Officers and HE57 Transfer of Shares) will be postponed until 2021;
- The filing of annual returns (HE32) for the period 1 January 2020 until 31 December 2020 may be made until 28 January 2021 without the imposition of penalties.
Further to the above, kindly note that at IBCCS we are fully operative and continue to provide services to our clients as usual. However, due to the increased safety measures, that currently apply in the public sector as well, we are expecting to have certain delays.
On behalf of the IBCCS Team, we would like to thank you for your cooperation in such times.
#Staysafe
