Tax Diary 2023

FinExpertiza Cyprus Tax Diary for 2023 based on Cyprus legislation, tax and compliance requirements* can help both individual and corporate taxpayers with efficient tax planning and making sure all relevant deadlines are met for the current year.

*Statutory requirements and deadlines may be revised by the respective authorities; updates shall be applied accordingly.

Tax Diary 2023

End of each month

• payment of tax deducted from employees’ salaries (PAYE) for the previous month;
• payment of tax withheld on payments made to non-Cyprus tax residents for the previous month;
• payment of Special Contribution for Defence (SDC) and the General Healthcare System (GHS) contributions if payment is made to Cyprus tax resident, withheld on dividends, interest or rents (in case where the tenant is a company, partnership, the state or the local authority) paid to Cyprus tax residents for the previous month.

31^st January

• submission of declaration of deemed dividend distribution and payment of the SDC and GHS contributions on deemed dividend distribution for the profits of the tax year ended 31^st December 2020.

31^st March

• electronic submission of the 2021 corporation income tax return for accounting periods ending on 31^st December 2021;
• electronic submission of the 2021 income tax return for individuals preparing audited/reviewed financial statements.

30^th April

• payment of the first 2023 installment of premium tax for insurance companies (life business).

31^st May

• electronic submission of 2022 Employer’s Tax Return.

30^th June

• payment of SDC and GHS contributions if payment is made to a Cyprus tax resident individual, for the first six months of 2023 on rents, dividends or interest from sources outside Cyprus for which no withholding has been made at the source.

31^st July

• submission of the 2023 provisional income tax return and payment of the first installment;
• electronic submission of 2022 personal income tax return and payment of 2022 personal income tax under the self-assessment by employees and pensioners, whose incomes do not include income from a trade/business, rents, dividends, interest, royalties nor income relating to trading goodwill;
• electronic submission of 2022 personal tax returns and payment of 2022 personal income tax under the self-assessment method by other 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.

1^st August

• payment of the 2022 tax balance through self-assessment by individuals preparing audited/reviewed financial statements and companies.

31^st August

• payment of the second 2023 installment of premium tax for insurance companies (life business).

31^st December

• submission of the 2023 revised provisional tax return (if applicable) and payment of second and final installment of provisional tax for 2023;
• payment of SDC and GHS contributions if payment is made to a Cyprus tax resident individual, for the last six months of 2023 on rents, in case where such tax is not withheld at source by tenant, and on dividends or interest from sources outside Cyprus;
• payment of the third and final 2023 installment of premium tax for insurance companies (life business).

Penalties

Late submission

• penalty of €100 or €200, depending on each case, for late submission of the tax return and/or supporting documentation requested by the Commissioner of Taxation of the Republic of Cyprus.

Late payment

• penalty of 5% on the late payment of the tax due, plus additional 5% if the tax remains unpaid for two months after the payment deadline.

Public interest rates

The interest rate applicable on late payment of taxes is set through a Decree and it is imposed on a completed month basis. The rate for 2023 is 2,25%.

While our Tax Diary 2023 provides general information, our team is at your disposal to provide in depth tax advisory and specialized service, and to help you schedule and manage your tax strategy in a timely manner, preventing penalties and surcharges in case of delayed and/or miscalculated payments of your tax returns.

For more information and/or advice, please contact us via email at [email protected]