Conveyancing

In recent years, Cyprus has transformed into a regional business centre in particular, the increase in the property and real estate sector.

At Yiannis Papazacharia LLC, through a dedicated team of Lawyers and comprehensive secretarial, taxation and accounting support, we handle all matters and transactions relating to both commercial and residential freehold and leasehold property. Our expert team will be delighted to answer any queries you may have and undertake all necessary procedures relating to your transaction.

We provide a full scale of conveyance services, including the below:

• Drafting, reviewing or amending of agreements
• Official Land Registry Search for legal encumbrances and property due diligence (obtain permits and plans)
• Legal advice and consultations on the terms and conditions of sale/purchase
• Obtaining necessary permits for the acquisition of Immovable Property from the Council of Ministers for non-EU nationals
• Execution of the agreement and completion of the conveyance under Power of Attorney
• Lodging of the Sale Agreement with the Land Registry Office for specific performance purposes
• Payment of stamp duty
• Preparation and submission of the tax declaration application, including the obtainment of a T.I.C. and settlement of capital gains tax, if any
• Settlement of immovable property tax, if any
• Preparation and submission of all documents required for the completion of the conveyance and transfer of the title deed
• Collecting of final utility bills, communal expenses and settlement/connection/disconnect of services
• Assistance with loan facilities from local commercial banks
• Opening of client bank accounts, which includes the necessary KYC procedures

Immovable Property Tax:

As from 01/01/2017 and onwards no Immovable Property Tax is imposed by the Tax Office.

Value Added Tax (V.A.T.):

V.A.T. on a new property is chargeable as of 1^st May 2004. The reduced rate allowance of V.A.T. at 5% is granted for the first 200 sq. m. of buildings based on the structural factor, which is estimated by the relevant Authorities, regardless of the total extent of the building. It is clearly understood that in the event the property is more than 200 sq. m, the applicant will pay 5% V.A.T. on the first 200 sq. m of the building and 19% V.A.T. for the remaining extent of the property as per the architectural plans.

An eligible person (EU or non-EU nationals) is any individual who fulfills the following conditions:

• Has completed 18 years of age at the time of submission of the application,
• Does not own any other place of permanent residence in Cyprus

The reduced rate applies only for residences which are used as the primary and permanent place of residence.

The equivalent amount is refundable to the V.A.T. Authority for any part of the ten-year period if the use of the property for permanent residence is interrupted, except in case the property is transferred to the applicant’s children over 18 years of age.

Second property:

An applicant who has already obtained the reduced V.A.T. approval for one property, may apply for the reduced V.A.T. rate for a second property, which will be used as his/her permanent place of residence, under the term that the V.A.T. that has been saved from the first property will be refunded to the V.A.T. Authorities, before they grant any approval for the second property.