0,4% Tax on immovable property sale and disposal of shares

On 22 February 2021 were amended the provisions of the Central Agency for Equal Distribution of Burdens (Creation, Objects, Responsibilities, and Other Related Matters) Law. The tax at the rate 0,4% is imposed on the sale of immovable property and on disposal of shares of Cyprus company under the Code 0510. The contribution of 0,4% is payable by the seller of the property and it is imposed on the sale of shares of Cyprus company which owns an immovable property in case if the buyer takes control of the company.  In case of sale of immovable property, the 0.4% tax will be calculated of the sale amount of the Property. In cases of sale of shares, the tax will be calculated on the valuation price of the property related to the shares.

On 18 November 2022 for the second time the Law was amended  and  a number of conditions were defined as follows:
-         the levy is imposed on the transfer date of the immovable property;
-         the levy is imposed on the valuation of the DLS on the date of the transfer of shares.

Exemptions:

-          debt for asset swaps;
-         qualifying reorganisations;