Should You Pay Your Developers Tax to Receive Title Deeds in Cyprus?

Sam Orgill ProACT Partnership Examines the validity of claims for additional payments to developers in exchange for title deeds

When you make a contract it sets on 3 things: 1. the buyer and seller 2. the goods sold and the price paid 3. what and when happens to fulfill the contract.

Normally a cyprus contract states the buyer pays the money and the seller delivers the property - with title deeds later. The conditions in the contract for buyer and seller determine what you are legally obliged to pay.

Sticking to the letter of the contract could save you thousands off the price.

CONTACT US

IMPT Paid to the developer

This can be complex.  If you pay IMPT to a developer for your procession of property under contract of sale before 2013 , then you can reclaim this tax from the tax office 1/ after you receive title deeds 2/ if you have a contractual obligation to pay the tax to the developer.

Before you agree to pay any developer you should carefully check your contract to ensure you have a liability to the developer. If you there is no contractual liability, you don’t legally have to pay, and you won’t be able to reclaim from the tax office if you do.  In any case you can never reclaim any interest the developer may try to charge you for late payment of their IMPT liability to the Cyprus Tax office.

Under new property laws anyone who has a contract of sale can apply directly to have the title deed issued, without having to wait for the developer settle mortgage, planning or contractual issues. This gives the property owner power to move forward without overpayment to developers.

If you do pay valid IMPT payments under contract to a developer, to receive title deeds, then you can make an application to reclaim this IMPT from the developer.

Tax Saving Review and Reclaims

ProACT Offer a Free Review of all Cyprus property title deed issues including issues regarding IMPT tax savings, returns and rebates.  Contact Us info@proactpartnership.com

CONTACT US

Make a Will to Protect Overseas Property

Make a Will and Trust your family and friends to protect your assets on death.  A Family Trust avoids Cyprus laws of succession. By creating a Family Trust today for Cyprus Property you could also make tax savings in capital gains, inheritance tax, IMPT and inheritance taxes on your death.

Look Forward – Plan Ahead

Overseas Property in Cyprus has become a better investment with lower property taxes in Cyprus.  ProACT can offer help and guidance about the Movable Property Taxes for Expats . Asset Protection is about looking forward to make tax savings. ProACT expat experts offer tax saving for people living and working and investing abroad. Find out more at our website.

CONTACT US

ProACT expat experts offer tax saving for people living and working and investing abroad. Find out more at our website.

Sam Orgill

ProACT Partnership - Tax Saving Experts

www.proactpartnership.com        info@proactpartnership.com 

TEL: +357 26 819 424  

TAX - BUSINESS - WILLS & ESTATES - IMMIGRATION - PROPERTY SERVICES

ProACT Private Client Expatriate Advice Services for professionals, business and the retired

living and working abroad, relocating overseas, investing offshore. 

CONTACT US

For EU Brexit for Expats Updates Register and subscribe to our free newsletters click here

ProACT Partnership Expat Experts will keep you informed. Click Here to Register

Along with other articles for Expats Living and Working Abroad.

Share the news - forward to a friend If the article is helpful, please read more at www.proactpartnership.com/blog

Click Here to join our mailing lists for regular updates 

Contact ProACT : info@proactpartnership.com

ProACT Web www.proactpartnership.com 

Expat Blog - www.proactpartnership.com/blog 

Facebook: https://www.facebook.com/ProACTExpatriateTax

Twitter: https://twitter.com/ProACT4Expats 

ProACT Partnership - Expatriate Advice - Tax Saving Experts