SUNNYVALE, Calif.--(BUSINESS WIRE)--A new legislation in Cyprus requires companies which are incorporated in Cyprus to register with the tax authorities and obtain their Tax Identification Code within 60 days from their incorporation, while companies which are not yet registered must do so by June 30, 2011 to avoid penalties.
The directive is among the several amendments to the Cyprus tax legislation made in December 2010 with the aim to streamline certain provisions of the Cyprus tax legislation.
The new amendements are also meant to strengthen the anti-evasion provisions in the legislation and impose additional taxes and penalties for non-compliance and late payment of taxes.
Cyprus Tax Penalties
Administrative penalties between EUR 100 to EUR 200 will be imposed for non-submission of declarations, non-provision of evidence or non-performance of compliance obligations within the stated deadlines.
Read more at http://www.nair-co.com/cyprustax.aspx
Cyprus VAT Legislation
Foodstuffs and pharmaceutical products, which were previously zero-rated, will now have a 5 percent VAT.
Read more at http://www.nair-co.com/cyprustax.aspx
Disallowed Expenditure
Any expenditure which is not supported by invoices and relevant receipts or other supporting documents as required by relevant regulations will not be deductible under income tax.
Read more at http://www.nair-co.com/cyprustax.aspx
Details were also provided on:
• Electronic Submission of Returns
• Issuance of Assessment by the Commissioner, objections against the Assessment
• Field audits by tax authorities
• Filing of Accounting Records
• Payment of disputed tax in the case of litigation
• Capital Reduction
• Special Defense Contribution on rents
Read more at http://www.nair-co.com/cyprustax.aspx
About Nair & Co.
Nair & Co. provides an integrated solution in the HR, finance, tax, compliance and legal arenas making a company’s overseas operations less risky, stress free and more strategic. It currently has 740+ client operations in over 50 countries with offices in U.K., India, China, U.S., Japan and Singapore. Nair & Co. was named among the top 100 outsourcing services providers in the world by the International Association of Outsourcing Professionals (IAOP).
Learn more at www.nair-co.com or email to media@nair-co.com