On January 27 2017 Parliament approved a new law which provides for the payment of overdue taxes by monthly instalments. The scheme covers a wide range of taxes, the most relevant of which for companies are:
- income tax;
- value added tax;
- special defence contributions;
- immovable property tax;
- capital gains tax;
- stamp duties; and
- special contributions for employees.
The new law allows arrears to be repaid by:
- 54 monthly instalments for tax obligations below €100,000; or
- 60 monthly instalments for tax obligations above €100,000.
The new law also gives the tax commissioner discretion to grant discounts on interest and penalties on a case-by-case basis.
The new law's implementation date is to be determined by the commissioner. Pending the announcement of an implementation date, the Tax Department has announced that its staff will continue to carry out their duties in accordance with existing procedures and implement all of the recovery measures at the department's disposal.
For further information on this topic please contact Philippos Aristotelous at Andreas Neocleous & Co LLC by telephone (+357 25 110 000) or email ([email protected]). The Andreas Neocleous & Co LLC website can be accessed at www.neocleous.com.
This article was first published by the International Law Office, a premium online legal update service for major companies and law firms worldwide. Register for a free subscription.
