Proposed property transfer tax rules spark concerns

Proposed changes to property transfer tax rules have sparked concerns among investors and industry experts alike.

A proposed bill would see an individual banned from transferring their last immovable property until they have paid all their outstanding taxes to inland revenue. One a certificate from the department (IRD) has been issues, then the property transfer can take place.

Concerns have been raised, though, by House Finance Committee Chairman Nicolas Papadopoulos over the imposition of "an obligation that has nothing to do with the property", "something that was judged by the Supreme Court as unconstitutional".

MPs also noted that wealthy people with a wide variety of properties under their name and a lot of outstanding taxes could transfer all but one tiny estate without repercussions, while poorer individuals would be unable to transfer their one property without paying charges.

Source: Cyprus Mail