Dema Services | Company Obligations
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Company Obligations

  • Income Tax

In Cyprus the tax year ends on 31 December.

Every new company is required to register with the Tax Department which issues a Taxpayers Identification Code to the company.

 

  • Value Added Tax (V.A.T)

Companies may be legally obliged, either now or in the future, to register for VAT, and/or to charge VAT on the goods or services they supply.

 

There are some circumstances where companies that purchase services from non-Cypriots are legally obliged to register for VAT, and pay VAT, on the monetary value of the services received. We strongly recommend you write a detailed description of the goods or services you supply, or intend to supply, and send it to our office for our opinion on whether or not you should register for VAT.

 

  • Registrar of Companies

Every Cyprus company must submit an annual return within 14 days of the date of the company’s annual general meeting, with the stipulation that this should never be later than 15 months after the date of the previous annual return. A company’s first annual return may be submitted up to 18 months from the date of its incorporation. With the annual return the financial statements, in the Greek language, are also submitted.

 

  • Preparation of Financial Statements

Accounts are prepared annually, usually for each calendar year in line with the tax year, but there is no objection to another year end date being chosen. The company’s first accounts may be prepared for any period up to 18 months. Audited accounts must be submitted to the Income Tax Department, and to the Registrar of Companies, within a year of the tax year-end. Accounts are prepared to International Financial Reporting Standards (IFRS).

 

Companies with subsidiaries must prepare audited consolidated financial statements to IFRS. Exceptions apply for small groups.

 

  • Legal Services
    For legal services and advice, you may contact our preferred law firm, E. Papandreou & Co. LLC, which specialises in commercial, corporate, banking and finance law.

A corporate services provider based in Cyprus.