27/01/2026
๐๐๐ฉ๐ข๐ญ๐๐ฅ ๐๐๐ข๐ง๐ฌ ๐๐๐ฑ (๐๐๐) ๐ข๐ง ๐๐ฒ๐ฉ๐ซ๐ฎ๐ฌ โ ๐๐๐๐ ( ๐๐๐ฒ ๐๐ก๐๐ง๐ ๐๐ฌ)
Selling property in Cyprus? Hereโs what you need to know about Capital Gains Tax (CGT) and how to reduce your liability:
โ
Tax Rate & Profit Calculation
โข CGT is charged at 20% on the gain from the sale of immovable property located in Cyprus.
โข Profit Calculation:
The profit is calculated as the difference between the selling price of the property and the original purchase price, which is adjusted in accordance with the official inflation rates published by the Cyprus Tax Department.
โข You can further reduce this taxable amount by deducting allowable expenses such as legal fees, transfer fees, and immovable improvement costs.
โ
Allowable Deductions to Reduce Taxable Gains:
โข Legal Fees related to the sale.
โข Transfer Fees paid for registering the property in your name.
โข Immovable Improvement Costs such as major upgrades such as renovations or adding a swimming pool.
๐ Must be supported by original invoices and receipts.
โข Estate Agent Commissions : deductible if paid to licensed agents.
Important: You can obtain the original purchase price and the exact amount of transfer fees paid by requesting a Search Certificate from the Land Registry. This document shows the history of the title deed, including the initial purchase price and transfer fees paid at the time of acquisition.
โ
Exemptions Available to Sellers ( UPDATED 2026)
โข General Lifetime Exemption:
Increased from โฌ17,086 to โฌ30,000
โข Private Residence Exemption:
Increased from โฌ85,430 to โฌ150,000
Applicable if the property is your main residence and was occupied for at least 5 years.
๐ Evidence required includes:
i)Electricity Authority bills showing actual usage from the day you bought the property until today, and/or
ii) Bank statements from a Cyprus bank showing your presence in Cyprus for the past 5 years.
โข Transfers Between Relatives:
Exempt between spouses, parents, and children.
โข Donations to Charities or Government
Fully exempt.
โข Special Period Exemption:
Properties acquired between 16 July 2015 โ 31 December 2016 are fully exempt from CGT.
โข Agricultural Land Exemption:
Increased from โฌ25,629 to โฌ50,000 , subject to conditions.
๐ก Pro Tip:
Keep all original receipts and supporting documents for any improvements.
Seek expert legal advice to ensure you make full use of all available deductions and exemptions.
๐ Need Help?
Contact ๐๐ง๐๐ซ๐๐๐ฌ ๐๐๐ฆ๐๐ญ๐ซ๐ข๐๐๐๐ฌ & ๐๐จ ๐๐๐ for expert assistance on capital gains tax and property sales in Cyprus.
