Cyprus: The Cabinet of Cyprus passes Bill for the formation of Unified Single Tax Authority

International Tax Review is part of Legal Benchmarking Limited, 1-2 Paris Garden, London, SE1 8ND

Copyright © Legal Benchmarking Limited and its affiliated companies 2026

Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement

Cyprus: The Cabinet of Cyprus passes Bill for the formation of Unified Single Tax Authority

michaelides.jpg

zambartas.jpg

Antonis Michaelides


Michalis Zambartas

On April 23 2014 the Cabinet of Cyprus passed a Bill providing for the establishment of a unified single tax authority which will deal with all tax issues in the country. This new unified body will essentially absorb the powers of the Cyprus Income Tax Authority and the Cyprus VAT Authority while these two bodies will be abolished. Having done so, the Bill has been referred to the Parliament for approval and therefore it is expected to be examined in the first week of June 2014.

According to the acting Cyprus government spokesman, the Bill provides, inter alia, for the abolishment of the two directorship positions in the two fiscal bodies (Income Tax Authority and VAT Authority) and the appointment of a single tax official along with two assistant tax officials.

The government believes that such unification will highly contribute to a more efficient customer service which will have a positive impact on the country's revenues mainly due to the more organised and rigorous scrutiny not only of the taxpayers but also of the employees.

It is further anticipated that the unification, along with the reinforcement of the relevant legal framework, the simplification of the proceedings and the modernisation of the information systems will certainly contribute to the expedient handling of the authority's obligations as well as to the enhancing of tax awareness of the taxpayers.

Finally, it should be highlighted that this movement has been part of the government's commitments towards TROIKA and the international lenders. In any case, the proposed reshuffle is following the trend in almost all the EU countries and it is undoubtedly something that should have been done ages ago. In consideration with the above, it is anticipated that the Bill will pass relatively easily by the Cypriot parliament and that the new legislation is almost on the doorsteps.

Antonis Michaelides (antonis.michaelides@eurofast.eu) and Michalis Zambartas (michalis.zambartas@eurofast.eu)

Eurofast, Cyprus Office

Tel : +357 22 699 222

Website : www.eurofast.eu

more across site & shared bottom lb ros

More from across our site

However, women in tax face greater career obstacles than their male counterparts, an exclusive ITR survey of more than 100 women tax leaders revealed
Under Jeff Soar’s leadership, WTS UK aims to scale to 100 partners within five years and challenge the big four
As the firm embarks on a major shakeup of its EMEA partnerships, some staff will be watching nervously
The buyout of Hucke and Associates continues Ryan’s streak of firm acquisitions; in other news, a UK appeal against VAT on private school fees was dismissed
Tax teams are responding to usual client demand in the region, albeit with increased working from home flexibility, local sources indicate
A 120-plus-day delay to refunds would cost taxpayers almost $3bn in additional interest, the Cato Institute warned; plus indirect tax updates from February
The Office for Budget Responsibility’s pessimistic pillar two forecast accompanied the UK chancellor’s muted Spring Statement, dubbed ‘as dull as possible’ by one adviser
Digital tax reform is dissolving the old ‘temporal buffer’, forcing systems, institutions, and professionals to adapt as real-time reporting reshapes governance, capability, and compliance
Our first instalment features analysis of Deloitte’s landmark EMEA merger, Donald Trump’s Supreme Court tariff showdown and Venezuela’s tax evolution
While some believe it could have a positive effect on the wider advisory landscape, others argue that HMRC’s ‘red tape’ exercise won’t deter bad actors
Gift this article