Vilanos Real Estate Agents Ltd Registered & Licensed Real Estate Company Reg.No.525Lic.No.40E­

SCHEME FOR PERMANENT RESIDENCE PERMIT IN EUROPEAN CYPRUS FOR THIRD COUNTRY NATIONALS (USUAL PROCEDURE Category F)

PROGRAMME No 3                                                                                     21^st October 2015

P.R.P. (Category F)

• CRITERIA-REQUIREMENTS AND PROCEDURE
• REQUIRED DOCUMENTS  
• OTHER EXPENSES (FOR THE PURCHASE OF PROPERTY)
• ANNUAL EXPENSES-PROPERTY TAXES IN CYPRUS 
• INFORMATION ABOUT •CYPRUS •LIMASSOL •VILANOS

Criteria –Requirements and Procedure

• The applicant must have a bank account at a Cyprus bank
• The account should be credited with 25 000 Euro with the funds coming from abroad, or in the event the applicant has a family, the funds should be enough for the living expenses of the family
• Proof for the sources of incoming funds
• Proof of address in Cyprus (The applicant must purchase (fully paid) a property in Cyprus, of any kind or price)
• The application involves the spouse of applicant and minor children (under 18 only)
• The applicant must not work or have any income in Cyprus
• The applicant must not be a shareholder of any company in Cyprus
• The examination of the application lasts approximately 1 year after the submission date
• The application is examined by a committee and its approval or not, is up to the committee
• Submit a clean criminal record from the Authorities of their country of origin

Required Documents

·         Marriage certificate

·         Birth certificate (of children)

·         Criminal records for all family members above 16 years

·         Copy of passport of the applicant and his dependants

·         Curriculum Vitae (including academic qualifications).

·         Official Statement by the applicant and his/her spouse that he/she does not intent to work or be engaged in any form of business in Cyprus.

·         Health Insurance Policy for the applicant and his dependants

OTHER EXPENSES FOR THE PURCHASE OF PROPERTY

• Transfer Fees of Department of Lands and Surveys (government)Table Νο 1
• Affixing and submission of contract of sale at the Department of Lands and Surveys (government) Table Νο 2
• Application expenses for obtaining the Permit
• Legal expenses

Transfer Fees of Department of Lands and Surveys (government) Table Νο 1

The fees of the Department of Lands and Surveys for transfers of immovable property are calculated according to the table below: 

Table Νο1:

• In the case that the purchase is subjected to VAT (new houses or apartments), it is exempt from transfer fees, (provided that the Department of Land and Surveys accepts the purchase value of the contract of sale) this applies until 31/12/2016 (included in the government incentives) provided that the buyer will use the house as first and permanent residence and after he obtains the confirmation from the VAT Department. This measure regards the first 200 m² of every residence and provided that the residence is of no more than 275 m² (the usual VAT rate 19% applies to the rest 75 m²). The residence cannot be rented unless the difference of the VAT which arises between the reduced rate and the normal rate, which corresponds for the time period of 10 years, is paid and the residence will not be used for home ownership purposes or after the lapse of 10 years.
• In the purchase of any property (houses, apartments, offices, lands, plots etc) which is not subjected to VAT (resale) transfer fees are paid on the 50% of the transfer fees calculated by the Department of Lands and Surveys. This applies until 31/12/2016 (included in the government incentives).
• The transfer fees are paid at the cash desk of the Department of Lands and Surveys on the day of the transfer of the property. The method of payment should be by Bankersdraft or Visa or cash. The cheque is issued in the name District Land Officer.

Affixing and submission of contract of sale at the Department of Lands and Surveys (government) Table Νο 2

Affixing is a tax charged on specific instruments which deal with the immovable property in Cyprus, regardless if they are performed in Cyprus or outside Cyprus. From 1st Μarch 2013, the affixing is:

Table Νο 2

Affixing of contract of sale (the payment and affixing take place at the Inland Revenue Department in each town)

The cost of affixing depends on the market value of the property (See Table Νο 2)

Submission of contract of sale (the payment and submission take place at the Department of Lands and Surveys, cost €50)

Application expenses for obtaining the Permit

Depending on the number of people applying for obtaining the Permit.

Legal expenses

Depending on the services offered by the firm you will choose. 

ANNUAL EXPENSES-PROPERTY TAXES IN CYPRUS

• Immovable property tax (government)
• Refuse (at each town’s Municipality) 
• Sewerage Tax SBLA-Sewerage System (government) 
• Immovable property municipal tax (Τown Rate)(at each town’s Municipality) 

Immovable property tax (government)

The Immovable property tax is calculated on the market value of the immovable property as on 1 January 1980 and refers to the immovable property of the taxpayer who is in Cyprus the 1 January of each year. It is payable on 30/9 of each year. For the year 2015, the period until 31^st December 2015 is indicated as a deadline for paying the tax. In the case that an individual who is submitted to tax pays his tax debt at least thirty (30) calendar days before the end of the deadline, that is from 1/10/2015 to 31/11/2015, he will be given a discount of 17,5% on the due tax which is paid at the cash desk. In the case that the payment is arranged online or through a transaction at a licensed credit institution the discount rises to 20%. From 1/12/2015 to 31/12/2015 the amount is paid normally. If the amount is paid after 1/1/2016 there will be a penalty of 10%. The Immovable property tax is imposed on natural and legal persons.

For the year 2015 the tax rates of the immovable property tax for immovable properties in Cyprus have been revised according to the following table and apply per owner not per immovable property.

*Owner of an immovable property with a value not higher than €12.500 (values of 1/1/1980) is exempt from the immovable property tax.

Refuse (at each town’s Municipality)

Each municipality has its own rules and therefore its own taxation. In Limassol, square metres are the basis for the imposing of taxation. Small houses up to three bedrooms are charged with about €156 per year and bigger houses,mansions with swimming pools etc about €170 per year. In the case that a taxpayer is not employed, or considers that they should pay less, he can submit an objection and their request will be carefully examined.

Sewerage Tax SBLA-Sewerage System (government)

Sewerage Charges on the assessed value of properties

The Board imposes sewerage charges according to the assessed value of properties as at 1 January 1980 as determined by the Land & Survey Department.

The charges imposed relate to sewerage and drainage charges. (For more information and details go to www.sbla.com.cy)

Properties located in areas that can be directly serviced by the sewerage system or located in areas where construction works are in progress or scheduled to begin, are charged with the sewerage rates. They are payable at the local Sewerage Board.

Water consumption charges

The Board also imposes charges on water consumption to every owner of a house which is connected and uses the sewerage system, rising up to 60 cents per metric ton.  

This charge is imposed and received by the Water Board or the other water board authorities of each area.

Immovable property municipal tax (Τown Rate)(at each town’s Municipality)

It is a tax charged and received annually by the municipality to the immovable property of physical or legal persons within the municipality borders with some exceptions which are included in the legislation.  As soon as the immovable property tax is applied, the municipal tax will be terminated. From 1/1/1991 the Town Rate is determined by the Municipality Board. It is imposed on the market value of the property, in values of 1/1/1980 and is calculated around 1 ½ per mille and is paid annually on a date decided by the Municipality Board. Today, payment date has been decided 30/6 of each year. The payment is done at the Offices of the Municipality in which the property is located. The taxpayer should present at the Department of Lands and Surveys the document of Payment Confirmation from the offices of the Municipality for property transfer purposes.

GENERAL INFORMATION •CYPRUS •LIMASSOL•VILANOS

 CYPRUS: Cyprus is a beautiful island with rapid development and a growing economy. It is the ideal place for   both family life and new investments. Cyprus enjoys a privileged geographic position, since it is located in the east of Europe close to major trade routes that link Europe with the Middle East, Africa, Russia and Central Asia.

• Population 1.141.000. Age Structure: 0-14 yr:15.8%, 15-24 yr :15.8%, 25-54 yr: 46.9%, 55-64 yr:10.6%, 65+ yr:11%
• Coastline: 648 km, cleanest bathing water in Europe. Highest point: 1951m Mt Olympus

•    Safe, hospitable and multilingual environment. (Greek, Turkish, English widely spoken).High standard of living with relatively low cost.

• Religion: Greek Orthodox, Muslim, other
• Government Type: Presidential Democracy

• EU member since 2004

• Ideal weather conditions with over 300 days of sunshine a year. Mediterranean climate with mean temperature 23°.
• Drinking water and Sanitation: 100%

•     Continuous development and new business opportunities.

• GDP: $21.62 billion purchase power parity. $24.500 per capita. Composition: agriculture: 2.4%, industry: 15.9%, services:81.7%

• Favourable tax rates with the lowest corporate tax in the European Union.

•    Secure property investment with fully regulated real estate law.

•    First-rate national cadastre.

•    Premium legislative system, low inflation and a stable currency (Euro).

•     27 branches of foreign banks including Russian Commercial Bank, Jordan Kuwait Bank, Lebanon & Gulf Bank, BBAC, FBME Bank, Avtovazbank, etc.

•    Excellent tourist services. Over 2.500.000 tourists visit Cyprus every year.

•    Small country with easy, flexible and good transportation and a modern new airport

LIMASSOL Limassol is a great choice to start a new life in Cyprus since it has a lot to offer to all age groups. It is the second largest city of Cyprus and is situated in the southern part of the island, between the ancient kingdoms of Curium and Amathounda. Limassol is a developing center of business activities, tourism, services, as well as  lifestyle. It has the biggest port of the island, which is also the biggest port of the Mediterranean.

• A prosperous and growing city with environmentally friendly buildings, green spaces and ongoing major construction development projects.

•   Limassol Marina is a unique piece of ornament on the sea. It includes artificial islands and combines attractive residential development and the latest technology Marina.

•   Significant historical archaeological sites and monuments influenced by ancient Greek, Roman, Byzantine and medieval art.

•   The most important and attractive tourist seaside resort of Cyprus with many tourist accommodations and the finest and luxurious five star hotels.

·         The beach stretches across the city offering beautiful views and luxurious villas, hotels, restaurants and a variety of activities throughout day and night.

•   The sea is clean, sandy and safe for swimming with award-winning organized beaches offering a wide range of beach and water sports.

•   Wide variety of entertainment and recreation venues for all ages including a public garden with a zoo, golf resorts, spa and an upcoming luxury casino.

•   Modern and large shopping-mall with high street brands and designer shops.

•   Vibrant nightlife with a variety of local restaurants and exotic cuisine, entertainment for all ages including theatre and modern cinema.

•   Public and private universities, foreign language schools and colleges.

•   Easy and fast access to the two airports of Cyprus, within 45 minutes.

•   The activities of the emerging source of oil and gas starts in Limassol.

•   Most of the foreign off-shore companies are established in Limassol due to the legislative and tax system, and easy access to the Middle East and Europe.

•   Festivals and events in the city center including the wine festival, carnival, the flower festival, the marathon, and the Opera for the Russians.

•   The city from which within 30 minutes you can go from sea to the snowy sides of Troodos (the highest peak in Cyprus) with its luxurious mountain houses, lush forests and ski resorts.

•   Organized Russian community of about 40,000 Russians, Russian schools, newspapers, radio stations and plenty of shops with Russian products.

 VILANOS  Our company based in Limassol is both licensed and approved by the government, as a real estate agency with long experience (since 1969) in the property sector of Cyprus. Choosing VILANOS Real Estate Agents LTD ensures an excellent, safe and efficient service because:

•   With 45 years of experience in the real estate sector we ensure reliable service to all our customers.

•   We offer a huge variety of real estate property for sale (new or resale) which will satisfy your needs such as luxury villas, houses, country houses, apartments, land, buildings, offices, etc.

•   We are with you every step of the way to help you purchase your property and receive your Permanent Residence Permit (VISA). We ensure that the whole process is as fast and easy as possible.

•   We offer support managing your property at a very little cost