First Provisional Tax for 2021
The 1st temporary tax return for 2021 must be submitted and the corresponding tax to be paid by the 31st of July 2021.
Introduction to temporary tax assessments
Cyprus Companies and Self-employed individuals must submit their 1st and 2nd temporary tax (provisional tax) returns before the 31st of July and 31st of December of each year, respectively. The temporary tax should be calculated based on the current year’s estimated taxable income and pay the corresponding temporary tax. The temporary tax payments must be made in two equal installments.
In case the first provisional tax payment was made based on an incorrected estimated yearly profit then the taxable income can be revised (upwards/downwards) any time prior to 31st of December of the current tax year.
However, in case the revised provisional tax declaration results in a refund, then the refund will only be returned after the examination of the submitted tax return by the Cyprus Tax department.
It should be noted that if there is no taxable income, then there is no requirement to submit a temporary tax return.
Tax Payments schedule
- 1st instalment: 31st of July 2021
- 2nd instalment: 31st of December 2021
- Any final resulting tax liability for the year 2021 should be settled by 1st of August 2022.
For timely tax payments (i.e. not passed their statutory deadlines), the tax must be paid electronically via https://www.JCCSmart.com by paying the amounts under code 0200 for the respective tax year.
JCC Smart is the card payment processing system that facilitates the electronic settlement of taxes through debit/credit cards.
For tax payments which are pass due their respective deadline, the tax can not be settled via JCC. For overdue payment, the tax must be recorded on the Tax Portal which will calculate the final tax and applicable penalties. Then the final tax can be paid through the tax payer’s bank portal by entering the reference number shown on the Tax Portal for each particular payment.