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Property Transfer Fee Reduction 
Post: #1   PostPosted: Tue Jul 28, 2015 12:50 pm Reply with quote
nhowarth
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I have managed to acquire the
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The much anticipated reduction in Property Transfer Fees are as follows:

For transfers that take place before the 31st December 2016:
    (a) If VAT was paid on the property, no Property Transfer Fees are payable.

    (b) IF VAT was not paid on the property, the Property Transfer Fees are reduced by 50%.
However if the Director of the Land Registry considers that the price stated on the contract of sale does not reflect the market value of the property at its date of purchase he may, at his discretion, charge the full Property Transfer Fees based on the market value of the property at its date of sale less the price stated on the contract of sale.

Those who have or will purchase property between December 2, 2011 and December 31, 2016 will benefit from the reduced Property Transfer Fees regardless of then the transfer takes place.

(The law make no mention of a refund for those who have recently paid their Property Transfer Fees)

Regards,


Last edited by nhowarth on Tue Jul 28, 2015 5:58 pm; edited 1 time in total

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Post: #2   PostPosted: Tue Jul 28, 2015 1:34 pm Reply with quote
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I guess this is the same one as this:

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Post: #3   PostPosted: Tue Jul 28, 2015 1:39 pm Reply with quote
nhowarth
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Hi Pan,

It adds more substance and we now know that everyone will benefit from the reduction in Property Transfer Fees regardless of when they purchased the property. (And I have included the consolidated law).

Regards,

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Post: #4   PostPosted: Tue Jul 28, 2015 2:31 pm Reply with quote
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Thanks.

That law consolidated my brain trying to read through it! Laughing Laughing

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Post: #5   PostPosted: Tue Jul 28, 2015 3:37 pm Reply with quote
RobandLynn
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Nigel is there still a reduction if you bought before 2011 ?

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Post: #6   PostPosted: Tue Jul 28, 2015 4:52 pm Reply with quote
nhowarth
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RobandLynn wrote:
Nigel is there still a reduction if you bought before 2011 ?


Yes, providing the transfer takes place before 31st December 2016.

Regards,

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Post: #7   PostPosted: Tue Jul 28, 2015 5:26 pm Reply with quote
Santorini Paul 1
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Yee Hah! That will save me a few bob.
Thanks for your efforts and the good news.

I plan to pay for my deeds asap just to get it over with. However, if you are not planning on selling and you are protected from the developer's debts, is there any benefit in paying now rather than waiting until December 2016?

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Post: #8   PostPosted: Tue Jul 28, 2015 5:52 pm Reply with quote
nhowarth
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Santorini Paul 1 wrote:
is there any benefit in paying now rather than waiting until December 2016?


As they say 'a bird in the hand is worth two in the bush'. Once you pay the Property Transfer Fees the property is yours - no-one can take it away from you (unless you default on your loan repayments.)

The is also a general election next year who knows what the next government will decide to do. Revoke the changes maybe?

Regards,

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Post: #9   PostPosted: Tue Jul 28, 2015 8:01 pm Reply with quote
TaP
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Hi Nigel

What news for those of us whose developers are in liquidation.

I have tried to email the receiver several times but he does not reply

Thanks
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Post: #10   PostPosted: Wed Jul 29, 2015 6:58 am Reply with quote
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Post: #11   PostPosted: Wed Jul 29, 2015 7:26 am Reply with quote
edwardproper
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Hello Nigel,

thank you for your very informative article yesterday.

Since you mention, for completions before end 2016, no transfer fee is payable on properties where VAT was paid.

Could you please tell me if this would be applicable to me if I get Title Deeds sorted before this date.

I purchased in 2008 for the sum of 108,000 Cyprus Pounds including Vat, but received a rebate of just over 5,000 Cyprus pounds for part repayment of Vat , since my property is my only home, and I have lived here since then.

Many Thanks
Edward
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Post: #12   PostPosted: Wed Jul 29, 2015 7:54 am Reply with quote
nhowarth
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TaP wrote:
What news for those of us whose developers are in liquidation.


If the Title Deeds are available for transfer, there should be no problem.

However, if there was a 'hidden mortgage' on the land then you will have to wait until the government passes a bill to protect people in this situation. The debate and vote on this law will take place on 3rd September.

Regards,

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Post: #13   PostPosted: Wed Jul 29, 2015 7:58 am Reply with quote
nhowarth
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Hi Edward

Someone emailed me yesterday with the very same question. On the face of it you paid VAT and I assume you should pay no Property Transfer Fees.

There isn't anything in the law about how this situation is dealt with.

Regards,

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property transfer fees 
Post: #14   PostPosted: Wed Jul 29, 2015 10:18 am Reply with quote
cecilia
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Hi Nigel

Can I just verify a point that If you've payed VAT on your purchase you're not liable for transfer fees, does that mean that the director of the land registry can't change the market value of your property and then charge you transfer fees.

Kind regards

Celia
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Re: Property Transfer Fee Reduction 
Post: #15   PostPosted: Fri Jul 31, 2015 8:58 am Reply with quote
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nhowarth wrote:
I have managed to acquire the
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Register for Free or Login to the forum.

.

The much anticipated reduction in Property Transfer Fees are as follows:

For transfers that take place before the 31st December 2016:
    (a) If VAT was paid on the property, no Property Transfer Fees are payable.

    (b) IF VAT was not paid on the property, the Property Transfer Fees are reduced by 50%.
However if the Director of the Land Registry considers that the price stated on the contract of sale does not reflect the market value of the property at its date of purchase he may, at his discretion, charge the full Property Transfer Fees based on the market value of the property at its date of sale less the price stated on the contract of sale.

Those who have or will purchase property between December 2, 2011 and December 31, 2016 will benefit from the reduced Property Transfer Fees regardless of then the transfer takes place.

(The law make no mention of a refund for those who have recently paid their Property Transfer Fees)

Regards,


Nigel,

do you know if it has been advertised in the Government paper yet? Since that when the law begins.

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Re: property transfer fees 
Post: #16   PostPosted: Fri Jul 31, 2015 9:24 am Reply with quote
nhowarth
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cecilia wrote:
If you've payed VAT on your purchase you're not liable for transfer fees, does that mean that the director of the land registry can't change the market value of your property and then charge you transfer fees.


No

Regards,

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Re: Property Transfer Fee Reduction 
Post: #17   PostPosted: Fri Jul 31, 2015 9:27 am Reply with quote
nhowarth
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FSB Properties wrote:
do you know if it has been advertised in the Government paper yet? Since that when the law begins.


Yes - it has been published.

You can find the consolidated law (in Greek) at
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The amendment to the law in Greek at
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And a translation of it that I made using Google at
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The law came into effect 16 July.

Regards,

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Re: property transfer fees 
Post: #18   PostPosted: Fri Jul 31, 2015 10:40 am Reply with quote
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nhowarth wrote:
cecilia wrote:
If you've payed VAT on your purchase you're not liable for transfer fees, does that mean that the director of the land registry can't change the market value of your property and then charge you transfer fees.


No

Regards,


Nigel, I'm not so sure this is right, as the law as written in the Greek and from my understanding, the Director can, if not satisfied, make a charge based upon the difference of what was declared paid and that which he believes to be the correct amount.

I do stand to be orrected as my Greek is not perfect, but that is how I read it. Page 9 of the law comes under 10 (1).

This bit here:

Reduction enforcement and fee or royalty collection for real property title registration

10. (1) No charge is imposed or levied by Chapter 17 of the Panel, when for the same offense on the same immovable property apply value added tax under the relevant legislation:

Provided that when the Director is not satisfied that the sale price declared and on which imposed Value Added Tax represents the market value of the property at the date on which the sale was agreed,
the Director may, at its discretion, impose and received a fee based on the scale set out in Chapter 17, which is calculated on the market value of the property, minus the fee to be paid on the purchase price
stated and on which imposed Value Added Tax.

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Post: #19   PostPosted: Sat Aug 01, 2015 8:01 am Reply with quote
nhowarth
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Hi Pan,

I hope that's what I said - the director can change the market value of the property and charge you transfer fees n the difference between the price declared in the contract and his assessment of the market value.

Cheers,

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Post: #20   PostPosted: Sat Aug 01, 2015 10:48 am Reply with quote
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nhowarth wrote:
Hi Pan,

I hope that's what I said - the director can change the market value of the property and charge you transfer fees n the difference between the price declared in the contract and his assessment of the market value.

Cheers,


Mate my mistake, I mis-read can't for can and when you said no, I thought eh up!

So that clears up that little birdie then. Cheers for pointing it out, I need to go to spec savers me thinks
Embarassed

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Property Transfer Fee Reduction 
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