If you’re considering buying property in Northern Cyprus, knowing the taxes involved is crucial for planning your investment. Here’s a breakdown of the taxes and steps involved:
Taxes and Contributions
The total tax amount, excluding additional fees, comes to 17.5% of the property value, distributed as follows:
- Stamp Duty: 0.5% of the property price
- Land Registry Fee: 6% of the property value
- VAT (Value Added Tax): 5%
- Title Transfer Fee: 6%
Step-by-Step Payment Process
Taxes must be paid in this sequence:
- Stamp Duty and Land Registry Fee: These are the initial payments.
- VAT: Paid after registering the sale.
- Title Transfer Fee: Final payment during the title transfer process.
What is the procedure for property registration?
- Sign the sales agreement.
- Register it with tax and land registry offices.
- Apply for purchase permissions.
- Complete the title transfer.
Plan Your Investment with Confidence
Navigating the tax landscape can be challenging, but understanding the steps makes it simpler. Whether you’re investing for residence or rental income, knowing these costs ensures no surprises in your journey to property ownership.
