We would like to inform you that the first installment of the "Provisional Tax 2020" is payable until 31 July 2020.
The provisional tax is calculated on the profits that are expected to arise in the year 2020 for companies and self-employed persons.
**Remember that the corporate tax rate is 12.5%.
The late submission of the return and the late payment of the installments are liable to a penalty of 5% plus interest of 1.7% on the payable amount.
Legal entities and self-employed who expect to have profits in the year 2020 and do not pay provisional tax will be liable to 10% additional tax on the tax payable for the specific year. The same applies for provisional tax payments that will not cover at least the 75% of the final profit for the year 2020.
You are therefore advised to estimate your company’s and/or personal taxable profits (if self-employed) for the year 2020 and the relevant tax thereon and inform us as soon as possible of your expectations.
*2nd installment is payable until 31st of December and reversion if needed too.
Globalserve Consultants Ltd is a licensed provider and accounting firm in Cyprus specializing in company registration in Cyprus and other jurisdictions, banking and accounting services. Find more information in our services and register to receive our newsletters and tax alerts www.gstaxconsultants.com