the Cyprus Parliament has amended the current legislation regarding the imposition of VAT on the acquisition of new properties.

With the current amendment, VAT is imposed at the rate of only 5% on the acquisition of residence which is used as a primary and permanent place of residence in Cyprus by an eligible person. With the current amendment the charging of VAT at the rate of 5% is extended to:

(a) to persons who are not citizens of the European Union

(b) to persons who have their primary and permanent place of residence outside Cyprus when they use the residence in question in Cyprus as their place of residence when they are located in Cyprus.

We believe that this is now a magnificent opportunity for non-Europeans to purchase a property in Cyprus.

We have been informed our non-European clients about these good news, and we expect a surge in interest and viewings in the coming weeks, as everyone will attempt to benefit from this 12% saving.