Archives: 2007 October

The Editorial Team of The Cyprus Informer has noticed that a number of people have been searching for information on earthquakes in Cyprus.

This article has been compiled from a wide number of public authorities in Cyprus, including the Geological Survey Department, GSD, the Ministry of the Interior, archived Press Reports, the summaries from scientific papers and articles already published by the Informer.

Firstly the Cyprus Government is on a policy strategy to curb the property market in terms of building capacity and prices.

The Cyprus Informer article on the Looming Crisis in Banking and the Cyprus Government Policy is here http://www.girltalk.pcs-net.com/b2/cyprus-banking-crisis/

The Cyprus Property Action Group is rightly campaigning for major reforms in the property market so that purchasers get their Title Deeds right away rather than several years later or never.  This leaves purchasers vulnerable to losing their homes if the property remains mortgaged by a developer or new mortgages are added by a developer. 

The Cyprus Informer asks “Cyprus – Is a Banking Crisis Looming?” as the Financial Mirror, Cyprus publishes an article entitled “Price war on Cyprus bank deposits to hurt real estate”

The situation reported by the Cyprus Financial Mirror sounds horribly familiar to those in the UK who first witnessed Barclays going to the UK Central Bank for big overnight loans as rates in the wholesale markets soared, market liquidity contracted and the Northern Rock and UK Banks raised retail deposit rates in an war for deposits.

Cyprus easyJet, British Airways and GB Airways

Budget airline easyjet has agreed to buy UK carrier GB Airways for £103.5m. Gatwick-based GB Airways currently serves routes to Southern Europe (Cyprus) and North Africa under a franchise agreement with British Airways. GB also operates services out of Manchester and Heathrow airports, although the purchase by easyJet does not include the Heathrow slots. Easyjet said the deal was consistent with its expansion strategy and would strengthen its position at Gatwick.

But there now seems to be some doubt as to whether EZJ will retain the Cyprus routes according to an article in the Cyprus Mail http://www.cyprus-mail.com/news/main.php?id=35553

Channel 4’s “Selling Houses Abroad”

 
Wed 24 October 2007 – Presenter & Property Expert Andrew Winter

Some kind soul has ripped the part of this programme which relates to Cyprus and uploaded this to YouTube. How long this will stay due to copyright remains to be seen.  But while it is there take a look if you missed the programme.

http://uk.youtube.com/watch?v=zQiQMt_tMbc

VAT on Land Sales

This was due to be introduced in January 2008 which coincides with the change over to the Euro. The Cyprus Government has asked the European Commission for permission to defer this until July 2008.  Other rumours include a deferral until 2010 and that the VAT rate will be 6% but there have been no official announcements on the tax rate.

Water Supplies 

You need planning permission to install a large satellite dish on a roof in Cyprus.  The issue is that these can obstruct the views of others and clutter the sky line.  In addition you need a licence costing CYP60.  This has not been enforced recently but who knows what can happen as a consequence of this court case !!

And always have a spare pair of trews in case you need to go to a Cyprus Court unexpectedly !! 

 From the Cyprus Mail

The Cyprus House of Representatives has approved new measures that would increase the threshold at which income tax becomes payable in Cyprus.

The amendment, part of the proposed social cohesion measures, would mean that no income tax is payable on the first CYP10,750 (EUR18,400) of income for 2007. This threshold will increase to CYP11,350 for 2008.

Prior to these changes, the income tax threshold stood at CYP10,000 of an individual’s income. Tax was then payable at 20% on income between CYP10,000 and CYP15,000; at 25% on income between CYP15,001 and CYP20,000; and 30% on income over CYP20,001.

Paphos saw a first as a free local news station launched on the Internet at the start of October.

Local Internet News TV, known as lintv, provides English-speaking residents with a daily Paphos news brief. The lintv site will become the island’s leading on line ‘one-stop news and information site’ and will include ‘what’s on’ listings, latest weather and foreign exchange rates, key local contacts, useful links and UK & International news. Special video features also provide insights into living and relocating to Paphos with profiles of local personalities and politicians shaping the future of Paphos.

In Cyprus there is No Estate Duty or Inheritance Tax on Death.  But if you are an owner of property in Cyprus who is resident in the UK, or even if not a resident deemed to be domiciled in the UK, then UK Inheritance Tax has to be paid to the HMRC.