On 16 September 2026, the Cyprus Tax Department announced an extension of the deadline for submission of the Annual Declaration of Withholding Tax and Contributions (PAYE) for the 2025 tax year. The original deadline of 30 September 2026 has been extended to 31 October 2026. The extension applies to all employers and withholding agents required to file Form IR7 (Employer’s Annual Return) and remit any outstanding PAYE, Social Insurance, and General Healthcare System (GHS) contributions. The department cited technical upgrades to the TAXISnet employer portal as the primary reason for the extension.
Key Takeaways
- Extended Filing Window: Employers now have until 31 October 2026 to submit the annual PAYE return and reconcile monthly withholding amounts. Late submissions after this date will incur a penalty of €100 per month of delay, up to a maximum of €1,000.
- Reconciliation Requirements: The annual return must reconcile total gross emoluments, tax withheld, social insurance contributions, and GHS contributions reported in monthly PAYE returns (Form IR61). Discrepancies must be explained in the accompanying notes. The Tax Department will cross-reference data with Social Insurance Services and GHS.
- Payment of Balances: Any balance due resulting from the annual reconciliation must be paid by 31 October 2026. Interest at the statutory rate (currently 4.5% per annum) will accrue on late payments. Employers are encouraged to use the direct debit facility on TAXISnet for timely settlement.
Disclaimer: This article is compiled and summarized by the AI based on publicly available information and is for general information purposes only. It does not constitute any form of formal tax advice, legal opinion, or basis for performance. Please consult a qualified professional tax advisor or legal counsel for tax advice.
Source: Read Official Announcement