Statement of Individuals

Every taxpayer has the obligation to submit the Income Tax Return for the year 2010, until April 30, 2011, except in the case of audited accounts, in which case the submission is extended until December 31st, 2011. Individuals who have income from paid employment which exceeds the tax free amount (for 2010 is € 19,500) should submit the form “I.R1A employee” which is sent to each taxpayer at the beginning of each year.
The Income Statement can be submitted either on hard copy (with forms issued or approved by the IRD.) or electronically via Internet from the service (

➤ Documents to be attached along with the Income Tax Return:

■ Certificate of earnings (I.R.63)
■ Certificates of receivable interest in the event that their total income does not exceed €12.000
■ Evidence of donations over € 300

If the declaration is submitted online, there is no need to submit any certificates, but, if requested by the IRD, they should be stored along with all other licenses, for a period of seven years from the end of the fiscal year.

➤ The Income Tax Return of the employee in 2010 includes the below:

Part 1 – Taxpayer Information
Personal data should be completed correctly and in particular, the correspondence address.
Part 2 – Additional information
Persons who declare that they have remained in the Republic in 2010, for more than 183 days, must declare all income from Cyprus and from abroad. Otherwise, they must declare only the income derived from sources within Cyprus.

Part 3 – Income
(Must attach the appropriate certificates only in cases where tax has been withheld)
■ A – Salaried services: The income from paid employment is declared and attached to the earnings certificate (I.R.63). If a person was resident outside Cyprus before the commencement of his employment, then he should complete the part regarding the date of his establishment in Cyprus, the date of his employment in Cyprus and if the person began employment in 2010, also, the total number of days in Cyprus, before the commencement of employment, must also be completed.
■ Life insurance policy redemption: The name and tax identification number of the insurance company should be completed. If the life insurance has been redeemed during the year, the date of issue and redemption must be indicated, as well as the amount of premiums, which was claimed as a deduction in previous years.
Part 4 – Deductions / Exemptions
■ A – Additional deductions:
Subscriptions to trade unions, professional subscriptions, donations to approved charitable institutions and any other deductions are reported. For donations over € 300, certificates must be submitted. For donations of smaller amounts, the certificates should be kept, in order to be submitted when requested.
If the taxpayer was resident abroad prior to his employment in the Republic, the exemption (20% of the fee or € 8,550 whichever is the lowest) is valid for a period of 3 years commencing on January 1st of the year, following the year of employment.