As from 2011 an annual levy of €350 payable to the Registrar of companies is introduced for all companies incorporated in Cyprus. For groups of companies the maximum levy is fixed at €20.000.
For 2011, the levy is payable by 31 December 2011. The levy for 2012 onwards is payable by the 30 June of each year.
Companies are not subject to the payment of the levy for the year in which they have been incorporated.
Dormant companies which do not own any assets, as well as companies owning property located in the non Government controlled areas of Cyprus are exempt from the payment of the levy.
In case the levy is not paid within the prescribed period, if the levy is then paid within two months from the due date, a penalty of 10% is payable which is increased to 30% if the levy is paid within five months from the due date. If the levy is not paid within five months, the Registrar of Companies will remove the company from the registry (something which is expected to restrict the company from filing documents or requesting certificate from the Registrar’s Office). The return of the company to the registry can be affected within two years with the payment of a levy of €500 per annum and thereafter with the payment of a levy of €750 per annum.