Quick answer
Every Cyprus limited company must keep proper books, have its accounts audited (or reviewed, for some small companies), file an annual return (HE32) with the Registrar for €20, pay provisional tax on 31 July and 31 December, file a company tax return (for 2026 profits, by 31 January 2028) and confirm its beneficial owners between 1 October and 31 December. VAT-registered companies file quarterly VAT returns, and employers pay social insurance and GESY monthly. The €350 annual levy was abolished from 2024, but late filing brings fines and, in the worst case, strike-off.
- Accounts must be audited every year by a licensed auditor; small companies meeting the turnover and asset limits may be able to use a review instead.
- Annual return HE32: €20 through the Registrar's online system; late filing adds €50 plus €1 a day (up to €150) and a €20 charge.
- Provisional tax: estimate the year's profit and pay half on 31 July and half on 31 December; estimating below 75% of the final figure adds a 10% surcharge.
- From the 2026 tax year, the company tax return is due by 31 January of the second following year (31 January 2028 for 2026).
- UBO details must be confirmed every year between 1 October and 31 December, even with no changes; fines run from €100 up to €5,000.
Setting up a Cyprus company takes a couple of weeks; keeping it in good standing is a yearly routine. None of it is difficult with a good accountant, but the deadlines are spread across three authorities (the Registrar of Companies, the Tax Department and Social Insurance) and the fines add up quickly. This guide puts everything in one place.
If you have not set up yet, start with how to set up a company in Cyprus, or check whether you need one in sole trader or limited company.
The yearly calendar at a glance
| When | What | Authority |
|---|---|---|
| Monthly | Payroll: social insurance, GESY and income tax withheld from salaries | Social Insurance / Tax Department |
| Monthly, by the 15th | VIES return, if you sell to businesses in other EU countries | Tax Department (VAT) |
| Quarterly, by the 10th of the second month after the quarter | VAT return and payment | Tax Department (VAT) |
| Every year | Audit (or review) of the accounts, AGM and annual return HE32 | Auditor / Registrar |
| 31 July | First provisional tax payment, with the estimate of the year's profit | Tax Department |
| 1 October – 31 December | Annual confirmation of beneficial owners (UBO) | Registrar |
| 31 December | Second provisional tax payment; last date to revise the estimate | Tax Department |
| 31 January, two years later | Company tax return (2026 return due 31 January 2028) | Tax Department |
Registrar of Companies
Audited accounts
Every Cyprus company must prepare yearly financial statements and have them audited by a licensed auditor, whatever its size and even if it did not trade. A small company whose turnover stays below €300,000 and gross assets below €500,000 for two consecutive years may be able to replace the audit with a review, which is lighter and cheaper; your auditor will tell you if you qualify. The first accounts can cover up to 18 months from incorporation.
AGM and annual return (HE32)
Each year the company holds its annual general meeting to approve the accounts and then files the annual return (form HE32) with the Registrar, with the audited accounts attached (except the first return). The return is made up to a date close to the AGM and filed within 28 days of it. The fee is €20 online.
Late filing costs €50 straight away plus €1 a day, up to €150, and a €20 late charge. Companies that keep ignoring the Registrar can be struck off: their assets pass to the state and bank accounts are frozen until the company is restored, which is slow and costly.
Beneficial owners (UBO register)
The company must keep its beneficial owners up to date in the Registrar's UBO register:
- report any change within 45 days;
- confirm the details every year between 1 October and 31 December, even if nothing has changed.
The fine is €100 for the first day and €50 for each further day, up to €5,000.
Changes during the year
Changes of directors, secretary, registered office or shares must also be filed with the Registrar on the right forms, usually by your company secretary. A new director should be filed promptly, as banks check the Registrar's records.
No more annual levy
The €350 annual levy that Cyprus companies used to pay was abolished from 2024.
Tax Department
Provisional tax: 31 July and 31 December
Companies pay corporate tax (15% from 2026) during the year in two instalments. By 31 July you estimate the year's taxable profit and pay half the tax; the other half is due by 31 December, when you can still revise the estimate. If your estimate is below 75% of the final profit, a 10% surcharge is added on the difference, so a cautious, realistic estimate pays off.
Company tax return
For the 2026 tax year onwards, the company tax return is due by 31 January of the second following year: the 2026 return by 31 January 2028. Returns for 2025 and earlier follow transitional dates, so check yours with your accountant. Late returns are fined €250, or €500 for companies with more than €1 million of turnover or assets, and the fine doubles if the return is still missing 60 days after a formal notice. Unpaid tax adds 5%, another 5% after two months, plus interest (3.5% a year in 2026).
Dividends
When the company pays a dividend, it must give each shareholder a dividend certificate. For Cyprus-domiciled residents, the company withholds the 5% defence contribution and 2.65% GESY and pays them to the Tax Department; non-doms pay only the GESY. Since 2026 there is no deemed dividend on new profits, so the company does not have to distribute profits it wants to keep.
VAT
VAT-registered companies file a return every quarter and pay by the 10th of the second month after the quarter ends (for example, by 10 May for January to March). If you sell to businesses in other EU countries, a VIES return is also due each month by the 15th.
Business rent
From July 2026, rent for business premises must be paid electronically, such as by bank transfer, to count as a tax-deductible expense. Rent paid in cash is not deductible.
Payroll and social insurance
If the company pays salaries, including to you as a director, it must:
- declare each new employee online through the ERGANI system before they start;
- pay social insurance, the employer funds and GESY every month (in 2026: employer 8.8% social insurance, 1.2% Redundancy Fund, 0.5% Human Resource Development Fund, 2% Social Cohesion Fund and 2.9% GESY; employee 8.8% and 2.65% GESY, on salaries up to €68,904 a year);
- withhold income tax from salaries and pay it monthly;
- file the employer's yearly return of salaries and tax withheld.
Our guide to social insurance numbers explains the employee side.
Good habits that save money
- Use one business bank account and never pay personal costs from it.
- Keep every invoice and receipt for at least six years.
- Close the books within a few months of the year end, so the audit, AGM and HE32 are not rushed.
- Put the key dates in your calendar: 31 July, 31 December and the 1 October to 31 December UBO window.
- Agree a fixed yearly fee with your accountant that covers bookkeeping, VAT, the audit, the HE32 and the tax return.
What to do next
- Choose an accountant and auditor; you can find them in our business directory.
- Read our 2026 tax reform explainer for the personal side of your taxes.
- Learn how to file your own tax return as a director or shareholder.
This guide is general information, not legal or tax advice. Deadlines can be extended by announcement; check yours with a Cyprus accountant.
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Frequently asked questions
Does every Cyprus company need an audit?
Yes, every Cyprus company needs its yearly accounts checked by a licensed auditor, even if it did not trade. Small companies that stay below the turnover and asset limits for two years in a row may be able to have a review instead of a full audit; ask your auditor whether you qualify.
When is the HE32 annual return due?
The annual return is made up to a date close to the company's annual general meeting and filed with the Registrar within 28 days of that date, together with the audited accounts. Most accountants file it soon after the accounts are approved.
Is there still an annual levy for Cyprus companies?
No. The €350 annual company levy was abolished from 2024. The annual return still has a €20 filing fee.
When do I file the company tax return in Cyprus?
For the 2026 tax year onwards, by 31 January of the second following year, so the 2026 return is due by 31 January 2028. Earlier years follow transitional dates, which your accountant will confirm.
What happens if a Cyprus company does not file its annual returns?
The Registrar charges late fees and can eventually strike the company off the register. Its assets then pass to the state and bank accounts are frozen until the company is restored, which is slow and expensive.
Useful resources
- KTC Business Consultants – Annual compliance calendar for Cyprus companies (2026)
- Zeno Legal – Cyprus HE32 annual return 2026
- Iacovou – Cyprus statutory audit requirements 2026
- Nikita & Partners – Cyprus corporate tax 2026 FAQs
- Constantinos Markou & Co – 2026 Cyprus tax reform: key changes for companies
- IBCCS – Cyprus UBO register: deadlines and penalties
