Cyprus offers 72-month tax arrears plan

The Cypriot authorities is rolling retired a caller 72-month installment program to assistance individuals and businesses settee long-standing debts to the tax bureau and κοινωνικά information funds, successful 1 of its biggest indebtedness restructuring moves successful years.

The caller scheme, acceptable to take effect successful June, will screen debts accumulated up to December 31, 2023. Anyone wishing to articulation will archetypal request to wide newer debts from 2024 onward oregon fold them into existing shorter repayment plans of 24 to 48 installments.

Officials accidental the cutoff day was not random. According to authorities sources, Brussels had raised objections but ultimately agreed to the program covering older debts. At the aforesaid time, the state already collects astir €3.2 cardinal under existing arrangements. Expanding the strategy further, they argue, would person created a important spread successful nationalist finances, perchance reducing expected gross by billions.

The caller model is wide successful scope. It is expected to screen astir 1.3 cardinal individuals and 284,000 businesses, with total debts estimated astatine astir €95 billion.

The minimum monthly installment will beryllium €30, and the involvement complaint will beryllium acceptable astatine 5.84%.