CY resident - change

[bigbite100]

Hello,

I was asked by the CY landlord if I am willing to change the contract of my apartment and instead of being myself the tenant to put my CY LTd company in order to claim the VAT. The utility bills of my apartment will not change, though.

Any advantages or disadvantages to this? Might someone ask for the contract later? On the first site it just looks like that the rental will be 19% cheaper due to the VAT claiming, but I dont think its that simple.

Thank you in advance.

 

[Sols]

This is not normal and could have repercussions for your immigration status, especially if you aren't an EU national. It can become a problem long-term if you can't provide utility bills or other proof of address in your name.

If your landlord is asking about this, there is probably something else going on. Your rent might be too low for your landlord to afford their mortgage, for example, and is looking for a way to get more money rather than raise rent. Unless @CyprusLaw or @CyprusLawyer101 say otherwise, I'd start looking for a new place. The landlord can't kick you out for refusing, but they can make things difficult and refuse to renew.

 

[CyprusLaw]

Hello,

I was asked by the CY landlord if I am willing to change the contract of my apartment and instead of being myself the tenant to put my CY LTd company in order to claim the VAT. The utility bills of my apartment will not change, though.

Any advantages or disadvantages to this? Might someone ask for the contract later? On the first site it just looks like that the rental will be 19% cheaper due to the VAT claiming, but I dont think its that simple.

Thank you in advance.

Hi there,

(a) Is the CY Landlord a company?

(b) You would have to deduct SDC payments made to him and pay SDC yourself, has the landlord accounted for this deduction?

(c) Also, why is the Landlord making reference to VAT? Is he currently charging you with VAT? As you are an individual you should not be charged with VAT unless you are carrying out taxable transactions from the premises. VAT is imposed on leasing properties on a rate of 19% in the case where the lessee is registered as a VAT taxpayer and carries out taxable transactions.

(d) As Sols has asked - what is your nationality? As this indeed could cause issues with your permits.

If you want I can PM you to have a more specific discussion about this.

 

[bigbite100]

Thank you for your replies, I understood that there are not advantages.