Kibkom North Cyprus Forum

Hi everybody, I used to login as pc4854 but have been unable to get in on that, so have reregistered as" mikeh". My wife and I purchased land in 2004 and built in 2005 at Karsiyaka. We were told then that the first sale of property would be tax free but any further sales would be taxable. So two years ago when we sold, the solicitor commented that it was a first sale, so no tax would be payable. This week out of the blue, I received an email from the solicitor to say that the purchaser had now received his PTP and that the first tax free sale no longer applies. The land registery, fix their price on the property and tax is now payable at 2.8% and section 9 of the contract to sell, states that we are responsible to pay any taxes on the sale. Therfore we had to pay £6500.00 in tax. Just to warn others who may sell and be presented with an unexpected bill .This tax is called Capital Gains Tax, but this is in effect a Sales tax and is set by the Land registry and not based on the sale price.

Have recently put a property on the market and our lawyer advised us that this CGT tax was payable, even though it is a first property sale, we bought in 2003.

That's very unfair, you sold in 2021 when the law was not in place, I can now understand why my contract read all taxes are based on purchaser.
Yes I understand they did not have PTP but that at the time was not your problem

viewtopic.php?f=8&t=58822 is also about the new property laws

Interesting .I brought my property over 20years ago so if I sell now and do not buy another property would I be liable for CGT on it?