The Cyprus Tax Department has officially announced that all stamp duties have been abolished as of January 1, 2026. This follows the entry into force of updated legislation under which the institution of stamp duties is completely eliminated. For private individuals, investors, and companies, this means a significant simplification of document processing and a reduction in related euro-denominated costs when concluding transactions, leasing property, executing agreements, and carrying out other legally significant actions.
The decision is particularly relevant against the backdrop of Cyprus’s active real estate market and growing interest from foreign buyers, as stamp duty had previously been a mandatory cost item when formalizing many contracts in euros.
Which documents are still subject to duty
At the same time, the Tax Department emphasizes that all documents that were drawn up and signed by at least one of the parties before December 31, 2025, remain subject to stamp duty under the usual rules. For these, the Stamp Duty Law of 1963–2025 continues to apply, and such documents must be executed in accordance with the existing procedures. This means that during audits, registration, or court proceedings, the absence of properly paid duty may still result in fines and additional costs.
Sale and use of stamp duty stamps
It is noted that licensed agents selling stamp duty stamps are entitled to continue selling only those stamps that they already have in stock. These stamps may be used exclusively for documents that still fall under stamp duty. In this way, existing inventories will be gradually exhausted, and the market will smoothly transition to the new system without stamp duty stamps.
Payments for other departmental fees
The Tax Department also clarified that the payment of fees provided for under the legislation of other ministries, services, and departments may temporarily continue using the existing stamp duty stamps currently in circulation on the market. This will remain in effect until the relevant authorities approve new regulatory mechanisms and alternative methods for collecting such payments in euros.
What this changes for citizens and businesses
The abolition of stamp duty from 2026 is an important step toward the digitalization and simplification of administrative procedures in Cyprus. It reduces transaction costs, speeds up contract execution, and makes Cyprus even more attractive to investors, including those from EU and third countries. For businesses, this means less bureaucracy, and for private individuals, more transparent and predictable expenses when purchasing property, renting, and entering into commercial agreements.