Cyprus wants to extend the registration period in the Register of Self-Catering Accommodation for the Airbnb service.
The proposal was recently made by members of the Committee on Energy, Trade, Industry and tourism. They stated the need to postpone the deadline for submitting applications from owners for 12 months - until February 7, 2023.
They justified their proposal by the fact that many property owners were unable to submit applications for registration in a timely manner due to difficulties encountered in the process of providing the necessary information.
By the way, since the update of the rules for renting real estate through the popular AirBnB platform, only 30% of the total number of property owners interested in short-term rental of their houses or apartments have submitted the necessary documents and received the appropriate permission.
According to the new rules, property owners in Cyprus who want to rent out their property on the AirBnB are now required to be in the Register.
To do this, they need to get a special serial number on the online platform, which was developed by employees of the Deputy Ministry of Tourism in mid-2021. Otherwise, they cannot place their ads on a popular platform.
Applications can be submitted by both individuals and legal entities. At the same time, they must have:
- Registration with the Tax Department (taxpayer identification number or VAT, if provided for by the relevant legislation) of the Republic of Cyprus.
- Valid housing insurance, at least, against fires and natural disasters.
In other words, when registering on Airbnb, property owners are now asked for a serial number assigned to them by the Government of the Republic of Cyprus in the National Register. Otherwise, the owners of the housing cannot register on the Internet site.
Until the moment of registration in the National Register, homeowners have the right to rent out their real estate, subject to payment of the corresponding income tax VAT in favor of the state and daily fees to local authorities. After receiving the serial number, the owners must pay an additional registration fee for each unit of housing in the amount of 222 euros for three years.
Earlier it was reported that the owners of real estate, which is already in the database of the Airbnb platform, need to register before the end of 2021.
The Sub-Ministry of Tourism of the Republic of Cyprus was obliged to monitor the implementation of the new rules. From February 7, 2022, it was supposed to start checking landlords in order to identify violations. In particular, check for registration and serial number in the National Register, as well as compliance with the conditions of registration of housing by an entrepreneur on Airbnb.
If the Parliament of Cyprus allows amendments to the legislation, then the owners will have time to add their objects to the new database. Otherwise, many face a fine.
In fairness, it is worth noting that the new platform was not ideal.
So, many property owners in Cyprus are faced with a number of inconveniences and the problem of getting the coveted serial number. At first, it was not possible to register housing facilities located in rural areas or mountainous areas of the island on the platform. Now the owners of the property have stated that they are unable to register several objects at once. Interestingly, most of the short-term rental properties in Cyprus are managed by companies.
Currently, there are more than 20 thousand properties on the island that are rented through the online platform Airbnb.
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