Filenews 12 August 2021 - by Adamou Adamou
Ready and having all the required documents and receipts, several property owners have registered their premises in the Register of Self-Service Accommodations of the Ministry of Tourism in order to be able,legally, to make them available for short-term rentals on various electronic platforms of type "Airbnb".
The interest in submitting applications was also surprised by the Ministry of Tourism, which also welcomes the comments it receives regarding the whole process which began only on 19 July. The early interest is justified, however, since the State Department has made announcements since last summer, but also because the legislation providing for the whole process has been adopted and published for about a year and a half.
However, the amendment of the Regulation of the Establishment and Operation of Hotels and Tourist Accommodations Law at the beginning of 2020 gave a two-year grace period for registrations in the relevant register and for obtaining permission from the Ministry of Tourism in order for the owners of premises to continue "legally" to advertise and rent their properties.
This grace period expires in February 2022 and in view of this date the Ministry of Tourism has notified that from Monday 19 July applications for the registration of premises (mansions, houses, apartments) in the register of self-service accommodations are accepted. "The world, despite the pandemic, began to respond to the invitation and the first registrations have already been made," deputy ministry spokesman Pantelis Ioannidis told "F". According to him, the whole process is moving smoothly so far and even the comments on the platform through which applications are submitted are for the time being very positive since the public finds it friendly and functional.
Electronically only
Please note that applications for registration are submitted only electronically via the website of the Ministry of Tourism: www.tourism.gov.cy. Applications may be submitted by both natural and legal persons. To this end, the applicant should have, before submitting the application for registration of the accommodation in the register of self-service accommodations of the Ministry of Tourism:
• Registration with the Tax Department (Tax ID number and/or VAT where provided under the relevant legislation) of the Republic of Cyprus and
• Insurance Coverage of the Accommodation in force – At least against any risk, for fire and civil liability.
The registration fee for self-service accommodation, based on relevant regulations recently approved by the Parliament, is €222 per three years for each self-service accommodation.
According to the provisions of the law, self-service accommodations to be entered in the register of the State Department are divided into three subcategories:
• Tourist Furnished Villas
• Tourist Furnished Residences
• Apartments.
As announced by the State Department, the applicant may advertise and/or rent the self-service accommodation, subject to the fact that it is registered in the Register of Self-Service Accommodations and has received a special mark and registration number from the State Department, which will be listed on each platform where the accommodation will be advertised, as well as in all relevant transactions. From 7.2.2022, the date of application of the relevant law, the Ministry of Tourism may carry out an ex officio check on any self-service accommodation, in order to verify the existence of a permit to register self-service accommodation and to ensure it complies with the conditions of its registration as self-service accommodation.
If, after 7 February, the State Department detects premises being advertised or rented without being entered in the register and without the relevant authorisation required, it is expected that it will proceed with the imposition of penalties as provided for in the legislation in force.
In its invitation to be included in the relevant register, the State Secretary also points out that income from the rental of self-service accommodation is subject to income tax and VAT in accordance with the provisions of the respective laws. It says accommodation will also be subject to overnight fees, payable to local authorities. Calls for relevant information to be given to the relevant Services (Department of Income Tax and Local Authorities- local Municipalities and Community Councils). Interested parties can also obtain more information from the website of the Ministry of Tourism.
