THE REFORM POSTPONES TAX RETURNS - NEW ZEALANDERS [IMPLEMENTERS] DO NOT HAVE TIME - Filenews 10/4 by Eleftheria Paizanou
The tax reform, as well as the many changes made to the income returns of employees and self-employed, will delay the submission of tax returns for the tax year 2025.
Instead of being submitted through the new Tax For All computerized system, as planned, they will be submitted through the existing TAXISnet system.
Following the new tax order, the Tax Department was on an open line of communication with the private company in New Zealand, which implements the Tax For All system. The company asked for additional time to incorporate the provisions of the tax reform into the new computerized system, while proposing to follow the usual procedure for last year's tax year.
As things stand, the submission of tax returns for 2025 will begin between June and July, instead of April, as is done every year, and will be completed around the end of October.
The Tax Commissioner, Sotiris Markides, speaking to "F", assured taxpayers that they will be given all the necessary time to comply with the submission of the tax return and with the payment of the tax and contributions that may arise, without interest and charges. He indicated that the philosophy is that, when the administration is responsible for the delays, then the necessary time is given.
It is worth noting that at the beginning of 2027 all direct taxes will be transferred to the computerized Tax For All. It is estimated that the changes in the system for tax returns will cost €1 million.
"The Tax Department is the only department that implements a new software system worth €30 million, without collapsing. This process requires patience and planning. The Department, in this effort, has the support of the Ministry of Finance, the Central Committee for Changes and Claims and the General Accounting Office."
Extensions
At the same time, the Tax Department has extended until September 30 the deadline for submitting the Annual Income Tax Withholding Return from Employers (PAYE) for the tax year 2025. This return will be available for submission through the Tax For All system from May 2026.
Also, an extension was given until April 20 to the submission of a VAT return and the payment of the VAT due for the period ending on 28/02/2026, as well as to the submission of the Summary Table (VIES) for the period concerning the month of March 2026.
"After 20/04/2026, the submission of the said VAT return, the payment of the VAT due and the submission of the said Summary Table (VIES) will be considered overdue and will be subject to financial charges and additional tax," he added.
Specifically, a fine of €100 will be imposed for non-timely submission of the VAT return, an additional tax of 10% on the VAT due and €50 for non-timely submission of the Summary Table (VIES).
Registration via Cy Login
In the meantime, as of July 1st, the registration of a company registered in the Register of Business Entities of the Department of the Registrar of Companies will be done exclusively when the connection to the Tax For All system is done through Cy Login.
According to the Tax Commissioner, the department's plan is that all taxpayers, i.e. both natural and legal persons, must achieve entry through Cy Login. As he explained, through this access, the taxpayers' data will be fully identified with the data held by the Citizen Service Centers and the banks.
It is worth noting that any company registration requests that are not submitted by logging in to TFA using CY Login will not be accepted and will be rejected.
