New OECD Exchange of Information about Properties and Their Owners
Earlier this week, OECD published the Report to G20 Finance Ministers and Central Bank Governance on the Framework for Automatic Exchange of Readily Available Information on Immovable Property for Tax Purposes.
The Report introduces a model of Multilateral Agreement for tax authorities to exchange automatically information about:
Who owns, buys, or sells properties; and
Rental income.
The goal of this initiative is to increase tax transparency and prevent tax evasion by using foreign properties.
It is proposed that authorities will be exchanging information already available to them. For example, the information already available in the UK and in Cyprus includes company beneficial owners, property owners, acquisition prices of the properties, and rental income taxed.
The information to be shared under this new automatic exchange framework will include, in particular, owner information, property details, value, transactions, and income.
The commencement date for this new exchange of information has yet to be set, but the framework will follow the existing CRS model and can be expected to be implemented without much delay.
It is advisable for all Cypriot residents who own UK real estate to review their property portfolios and ensure their full compliance in both the UK and Cyprus.
Consulco’s tax, legal and property experts are happy to discuss any of your concerns and assist you with regularisation of your property portfolio.
Get in touch today!
☎️: +357-22 761 200
📩: enquiries@consulco.com
🌐: https://consulcolaw.com/