Tax day is without a doubt one of the most dreaded days of the year, especially when you are not sure what to do and where to start. To help you get your tax filing ducks in a row, we put together a tax preparation checklist you can use to ensure you have everything you need this tax season. You will be surprised at how much time you save by organising the necessary documents and information beforehand!
Here’s all the information you are going to need before filing your taxes:
- Personal information about who is covered in tax returns and how to deposit the refunds. Specifically:
- Your name, contact details (email, phone number) and full address
- IBAN and Swift code (for refund purposes)
- Taxpayer’s identification code (T.I.C)
- Tax residence – your method of taxation is differentiated depending on whether you are a resident of Cyprus or not. Therefore, you need to choose the category in which you belong:
- If you are a resident of the Republic of Cyprus (that means you either remained in the country for a period of more than 183 days or at least 60 days but less than 184 days) you need to declare your income generated in and outside of the Republic
- If none of the above apply, you should declare only your income generated from sources inside the country.
- Proof of income – for tax purposes, income is money you receive from any source that is not a gift, including your salary, retrospective income, interest receivable, exploitation of a building under preservation order, investments (including dividends), redemption of life insurance policies, gambling and any other income. Therefore, collecting all details (dates, amounts, tax withheld, profit/loss details, business names, and so on) relevant to your income will certainly speed up the tax filing process.
- Deductions/allowances – a number of important exemptions are available, helping you reduce your taxable income. For example, retirement bonus, donations to charities, payments from provident funds, remuneration of foreigners employed by a foreign government or by an international organisation and much more. Such deductions/ allowances should be supported by relevant receipts or other supporting documents.
If you have any questions about the necessary information required to submit a return or need us to complete the tax return on your behalf, contact us on +357 7000 8812 or email@example.com for expert tax advice. We would be happy to help and take the tax return burden away from you!