Cyprus Introduces Mandatory Electronic Rent Payments — Tax Alert 229

As of 1 July 2026, all rent payments in Cyprus must be made via traceable electronic methods.

Under the newly introduced Article 48A of the Assessment and Collection of Taxes Law (N.4/1978), all rent payments for immovable property located in Cyprus must be made exclusively via:

• Bank transfer
• Debit/credit card
• Other recognised electronic payment method

Consequently, landlords are prohibited from accepting rent payments in cash as from the end of the month.

Recommended actions for tenants and landlords

• Ensure all rent payments are made through banking/electronic channels
• Avoid any cash transactions
• Review existing agreements and practices for compliance

Why this matters

The change strengthens transparency in the rental market and supports the tax authorities' efforts to combat undeclared rental income. Landlords who continue to accept cash risk penalties, while tenants who pay in cash may lose evidence needed for tax deductions or dispute resolution.

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