kdv please help

mouthy git


Joined: 24/09/2008
Posts: 41

Message Posted:
01/11/2008 22:32

have just received a very nasty threatening email from building contractor, suggesting that when i moved into my apt last sept 2007 i should have paid my kdv, for which was £1800 stg, he now want's me to pay £2500 stg + 15% for late payments for which will increase weekly + 5.96% for additional fees, even though i don't yet have my permission to buy, doe's anybody know the leagality of payments for kdv, have spoken to lawyer but to now great avail, can builders realy get way with this, i'am thinking that i should go the papers and let everyone know what kind of builder he is, { and the site's not due to be finished until feb 2009 }

please help

Hector


Joined: 26/08/2008
Posts: 2352

Message Posted:
01/11/2008 23:01

I don't believe that you have to pay any tax until you get your PTP. I certainly haven't. I think your builder is trying it on, to get you to pay his share of the tax, which in fact is not due yet. Isn't this what you pay your lawyer for? Bloody typical that they don't have a clue! The only way I'm paying the tax is when I'm about to get the Kocan and I'll pay my share at the tax office with the builder present.

norths4me


Joined: 19/04/2007
Posts: 269

Message Posted:
01/11/2008 23:16

MG



Kdv is now payable upon possession of your property please check the HBPG website for advise. It was different in 2007



You will be liable to pay 5% vat of the value of your property there are currently no penalties for late payments so tell your builder where to shove it with regards penalties

cyprusishome


Joined: 31/03/2007
Posts: 2381

Message Posted:
01/11/2008 23:18

If unsure contact Homebuyers Pressure Group they will either have advice on web site or will offer some guidance.



Personal view is this is a try on. Hector, this has nothing to do with PTP as you should have this before you buy in theory. KDV is payable on valuation by taxation authorities as far as I am aware.



Ignore builder, go to HBPG and place a complaint with Property Information Office. Most will say they are a waste of time but if you have a complaint registered and you have to go to court later you will be seen as having do all the right things.

The butler


Joined: 22/06/2007
Posts: 1958

Message Posted:
01/11/2008 23:33

Hi mouthygit,



We bought our property in 2006 and we had to pay our KDV when we collected our keys in June of 2006. I think you will find that the majority of builders/developers are now asking for it when you get your keys. However, they should not be asking for extra for late payment, as it is not your fault that they are only asking for it now.



The Butlers wife

Notsoboredhw


Joined: 15/03/2007
Posts: 1254

Message Posted:
01/11/2008 23:35

We had the same in the summer - got told to pay our KDV by a certain date and if it went past that date the builder would charge 1% interest for every month it went unpaid. I did speak to Naomi Mehmet about this and she advised that it was payable - new law or something??

cooper


Joined: 23/10/2007
Posts: 3386

Message Posted:
02/11/2008 11:27

This is the HBPG advice on KDV - http://www.hbpg-trnc.net/documents/KDV_0708.html



Cooper

Rocker



Joined: 24/09/2008
Posts: 384

Message Posted:
02/11/2008 11:50

once again threats about KDV, you signed a contract and so did the others and again one party wants to renegade on the Contract sit tight, do not pay, and good luck.

stevemac


Joined: 21/07/2008
Posts: 99

Message Posted:
02/11/2008 17:45

Yet another scam! The tax office dont know when you take posession, so it's not them imposing a penalty, it's your developer. Ask your lawyer to provide you with a copy of the law which states this. While doing that, ask for a copy of the law stating when the developer should pay their capital gains tax. Until he pays his and you have your ptp you can't get your title deeds so why pay until they're ready? Get a copy of the receipt from the developers so that you know they've paid their taxes. In a thread before on this board I believe Ismet said he believed this new directive from the tax office for payment of kdv when taking posession was based on an unsound law.



Bear in mind that alot of the Girne lawyers are working on cahoots with the developers and not the buyers!



If everyone refused to pay the KDV until the developers paid theirs and the title deeds are ready then the government might do something about it.



Get advice from HBPG

stevemac


Joined: 21/07/2008
Posts: 99

Message Posted:
02/11/2008 17:46

For anyone paying the KDV - get a receipt from the developer ASAP and go to the tax office and inform them it's been paid so they can chase the developer for it.

cooper


Joined: 23/10/2007
Posts: 3386

Message Posted:
02/11/2008 17:52

The info you need is all in the HBPG link provided above.



Cooper

sunnyday


Joined: 14/03/2008
Posts: 269

Message Posted:
02/11/2008 18:17

KDV used to be paid when you got your title deeds, but earlier this year the tax office changed the rules so that it is now payable when you take possession ie when you get the keys. This is the same as the general VAT rules in the UK etc. Also it used to be based on a valuation figure. Now all taxes KDV, stamp duty & 3% property tax are all based on the contract figure.



Therefore anyone who has taken possession can expect to get a demand from their developer for the VAT. But make sure that you get the official FATURA (with government stamp on it). This is the proof that you have paid it & will be needed to get your deeds.

stevemac


Joined: 21/07/2008
Posts: 99

Message Posted:
02/11/2008 19:16

sunnyday how do you get an official FATURA with a government stamp? It is my understanding that you cannot pay the KDV direct to the tax office.

spud1


Joined: 22/05/2007
Posts: 544

Message Posted:
02/11/2008 21:43

i paid my kdv in may to the builder. he then gave me a receipt to say it had been paid through my lawyer. spud1

sunnyday


Joined: 14/03/2008
Posts: 269

Message Posted:
03/11/2008 10:24

The fatura is the official VAT receipt that your developer will give you. They should have a preprinted government stamp on them, although some may stick a stamp on, if they do not pay the stamp duty up front.



VAT works the same here as in the UK. You pay it to a business, they do a monthly return to the government & deduct any VAT that they have paid out & pay the balance to the government. The only difference is that if there is a refund due to the business, it is carried forward & not repaid at the time. Hence most developers will actually be able to keep a lot of the VAT they collect in, because they have paid out a lot on materials, subcontractors etc.

The butler


Joined: 22/06/2007
Posts: 1958

Message Posted:
03/11/2008 10:48

As I said in an earlier posting, we paid our KDV in June 2006 to our developer We do not have a stamped fatura, just a receipt for the whole amount paid over for the property KDV included. We know this KDV hasn't been paid to the government. Reason? The government owes our developer more money in grants than he owes them in KDV. What would happen if he went bankrupt? We would have to pay it again. So please make sure that you receive this stamped fatura when handing your KDV over.



The Butlers wife.

Pipie


Joined: 05/01/2008
Posts: 5499

Message Posted:
03/11/2008 11:48

The butler , crikey have you taken this up with Marian ?

mouthy git


Joined: 24/09/2008
Posts: 41

Message Posted:
03/11/2008 18:26

doe's anyone have marions details, then perhaps she can help me sort this whole problem.

thanks for all the help so far,

i was also wondering whats going to happen to the builders, and the problems they cause, when the cyprus problem is resolved. if its resolved.



i lived in spain before cyprus and you were able to take these problems to the local notory { judges } and they would sort the problems out with your lawyers, builders were unable to demand payment until the deeds were ready, hope this happens here.

Pipie


Joined: 05/01/2008
Posts: 5499

Message Posted:
03/11/2008 18:56

Mouthy git , you need to go onto the HOMEBUYERS PRESSURE GROUP website , or , you can see Marian on Tuesday afternoons at the Pia BELLA HOTEL Kyrenia , where she holds a surgery for people with concerns such as yours . Her E-mail address has not been working as of late , she is trying to sort it . Hope this helps .

cocos


Joined: 04/04/2008
Posts: 129

Message Posted:
03/11/2008 19:03

Very good point from the butlers wife. The other thing of course is that if you are in dispute with your developer and you pay the KDV, they probably won't give you the stamped receipt to say you've paid it either.

cooper


Joined: 23/10/2007
Posts: 3386

Message Posted:
03/11/2008 20:25

Hi, you can email Marion at - Marian HBPG

E-mail Address(es):

marian@ayza.net



She is now able to reply again,also you can contact her on 05338763780



Hope this helps



Cooper

mouthy git


Joined: 24/09/2008
Posts: 41

Message Posted:
04/11/2008 22:37

thanks for the info will be in touch with marion this week.