Tax Department issues eviction threat to First Division football clubs over €1m debt

Local football clubstaxTop News Tax Department issues eviction threat to First Division football clubs over €1m debt Podosfairo Ofeiles Relevant News Tax Department issues eviction threat to First Division football clubs over €1m debt 1 August 2026 Two arrested at Larnaca airport over Nicosia attempted murder 1 August 2026 Christodoulides delays cabinet reshuffle as final portfolios hang in balance 1 August 2026 Eleftheria Paizanou 1 August 2026 FacebookXWhatsAppEmailPrintViber Several First Division football clubs are facing strict enforcement measures from the Tax Department after failing to maintain their financial commitments to the state ahead of the new league season. Following a state ultimatum last year, all football clubs and companies have been placed under close monitoring. Recent audits revealed that multiple clubs have accumulated new debts towards the Tax Department. While these entities remained compliant with their older obligations up to May by consistently paying their monthly instalments under a debt restructuring scheme, they have since generated new tax liabilities. Information obtained by Phileleftheros indicates that four or five clubs began accumulating these new tax debts immediately after receiving approval from the Cyprus Football Association (CFA) in May, which certified that they met UEFA criteria to compete in the domestic league and European competitions. Clubs including APOEL, Anorthosis, Apollon, and AEL paid their overdue instalments as agreed but ran up new tax debts totalling approximately €1 million. These new liabilities relate to VAT and income tax. Tax Commissioner Sotiris Markides issued a stern warning letter to the football clubs, setting a strict deadline of August 20 to clear the new debts. In the letter, the Commissioner warned that if the clubs fail to comply by the deadline, the department will freeze their bank accounts. Under current legislation, the Tax Department holds the authority to freeze funds directly matching the amount owed. The affected clubs had been temporarily removed from the repayment scheme last year but were reinstated after paying a portion of their debts and subsequently keeping up with their monthly instalments. A competent source stated that the situation regarding the new debts remains manageable. However, the source stressed that the state will not grant exemptions or allow clubs to pile up debts, adding that the law will be strictly enforced on August 21 against any non-compliant teams. Beyond freezing bank accounts, the tax authority can place encumbrances (MEMOs) on real estate and seal club premises. Under the 2023 repayment scheme and subsequent adjustments, all clubs are required to fully clear their taxes by 2037, though some have already done so. The scheme was revised last year, leaving clubs with outstanding debts required to pay another 132 monthly instalments. Subscribe to our Newsletter Latest News Two arrested at Larnaca airport over Nicosia attempted murder Christodoulides delays cabinet reshuffle as final portfolios hang in balance Inland temperatures to hit 41°C as Cyprus heat persists Sting’s Limassol concert revives hopes for more Cyprus shows Christodoulides delays reshuffle announcement as key moves reportedly locked in Yellow warning issued for extreme heat on Saturday The “Board of Peace:” rebuilding Gaza, but on whose terms? Follow en.philenews on Google News and be the first to know all the news about Cyprus and the world.