Cyprus Citizenship by Investment Program (CIP):What can cause a passport to be revoked?

Cyprus Citizenship by Investment Program (CIP): Reminder of Obligations and Consequences of Non-Compliance. The Cyprus Citizenship by Investment Program (CIP) was suspended in November 2020. However, for citizens who obtained a passport under this program, the obligations remain in force. Failure to comply with these requirements may result in serious consequences, including revocation of citizenship.

Property Ownership Obligations:  1.    Requirement for Permanent Residence:

•      Program participants are required to own permanent residential property in Cyprus worth at least €500,000 (excluding VAT).
•      The property must be retained for life but may be replaced with another property of equivalent value.
•      If the property was part of the initial investment, it must remain in ownership for at least 3 or 5 years from the date of citizenship approval.

Notification Obligations:

1. Notification on Construction Progress: If the investment was in a property under construction, it is necessary to regularly inform the Ministry of Interior and the Ministry of Finance about construction progress, providing reports, photographs, and supporting documents.
2. Completion of Documents: Upon completion of construction, participants must submit a certificate of completion, a final inspection report, and documents confirming registration of the property with the Land Registry in the applicant’s name.
3. Confirmation of Maintaining Investments: CIP passports’ holders are required to submit annual reports confirming compliance with the program’s requirements, including proof of ownership of the property.
4. Notification of Residency Abroad:

•  It is necessary to submit an annual report to the Cyprus Consulate, as well as the Ministries of Interior and Finance, confirming compliance with property ownership and investment requirements.
• Notify the Cyprus Consulate of the intention to maintain citizenship status.

Penalties for Non-Compliance: Failure to meet the program’s requirements may lead to:

•      Revocation of citizenship;
•      Monetary fines or other administrative penalties.

If you need professional assistance or a “health check” of your citizenship documentation, contact our experts. 

Common Questions and Mistakes to Avoid:

•      Have you retained the property declared during your citizenship application?
•      Have you notified the Ministry about all stages of construction for the property?
•      Do you submit the required annual notifications as a Cyprus passport holder?
•      Have you notified the Ministry of any changes in property ownership after selling the original property?
•      Were the conditions of the program met when acquiring a second property?
•      Have you kept all documentation related to the property purchase, including bank statements and payment confirmations?
•      If you rented out or sold the property, have you paid the VAT in full?

P.S. Any company providing you with support on compliance with CIP legislation must be licensed and listed in the official registry: https://cipregistry.mof.gov.cy/en/