Article 394 of the Companies Law was amended to postpone the commencement date of the validity of the provisions of no. 26 (b) of the Companies (Amendment) (No. 4) Law of 2020 from 1 April 2021 to 1 June 2021.

Specifically, the date of imposition of the updated fine for late submission of the Annual Return (HE32) Form is extended from the 1st of April 2021 to 1st of June 2021.

What will change from 1 June 2021?
The penalty fee for late submission of HE32 is increased from EUR 20 to EUR 50 and will continue to rise from the first day of noncompliance at the rate of EUR 1.00 per day for the first six months of delayed submissions and EUR 2.00 per day thereafter, with the cap for the total penalty fee being EUR 500.00.

How will this affect the Cyprus companies?

Cyprus Companies have to ensure that their Annual Return, are submitted to the Registrar of Companies within their respective deadline along with the below required documents, to avoid the payment of the above charges.

Along with the HE32 form the following documents must be submitted:

• The company’s Audited Financial Statements of the previous year;
• A confirmation, in the form of a Declaration by the Secretary and Director of the company, that the Financial Statements submitted to the Registrar of Companies are those presented to the shareholders at the Annual General Meeting.

Note:

The extension is only granted to the Company’s Annual Return and not to any other form.