Cyprus and Church of Cyprus Reach Tax Agreement

Cyprus Mail reports the the Holy Synod of the Church of Cyprus last Friday approved a tax agreement with the government of Cyprus that will bring millions of Euros into the country's dwindling coffers this year. The country's cabinet already approved the deal last Wednesday, and the Church agrees to be bound by it now, rather than waiting for parliamentary approval. The agreement is based on a 2005 agreement that was never ratified by the Cabinet, but includes several changes from the 2005 draft. According to Voice of Russia, the main feature is an agreement that the Church in the future will pay taxes when buying, selling or exchanging real estate. The government gives up claims for tax arrears by the Church, while clergy will no longer get duty-free autos. The church plans transactions this year which will generate 20 to 30 million Euros in tax revenue.  Finance Minister Kikis Kazamias thanked the Church for delaying one large transaction until after the agreement was finalized so that it would generate revenues for the government.