Cyprus’s top-flight football clubs are scrambling to settle millions in tax arrears before a government deadline expires, with some making partial payments and others seeking extensions to avoid legal complications and maintain UEFA compliance.
Four major clubs must pay a combined 5.3 million euros to the state by Monday for tax obligations accrued since May 2023, when the last government repayment scheme was implemented, according to tax authorities.
APOEL Nicosia faces the largest bill at 1.8 million euros, followed by AEL Limassol at 1.6 million euros, Apollon Limassol at 1.3 million euros, and Anorthosis Famagusta at 650,000 euros.
Club executives have been in regular communication with Tax Commissioner Sotiris Markides in recent weeks, submitting written proposals to resolve the impasse, sources familiar with the negotiations said.
Apollon Limassol has already paid 150,000 euros as a gesture of goodwill and proposed a payment plan to settle the remainder, offering 500,000 euros in April, 350,000 euros in May, and 250,000 euros by summer.
AEL appears to have found a solution for debts held by its sporting association but not for those of its company entity. The club has proposed immediately settling the association’s 2 million euro debt while benefiting from a scheme for long-outstanding tax obligations that would waive interest and penalties.
APOEL, facing particular difficulties, has requested a 2-3 week extension, indicating it could pay up to 1 million euros by mid-April. The Nicosia club’s historical tax liabilities total 11.6 million euros.
Anorthosis has proposed paying 50% of its debt by month-end, with the remainder to be settled in 2-3 instalments, and is reportedly seeking bank financing to meet these obligations.
The Tax Commissioner will meet with Finance Minister Makis Keravnos next week to discuss the clubs’ proposals. The government may consider granting additional weeks for clubs to secure funds and settle these debts.
The total tax liabilities of Cyprus football clubs exceed 35.6 million euros, which would be settled through their reintegration into the government repayment scheme once the immediate 5.3 million euro debt is addressed.
Failure to resolve these tax issues could result in criminal proceedings against club officials and complications with UEFA licensing criteria, potentially affecting the clubs’ participation in European competitions.
Pafos FC and Aris Limassol have submitted proposals to settle their total debts of 1.18 million euros and 435,000 euros respectively, but await cabinet approval for potential tax relief.
