According to data submitted to parliament by the Tax Department, the number of debtors in Q3 2018 fell slightly to 166,100 from 167,600 in the second quarter.

Of the €2.28bn owed, €1.23bn relates to direct taxation – not including interest and fees – concerning 135,600 persons.

Although the Tax Department now has a bigger toolbox at its disposal – for example the ability to freeze bank accounts – collection of dues has only marginally improved.

The majority of dues are categorised as being temporarily or permanently impeded in terms of their repayment prospects. This amount fell to €1.41bn in the third quarter of 2018 from €1.55bn in the second quarter.

Around €70m are not expected to be collected at all for a variety of reasons, such as the debtor is deceased, or is located overseas, or where the imposition of measures has failed.

In addition, due taxes worth €477m are tied up in legal proceedings (third quarter of 2018).

Source: Cyprus Mail