Cyprus is looking into taxing revenues arising from short term property rentals in a formula similiar to that adopted in other European countries, like Greece.
Officials on the island state discussed ways of closing tax loopholes allowing property owners not to declare these revenues in a discusion held in parliament earlier this week.
Among the changes Cyprus is looking at is setting up register of short-term leases by the tax office.
Another change relates to providing for the registration and regulation of homes that are not currently registered with the Cyprus Tourism Organisation but are rented out to the country's visitors.
There are an estimated 20,000 homes in Cyprus up for short term but are unregulated, raising concerns among officials about the quality of accomodation on offer.