February fuel inflation prompts VAT cut The Cyprus government has implemented a temporary cut in the Value Added Tax rate on petrol from the standard rate to 5%. A power consumption rate cut was already in place to 9%, and this has been extended. The
3-month payments option for 2021 Quarter 4 VAT period VAT registered taxpayers in Cyprus may opt to pay their December or Quarter 4 2021 returns. However, returns must nevertheless be filed as normal. The payment plan offers three equal instalments on 10th of February, March
6-month VAT rate cut to help soften inflation Cyprus is the latest EU state to cut electricity VAT rates. It will move domestic supplies of electricity from the standard VAT rate of 19% to the reduced rate of 9%. This will initially be for a
The Ministry of Finance has granted a fresh round of easements on Value Added Tax returns and liability payments. VAT payments due by 10th August for the quarter 2 (April to June 2021) returns may now be deferred until 10th 10th September payments (for May
Cyprus has issued guidance to EU and non-EU sellers and marketplace affected by the 1 July 2021 e-commerce package reforms. These seek to withdraw distance selling threshold, the €22 import VAT exemption and impose new VAT liabilities on certain marketplace transactions. To support this, and
Cyprus is to extend the application of the domestic reverse charge to mobile phones, CPU’s, games consoles, laptops and similar products. This will come into effect from 1 October 2020. Reverse charge to block missing trader fraud The measure obliges resident or non-resident providers of
A new penalty regime comes into force in the Mediterranean island of Cyprus on 20 August 2020. This will be as follows for any VAT registered taxpayer whether resident or non-resident: €100 fixed fine for missing the filing deadline of a VAT return. Quarterly returns
