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Following the amendments of the Cyprus VAT Law that were announced in the Government Gazette on 20/08/2020, the Tax Department will impose penalties, as from 1st July 2021, in relation to the non-application of the reverse charge mechanism.

We would like to inform you that in accordance with the Decree issued on 12 March 2021, the following electronic submission deadlines are extended to 30 September 2021

The Cyprus Tax Department has issued Implementing Regulation No.11/2021 of 17 February 2021, providing clarifications in relation to the time of supply in cases of non-monetary consideration in the construction industry.

Following the enactment of N5(1)/2021 amending the Cyprus VAT Law which was announced on 9/1/2021, the Tax Department issued a notice providing clarifications in relation to the payment of VAT in instalments.

We would like to inform you that the Cyprus Tax Department announced on 03 February 2021, that the EU Directive regarding DAC6 is expected to be incorporated into the Cypriot legislation within the current month.

The Tax Department has issued a notice reminding that in accordance with Regulation ΚΔΠ 268/2020 the reduction from 9% to 5% of the VAT rate which applies to the aforementioned services is effective only for the period from 1/7/2020-10/1/2021.

We would like to inform you that in accordance with an announcement issued by the Cyprus Tax Department on 15 December 2020, the following filing deadlines are extended to 31 January 2021

A new VAT law amendment (Decree N.147(I)/2020) published in the Cyprus Gazette on 2/11/20 provides for an extension of the payment for the outstanding amounts arising from the VAT returns submitted for the periods ending 29 February, 31 March and 30 April of 2020.

The deadline for electronic submission of the 2019 personal income tax return by employees and pensioners whose gross income exceeds €19.500 has been extended until 30 November 2020

Learn more about the compliance requirements and the impact of the aforementioned EU directive to your business.

The Directive on Administrative Cooperation (Directive (EU) 2018/822) known as DAC 6 is an EU directive that relates to mandatory automatic exchange of information in the field of taxation, with regards to reportable cross-border arrangements.

The House of Representatives of the Republic of Cyprus on 31/07/2020 enacted several important amendments to the Cyprus VAT law.

On June 11, 2020 the Court of Justice of the European Union (‘CJEU’) gave its judgement in case of Vodafone Portugal (C-43/19). The case concerns whether VAT is due on amounts received by Vodafone from customers that have terminated their contracts early and before the end of the contractual tie-in period.

On 3 July 2020 the Cyprus Parliament published legislation (Law Amending the VAT Law (No.2) of 2020) relating to the “quick fixes” package provided for by EU Directive 2018/1910.

The Tax Department issued an announcement earlier this week in relation to the reinstatement of quarterly reporting periods and the payment of VAT for the period ending 31/05/2020.

The recent VAT payment deferral arrangements were a welcome concession for businesses in the early stages of the coronavirus pandemic.