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Further to our VAT Alert in October 2025 for the Arcomet Towercranes case (C-726/23) the Attorney General has recently issued her decision on the pending Stellantis Portugal (C 603/24) case, in relation to the treatment of transfer pricing adjustments from a VAT perspective.

Visible female leadership and a commitment to gender equality can help propel progress towards gender parity in mid-market leadership. Read the full report to learn more about the value of visibility and the positive impact gender-balanced leadership can have. More voices. More visibility. More momentum.

The implementation of separate collection of organic waste in Cyprus represents one of the most decisive steps toward modernising the country’s waste management system. Although, since 2024, Local Authorities have had a legal obligation to introduce separate collection of food waste — as this constitutes an obligation for EU Member States — the process was delayed, mainly due to the parallel reform of Local Government.

As the cost of living continues to strain households across Europe, a growing contradiction is becoming harder to ignore. While many families are spending more on groceries and cutting back on essentials, millions of tonnes of edible food are still wasted every year. In response, the European Union has introduced its first ever legally binding targets to reduce food waste, signaling a shift from voluntary commitments to enforceable policy.

This Tax Reform Package provides a high-level summary of the main legislative amendments introduced under Cyprus’ tax reform, effective from 1 January 2026.

The EBA has published the second phase of its IRRBB Heatmap Implementation, outlining medium- to long-term supervisory objectives for IRRBB and CSRBB. The update shifts the focus from remediation towards consistency and proportionality, with particular emphasis on the most recent results of SOT analysis, the monitoring of the 5-year cap on NMDs repricing profile, commercial margin modelling, CSRBB perimeter identification, and hedging strategies. In this article, we summarise the key supervisory observations and recommendations and what they mean in practice for financial institutions.

The Cyprus Tax Department has issued a Notice extending the option for lessors to submit Form T.F. 1220 retroactively until 31 March 2026 where the lessor has not imposed VAT on the rent, has not notified the Tax Commissioner using Form T.F. 1220, and has fulfilled their direct tax obligations.

Explore what superintelligence really means, the risks, opportunities, and ethical challenges of AI surpassing human intelligence - and why the time to act is now.

Europe has long been a pioneer in establishing mandatory obligations for companies to report on Environmental, Social, and Governance (ESG) parameters. While social expectations and investor pressure for ESG transparency have intensified, the absence of uniform regulation historically resulted in fragmented and incomparable reporting practices across companies.

Sustainability isn’t slowing down. It’s speeding up. In a year marked by political pushback and regulatory rollbacks, many expected businesses to retreat from sustainability. But our International Business Report (IBR) data tells a different story.

Cyprus has taken a bold step forward in cementing its position as a credible fund jurisdiction with the adoption of the new Investment Fund Administrators (IFA) Law. Passed quietly in July 2024, this new framework may not have made international headlines, but it closes a longstanding gap in the country’s financial services ecosystem and signals a more mature, forward-looking approach to fund regulation.

The Court of Justice of the European Union (CJEU) issued its decision in the Arcomet Towercranes case (C-726/23). The case addresses the VAT treatment of transfer pricing (TP) adjustments charged by a principal company to an operating subsidiary, as well as the level of supporting documentation required to secure input VAT deduction.

In our previous publication, we explored the inclusion of Machine Learning (ML) in the updated ECB Guide to Internal Models and the regulator’s expectations for its use within Pillar 1 models. Building on that, this article shifts focus to credit risk, where the revised Guide introduces more granular expectations for institutions using IRB models, reflecting a firmer supervisory stance, the integration of EBA Handbook elements, and alignment with CRR3 requirements.

To ensure the orderly functioning and integrity of financial markets and the overall stability of the EU financial system, the European Banking Authority (EBA) is tasked with monitoring market developments and identifying emerging risks and vulnerabilities at the micro-prudential level. A core tool supporting this mandate is the EU-wide stress test exercise, which the EBA is empowered to initiate and coordinate under its Regulation. Conducted in cooperation with the ESRB, ECB, and European Commission, the stress test evaluates the resilience of financial institutions against adverse economic scenarios and contributes to a broader assessment of systemic risk within the EU.

To ensure the orderly functioning and integrity of financial markets and the overall stability of the EU financial system, the European Banking Authority (EBA) is tasked with monitoring market developments and identifying emerging risks and vulnerabilities at the micro-prudential level. A core tool supporting this mandate is the EU-wide stress test exercise, which the EBA is empowered to initiate and coordinate under its Regulation. Conducted in cooperation with the ESRB, ECB, and European Commission, the stress test evaluates the resilience of financial institutions against adverse economic scenarios and contributes to a broader assessment of systemic risk within the EU.

EBA has recently released its Final Guidelines on the Management of ESG Risks, setting a pivotal standard for financial institutions to integrate ESG risks into their governance and risk management frameworks. At Grant Thornton, we use an ESG framework based on these EBA guidelines to support credit institutions and investment firms in embedding ESG considerations into their internal governance, risk management, and strategic planning. This approach helps banks meet regulatory expectations while strengthening long-term resilience and stakeholder trust. With regulatory pressure increasing, effective management of ESG risks across multiple time horizons is essential. Our framework focuses on the identification, assessment, monitoring, and mitigation of ESG risks, reflecting the growing importance of sustainable practices in the financial sector.