On 20 August 2020, the Cyprus Parliament passed the below amendments to the VAT law which officially came into force immediately after its publication in the Official Gazette of the Republic.
- A new definition of “legal person”
The phrase “any person” replaces the phrase “taxable person”. As a result, the taxable person receiving services for which he is liable for a reverse charge must account for VAT, regardless of whether the person providing these services is registered for VAT or not.
- New Article 11E on VAT reverse charge
The reverse charge system is applied for deliveries between taxable persons related to the following goods:
- mobile phones,
- integrated circuits, such as microprocessors and central processing units
- Game-consoles, PC tablets, and laptops.
The above amendment is effective from 1/10/2020 and applies to all transactions made with a taxable person in the Republic for these goods. The obligation to the buyer is mandatory regardless of whether the seller is registered for VAT purposes.
- VAT refunds
- Deadline for submitting objections
- Amendment of paragraph 2 of Article 54A of the VAT law
- Registration of a person not established in the Republic
- Change to the definition “renovation”
- Zero rate for international transport
- Amendment of Article 14
If you would like any further assistance or consultation regarding the Value Added Tax please contact us