5 Major Developments in Cyprus

5 Major Developments in Cyprus

• New “Tax For All” platform to replace TaxisNet
• Cyprus Challenging Misuse Of 5pc VAT Rate For Housing
• Supreme Court deems VAT reduction unconstitutional
• Cyprus VAT cuts on fuel, electricity and petrol
• Cyprus extends domestic reverse charge to precious metals

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Deduction (Input Tax Credit)

• Non-deductible input VAT on acquisition of apartment under Cypriot Investment Program (tribunal decision)

Exemption

• Amendment regarding imposition of VAT on supply of buildings

• Amendment to the eighth schedule of the VAT law introduced

Fraud

• Cyprus extends domestic reverse charge to precious metals

Liability (Reverse Charge/Withholding)

• Cyprus extends domestic reverse charge to precious metals

• VAT reverse charge applies to unprocessed and semi-processed precious metals

• Reverse-charge mechanism applicable to acquisition of precious metals

Rate

• Home buyers cheated state of €16.2 mln VAT

• Cyprus Challenging Misuse Of 5pc VAT Rate For Housing

• Supreme Court deems VAT reduction unconstitutional

• MPs seek deal on reduced VAT for new homes

• Cyprus VAT cuts on fuel, electricity and petrol

• Searching for compromise over VAT on properties

Real Estate/Immovable Property

• Home buyers cheated state of €16.2 mln VAT

• Cyprus Challenging Misuse Of 5pc VAT Rate For Housing

• Amendment to the eighth schedule of the VAT law introduced
• MPs seek deal on reduced VAT for new homes
• Searching for compromise over VAT on properties
• Non-deductible input VAT on acquisition of apartment under Cypriot Investment Program (tribunal decision)

Reporting/Compliance

• New “Tax For All” platform to replace TaxisNet

Tax Authorities/Penalties

• New “Tax For All” platform to replace TaxisNet

• 8th Schedule of Cyprus VAT Law amended in a clandestine operation