VAT requirements

[akshdalal]

[h=3]What are the VAT requirements for Cyprus resident and Cyprus non-resident companies? How do I register for the VAT in Cyprus?[/h]

 

[JohnLocke]

Only a Cyprus resident company can be registered for VAT, only requirement is to provide‌ 1 proforma invoice, once provided the company can be registered for VAT.

 

[akshdalal]

I saw it, that I have to fill 'VAT 101 Form'. Can you please tell‌ how much is the VAT on products? Or different VAT applies to different categories of‍ product?

 

[JohnLocke]

Here is actually a good government page showing the latest VAT rate's http://www.mof.gov.cy/mof/vat/vat.nsf/DMLrates_en/DMLrates_en?OpenDocument

 

[pulledoffshore]

Is the VAT rate different from services and products?

 

[akshdalal]

Nice question! I‌ too had the same doubt.

When I searched for it, I found that VAT is‍ 18% on services and products. Just want to confirm from experts here?

 

[JohnLocke]

Yes that's true, 18% VAT apply!

 

[akshdalal]

[No content provided]

 

[taruniis]

There are actually ways on how to minimize the cost that companies shell out for‌ taxes. Eighteen percent is just too much to bear so others result to illegal and‍ complicated deals just to get their products and services through. This, however, is not recommendable.⁠ You should appeal to the administration in case you want to pay lower. They grant⁤ special permits for those who do.

 

[akshdalal]

That's great! What is the process to approach government for the reduction of VAT?

 

[taruniis]

To tell you honestly, I am not really familiar with the process. I just know‌ it from experience. Loyalty is always rewarded especially in business. You can try asking government‍ offices for this. Surely, they will be more than happy to accommodate you.

 

[JohnLocke]

It depends on what you are selling as you may see on the‌ link I gave you 🙂

 

[jorge]

When you buy things including VAT for the VAT registered company you can claim that‌ amount back! So you can reduce the VAT to be paid at the end of‍ a VAT period!

 

[Sany zeth]

try to contact income tax department. They will help you better