How much is VAT in North Cyprus?

In Northern Cyprus, supply of goods and services, demand of goods and services and imports are subjected to Value Added Tax(VAT): There are six VAT rates in Northern Cyprus. The VAT rates are: 0%, 1%, 5%, 10%, 16% and 20% respectively. The avarage VAT rate is 16%.

How much is VAT on property in northern Cyprus?

Property in North Cyprus is taxed as follows: New build properties in North Cyprus are charged a VAT of 15% at the time of transfer of property title. A purchase tax of 3% is levied upon the transfer of property title and the basis for this is the registration value of property.

Do you pay VAT in Cyprus?

19% VAT – The standard rate of VAT in Cyprus is 19%. All goods and services that don’t fall in any of the other 4 categories are taxed at 19%.

How does VAT work in Cyprus?

VAT is charged on every supply of goods or services at the standard rate of nineteen per cent (19%). … As from the 1st January, 2006, the transport of passengers and their accompanying luggage by sea, within Cyprus is taxable at the VAT rate of 9%.

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Is VAT currently reduced?

General description of the measure. The government announced on 8 July 2020 that it intended to legislate to apply a temporary 5% reduced rate of VAT to certain supplies relating to hospitality, hotel and holiday accommodation and admission to certain attractions.

Is Cyprus a tax haven?

Cyprus as a Tax Haven

Cyprus lost tax haven status when the OECD gave the country the same rating as the U.S., Germany, and the U.K. Cyprus’s increase in corporate tax rates to 12.5% was part of the reason it is no longer considered a tax haven.

How much is tax in North Cyprus?

All residents in Northern Cyprus are subject to pay Personal Income tax. The Personal income tax varies from 10% to 37%. The lowest personnel income tax levied in Northern Cyprus is 10%.

How much is property tax in North Cyprus?

Property Tax: Property Tax is 20 pence per square meter, and is paid in March – April every year. This tax belongs to the seller company in the year which the contract is made and belongs to the buyer in the following years.

Can you buy property in northern Cyprus?

Buying property in the north of Cyprus

The European Court of Human Rights has ruled in a number of cases that owners of property in northern Cyprus before 1974 continue to be regarded as the legal owners of that property. … One key issue is property and the handling of pre-1974 Greek Cypriot title-owned property.

What taxes do you pay in Cyprus?


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Annual income Tax rate
In between €19500 and €28000 20%
In between €28000 and €36300 25%
In between €36300 and €60000 30%
In excess of €60000 35%

How do I claim VAT back in Cyprus?

Cyprus’ refund rate ranges from 7.2% to 14% of purchase amount, with a minimum purchase amount of 50 EUR per receipt. You need to have permanent residence in a non-EU country to be eligible. Residents of Northern Cyprus are eligible for refund with a Turkish passport.

Do I need to register for VAT in Cyprus?

Compulsory registration

According to the VAT Law, any person with taxable supplies (standard, reduced and zero rate of VAT) should be registered for VAT purposes: (i) at the end of any month, if the value of taxable supplies during the one year period ending at that point, has exceeded € 15,600.

What is VAT called in Cyprus?

Value added tax (VAT) is mandatory in Cyprus for any type of company that provides goods or services made in Cyprus. Various VAT rates apply according to the type of product and they are as follows: the standard rate is 19% (increased from 18%) and the reduced rate is 9% (increased from 8%).

What services are VAT exempt?

HMRC has a full list of VAT-exempt products, but some of the main goods and services that are exempt from VAT include:

  • Sporting activities and physical education.
  • Education and training.
  • Some medical treatments.
  • Financial services, insurance and investments.
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