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country-icon Chypre

10.20.23

Extension of zero rate VAT on basic goods

Kofax recently communicated that the Cypriot government had implemented a zero VAT rate on basic goods. This was largely triggered by rising inflation in the country, with its ensuing negative effects on residents. The measure had originally been envisaged to conclude on 31 October 2023, and the reduction covered both goods subject to the standard 19% VAT rate and the reduced 5% VAT rate in Cyprus.

The Cypriot government have now extended this initiative for another six months, until 30 April 2024. As part of this extension, sugar and coffee have also been added to the list of zero rate VAT items.

Cyprus is a compliant territory for Kofax. Kofax’s e-invoicing solution supports all valid VAT rates in the country.

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