VAT Registration in Cyprus: When, How and What to Charge
Registration thresholds, voluntary registration, filing frequency and common invoicing rules for Cyprus businesses.
Decide whether you must register
Registration is mandatory once taxable turnover exceeds the statutory threshold, and in certain cases from the first transaction, such as some cross-border supplies. Voluntary registration is possible if you want to recover input VAT.
Submit the registration application
Apply to the VAT Service online with company details, activity description and bank account. You receive a VAT number that must appear on invoices, and, for EU trade, a VIES registration may be needed.
Issue compliant invoices and file returns
Charge the correct rate, reverse-charge where applicable, and file VAT returns on the schedule assigned to you, usually quarterly. Keep invoices for the retention period required by law.
FAQ
Can I reclaim VAT before the first sale?
In many cases input VAT on start-up costs can be recovered once you are registered and intend to make taxable supplies, subject to documentation. Discuss timing with your accountant.