- In July 2023, 21% of products previously subject to zero VAT had higher prices than in April before the zero VAT rate was applied.
- In July, 27% of products with zero VAT rates had higher prices than in May, even after the implementation of the zero VAT rate.
- A whopping 83% of products with zero VAT rates were priced higher than the expected May prices, compared to the prices in April 2023 before the zero VAT rate took effect.
- These findings raise questions about the actual impact of the zero VAT rate measure in Cyprus.
- The Cypriot government has decided to extend the application of the zero VAT rate on essential goods for another six months, with coffee and sugar being added to the list of exempted products.
Source: ekathimerini.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
Latest Posts in "Cyprus"
- Cyprus Extends VAT Filing Deadline to August 27 Due to Tax Portal Downtime
- Cyprus Amends VAT Rules for Virtual Events: Customer Location Determines Taxation from 2025
- EU Initiates Infringement Procedure Against Cyprus for Incomplete VAT Directive Transposition
- EU Initiates Legal Action Against Cyprus and France for Failing to Implement Key Customs Systems
- Commission Urges Cyprus to Fully Transpose VAT Rates Directive