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Cyprus Issues Circular Clarifying VAT Treatment of Medical Care Services

  • Cyprus Tax Department Circular 4/2026 (26 Aug 2026) consolidates guidance on VAT treatment of medical care transactions.
  • It clarifies when medical care services are VAT-exempt, subject to the 5% reduced rate, or subject to the 19% standard rate.
  • The circular does not materially change the VAT exemption rules; it בעיקר consolidates prior guidance and adds clarifications to support consistent application.

Source: kpmg.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.



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