Indirect Tax

In the current economic environment authorities around the world are re-examining their tax collection mechanisms placing an emphasis on indirect taxes.

Authorities have realized that by correctly managing these taxes their revenue position improves without significantly impacting the economy. Moreover, the existence of more complicated organizational structures, the activities of which are spread globally, makes control, compliance and optimization tasks increasingly more difficult than ever to manage.

In light of the global downturn, the European Union’s attempts to streamline the VAT regulations across its Member States, have resulted in frequent amendments to the EU and consequently to National VAT legislation.

Global businesses need to be on alert of all developments in the VAT area and of the resulting direct or indirect implications of each stage of the tax life cycle covering compliance, planning, tax accounting and disputes with the Authorities. Not seeking expert advice before proceeding with any particular transaction can, therefore, result in non-compliance with a country’s VAT legislation leading to the suffering of unnecessary penalties and charges.

We offer a range of indirect tax services:

Devising and implementing planning strategies to help mitigate VAT liabilities and costs.

• Providing VAT, customs duties and excise planning, as well as strategic advice on cross-border projects, supply chain transactions, contracting structures, optimization reviews, etc.
• Advising businesses and their tax teams on the development and execution of effective indirect tax management strategies, including appropriate internal controls and cross-jurisdictional compliance.
• Supporting businesses subject to tax audits or other investigations by Cyprus VAT and/or Customs’ Authorities, including pre-audit reviews and subsequent dealings with VAT and Customs officials.
• Supporting businesses through VAT compliance services including, but not limited to, assistance with the VAT registration procedure, preparation and filing of VAT and VIES (EC Sales list (VIES) returns, management of the risk of non-compliance, etc.
  
•  Provision of tailored structured training to staff responsible for the internal management of VAT.
  
• Assistance with any VAT recovery procedure (domestic refund claims or under the 8th EC Refund/13th Directives)

KPMG’s Indirect Tax team provides advice and assistance at the Cyprus and international level. We structure our effort to dovetail with your business issues and strategy. Our focus is on supplying value adding and pragmatic advice rather than just a list of recommendations. 

Our tax professionals are able to review your company’s current tax position and provide relevant advice and planning on a range of indirect taxes, including VAT, customs duties and excise taxes (such as tax audits, reorganizations and acquisitions, etc). Furthermore, we can help your company with its administrative obligations and contacts with administrative bodies.

Our Cyprus practice works closely with Indirect Tax professionals in other EU and non-EU countries. Please visit our Global Indirect Tax website for more information.