Cyprus: Proposed deferral of VAT payments (COVID-19)
VAT payments for certain months in 2021 would be once again deferred
VAT payments for certain months in 2021 would be once again deferred
The Ministry of Finance announced its intention of proposing an additional deferral of the due date for value added tax (VAT) payments for businesses facing liquidity problems. The proposed VAT payments for certain months in 2021 would be once again deferred in response to the coronavirus (COVID-19) pandemic.
- VAT payments due 10 May, 10 June, and 10 July have already been deferred to 10 August, 10 September, and 10 October, respectively.
- Under the proposal, these VAT payments would be further deferred to 10 October, 10 November, and 10 December, respectively.
- To be eligible for the VAT payment deferral, VAT returns must be timely filed by 10 August, 10 September, and 10 October, respectively.
There are certain instances when the VAT deferral would not apply (for instance, when the taxable activities fall within certain specified categories).
Read a July 2021 report prepared by the KPMG member firm in Cyprus
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