Cyprus: Zero VAT rate extended for another six months
Council of Ministers extended zero VAT rate measure for another six months
Council of Ministers extended zero VAT rate measure for another six months
The Council of Ministers extended the zero value added tax (VAT) rate measure for another six months. The extension was granted as the existing term expires at the end of October.
Products subject to a reduced VAT rate include:
- All types of bread, fresh or frozen, with or without sourdough (e.g., white, black, wholemeal, multigrain, rustic, rye, cornbread, baguette, ciabatta, bread in fetes, franzolakia, pizzas), and excludes bakery products, dried bread and any bread with added ingredients such as raisins, nuts, flavourings
- Fresh milk (e.g., cow's, goat's, sheep's), sweetened, condensed, long-life, flavored milk (e.g., chocolate, banana), plant milk (e.g., almond, soy, rice)
- Eggs
- Baby food including powdered, dry and/or liquid form which are intended for consumption by children, and excludes snacks (e.g., crisps, nuts, sweets, chocolates, ice cream)
- Children's nappies
- Products for feminine hygiene protection
- Adult diapers
Read a September 2023 report prepared by the KPMG member firm in Cyprus
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