Cyprus: VAT law amendments on place of supply for virtual events
Changes are effective from January 1, 2025.
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June 24, 2025
The Council of Ministers on June 6, 2025, approved amendments to Schedule 13 of the VAT Law, concerning special rules on the place of supply of services. The changes, effective from January 1, 2025, concern the admission to events.
- Amendment to Paragraph 4 – Admission to events (B2B): The amendment specifies that virtual participation in events does not qualify as "admission" for determining the place of supply. Under the revised rule, the place of supply for services provided to businesses (B2B) is based on the recipient's location, as per Article 10A of the VAT Law. Consequently, for B2B customers in non-EU countries, the supply is outside Cyprus VAT scope, and no VAT is charged. For B2B customers in EU member states, no VAT is charged, but the transaction must be reported in the VIES recapitulative statement with "Reverse charge" noted on the invoice.
- Amendment to Paragraph 15A – Admission to events (B2C): The amendment clarifies that virtual participation does not constitute "admission" for individuals (B2C). The place of supply for such services is where the recipient is established, has their permanent address, or usually resides. For B2C customers in non-EU countries, no VAT is charged, as the transaction is outside Cyprus VAT scope. For B2C customers in EU member states, VAT is charged at the rate applicable in the respective member state. Suppliers may opt to register under the One Stop Shop (OSS) scheme to streamline VAT reporting across EU countries.
Read a June 2025 report prepared by the KPMG member firm in Cyprus