Prepare, review, or classify transactions for a Cyprus VAT return (VAT4 form) for any client.
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Accountant-reviewed. Reviewed by Christos Thoma on Jun 12, 2026. Review does not create a client relationship and is not a guarantee for any specific taxpayer or transaction.
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Cyprus VAT standard rate
19%Income Tax Law (Law 118(I)/2002)
Reduced rate — accommodation and restaurant/catering
9%Fifth Schedule Part II
Reduced rate — food, pharmaceuticals, books, newspapers, water supply, medical devices
5% applies to specified goods/services including foodstuffs and pharmaceutical products and, subject to conditions, qualifying primary residences; books/newspapers/periodicals and several medical/disability/waste/cultural items moved to the 3% super-reduced rate.https://taxsummaries.pwc.com/cyprus/corporate/other-taxes ; https://www.ey.com/en_gl/technical/tax-alerts/cyprus-introduces-3--vat-rate-and-adds-goods-to-0--vat-list
Reduced rate — specific social housing
3% super-reduced VAT rate applies to specified goods/services such as books/newspapers/periodicals, certain disability/orthopaedic products, private waste/sewage services and admission to first performances of qualifying cultural works. Qualifying primary residence relief is generally a 5% reduced-rate regime, not a 3% social housing rate.https://taxsummaries.pwc.com/cyprus/corporate/other-taxes ; https://www.ey.com/en_gl/technical/tax-alerts/cyprus-introduces-3--vat-rate-and-adds-goods-to-0--vat-list
Zero rate — exports, intra-EU B2B supplies of goods, international transport
0%Sixth Schedule
Reverse charge output VAT rate (EU and non-EU services/goods received)
Reviewed against the cited tax authorities by Christos Thoma on 2026-06-12.
Items flagged for further clarification are tracked separately and excluded here.
This block is generated from verified skill_facts — edit the facts, not the prose.
Read this whole section before classifying anything. The workflow runbook is in vat-workflow-base Section 1.
Quick reference field table
Quick reference field table
| Field | Value |
|---|---|
| Country | Cyprus (Republic of Cyprus) |
| Standard rate | 19% |
| Reduced rates | 9% (accommodation, restaurant/catering), 5% (food, pharmaceuticals, water, qualifying primary residences), 3% (specific social housing) |
| Zero rate | 0% (exports, intra-EU B2B supplies of goods, international transport) |
| Return form | VAT4 |
| Filing portal | https://taxisnet.mof.gov.cy (TAXISnet / TFA portal) |
| Authority | Cyprus Tax Department, Ministry of Finance |
| Currency | EUR only |
| Filing frequencies | Quarterly (standard); Monthly (option for large exporters) |
| Deadline | 10th of second month after quarter end (e.g. 10 May for Q1) |
| Companion skill (Tier 1, workflow) | vat-workflow-base v0.1 or later — MUST be loaded |
| Companion skill (Tier 2, EU directive) | eu-vat-directive v0.1 or later — MUST be loaded |
| Validated by | Deep research verification, April 2026 |
| Validation date | April 2026 |
Key VAT4 boxes
| Box | Meaning |
|---|---|
| 1 | VAT due on sales and other outputs (all rates combined) |
| 2 | VAT due on acquisitions from EU + services from abroad (reverse charge output) |
| 3 | Total output VAT (Box 1 + Box 2) |
| 4 | VAT reclaimed on purchases and inputs (all deductible input VAT) |
| 5 | Net VAT payable or refundable (Box 3 minus Box 4) |
| 6 | Total value of sales and outputs (excl. VAT) |
| 7 | Total value of purchases and inputs (excl. VAT) |
| 8A | Value of intra-EU supplies of goods |
| 8B | Value of B2B services supplied to other EU states |
| 9 | Value of zero-rated outputs (exports, other zero-rated not in 8A/8B) |
| 10 | Sales outside CY VAT scope with right of deduction |
| 11A | Value of goods acquired from EU |
| 11B | Value of services received from EU (reverse charge) |
Conservative defaults
| Ambiguity | Default |
|---|---|
| Unknown rate on a sale | 19% |
| Unknown VAT status of a purchase | Not deductible |
| Unknown counterparty country | Domestic Cyprus |
| Unknown B2B vs B2C for EU customer | B2C, charge 19% |
| Unknown business-use proportion | 0% recovery |
| Unknown SaaS billing entity | Reverse charge from non-EU |
| Unknown blocked-input status | Blocked |
| Unknown whether in scope | In scope |
Red flag thresholds
| Threshold | Value |
|---|---|
| HIGH single-transaction size | EUR 3,000 |
| HIGH tax-delta on single default | EUR 200 |
| MEDIUM counterparty concentration | >40% |
| MEDIUM conservative-default count | >4 |
| LOW absolute net VAT position | EUR 5,000 |
Minimum viable — bank statement for the quarter. Acceptable from: Bank of Cyprus, Hellenic Bank, RCB Bank, Eurobank Cyprus, Astrobank, Revolut Business, Wise Business.
Recommended — sales invoices (intra-EU B2B, exports), purchase invoices for input VAT claims (valid VAT invoice required for all deductible input VAT), CY VAT number (CY + 8 digits + letter).
Ideal — complete invoice register, prior VAT4, VIES listings, credit brought forward reconciliation.
Match by case-insensitive substring. Most specific match wins.
Cypriot banks table
| Pattern | Treatment | Notes |
|---|---|---|
| BANK OF CYPRUS, BOC | EXCLUDE for bank charges/fees | Exempt financial service |
| HELLENIC BANK | EXCLUDE for bank charges/fees | Same |
| RCB BANK | EXCLUDE for bank charges/fees | Same |
| EUROBANK CYPRUS | EXCLUDE for bank charges/fees | Same |
| ASTROBANK | EXCLUDE for bank charges/fees | Same |
| REVOLUT, WISE, N26 (fee lines) | EXCLUDE | Check for taxable subscription invoices |
| TOKOI, INTEREST | EXCLUDE | Interest, out of scope |
| DANEIO, LOAN | EXCLUDE | Loan principal, out of scope |
Government and statutory bodies table
| Pattern | Treatment | Notes |
|---|---|---|
| TAX DEPARTMENT, TMHMA FOROLOGIAS | EXCLUDE | Tax payment |
| SOCIAL INSURANCE, KOINONIKON ASFALISION | EXCLUDE | Social security |
| REGISTRAR OF COMPANIES | EXCLUDE | Registration fees |
| CYPRUS STOCK EXCHANGE | EXCLUDE | Regulatory fee |
Cypriot utilities table
| Pattern | Treatment | Box | Notes |
|---|---|---|---|
| EAC, ELECTRICITY AUTHORITY CYPRUS | Domestic 19% | 4 (input) | Electricity |
| WATER BOARD, SYMVOULIO YDATOPROMITHEIAS | Domestic 5% | 4 (input) | Water at 5% |
| CYTA, CYTANET | Domestic 19% | 4 (input) | Telecoms |
| EPIC, PRIMETEL | Domestic 19% | 4 (input) | Telecoms |
Insurance table
| Pattern | Treatment | Notes |
|---|---|---|
| GENERAL INSURANCE CYPRUS | EXCLUDE | Exempt |
| CNP CYPRIALIFE | EXCLUDE | Same |
| ALLIANZ CYPRUS | EXCLUDE | Same |
| ATLANTIC INSURANCE | EXCLUDE | Same |
| ASFALEIA, INSURANCE | EXCLUDE | All exempt |
Post and logistics table
| Pattern | Treatment | Notes |
|---|---|---|
| CYPRUS POST, KYPRIAKO TACHYDROMEIO | EXCLUDE for standard post | Universal service, exempt |
| CYPRUS POST (parcel/courier) | Domestic 19% | Non-universal |
| AKIS EXPRESS, ACS COURIER CY | Domestic 19% | Courier |
| DHL INTERNATIONAL | EU reverse charge | Check invoice entity |
Transport table
| Pattern | Treatment | Notes |
|---|---|---|
| TRAVEL EXPRESS, INTERCITY BUSES | Domestic 19% | Bus |
| TAXI | Domestic 19% | Local |
| RYANAIR, WIZZ AIR (international) | EXCLUDE / 0% | International flight |
Food retail table
| Pattern | Treatment | Notes |
|---|---|---|
| ALPHAMEGA, PAPANTONIOU, LIDL CY, CARREFOUR CY | Default BLOCK | Personal provisioning |
| RESTAURANT, ESTIATORIO, TAVERNA | Default BLOCK | Entertainment |
SaaS EU suppliers table
| Pattern | Billing entity | Notes |
|---|---|---|
| GOOGLE (Ads, Workspace, Cloud) | Google Ireland Ltd (IE) | EU reverse charge |
| MICROSOFT (365, Azure) | Microsoft Ireland Operations Ltd (IE) | Reverse charge |
| ADOBE | Adobe Systems Software Ireland Ltd (IE) | Reverse charge |
| META, FACEBOOK ADS | Meta Platforms Ireland Ltd (IE) | Reverse charge |
| LinkedIn Ireland Unlimited (IE) | Reverse charge | |
| SPOTIFY | Spotify AB (SE) | EU reverse charge |
| DROPBOX | Dropbox International Unlimited (IE) | Reverse charge |
| SLACK | Slack Technologies Ireland Ltd (IE) | Reverse charge |
| ATLASSIAN | Atlassian Network Services BV (NL) | EU reverse charge |
| ZOOM | Zoom Video Communications Ireland Ltd (IE) | Reverse charge |
SaaS non-EU suppliers table
| Pattern | Billing entity | Notes |
|---|---|---|
| AWS EMEA SARL | AWS EMEA SARL (LU) | LU = EU reverse charge |
| NOTION | Notion Labs Inc (US) | Non-EU reverse charge |
| ANTHROPIC, CLAUDE | Anthropic PBC (US) | Non-EU reverse charge |
| OPENAI, CHATGPT | OpenAI Inc (US) | Non-EU reverse charge |
| GITHUB | GitHub Inc (US) | Check if billed by IE |
| FIGMA | Figma Inc (US) | Non-EU reverse charge |
| CANVA | Canva Pty Ltd (AU) | Non-EU reverse charge |
Payment processors table
| Pattern | Treatment | Notes |
|---|---|---|
| STRIPE (transaction fees) | EXCLUDE (exempt) | Financial service |
| PAYPAL (transaction fees) | EXCLUDE (exempt) | Same |
Professional services table
| Pattern | Treatment | Notes |
|---|---|---|
| DIKIGOROS, LAWYER, ADVOCATE | Domestic 19% | Legal |
| LOGISTIS, ACCOUNTANT, AUDITOR | Domestic 19% | Accounting |
| SYMVOLAIOGRAFOS, NOTARY | Domestic 19% | Notary |
Payroll and social security table
| Pattern | Treatment | Notes |
|---|---|---|
| KOINONIKES ASFALISIS, SOCIAL INSURANCE | EXCLUDE | Social contributions |
| SALARY, MISTHOS | EXCLUDE | Wages |
Property and rent table
| Pattern | Treatment | Notes |
|---|---|---|
| ENOIKIO, RENT (commercial with VAT) | Domestic 19% | Commercial lease |
| ENOIKIO, RENT (residential) | EXCLUDE | Exempt |
Internal transfers and exclusions table
| Pattern | Treatment | Notes |
|---|---|---|
| OWN TRANSFER, INTERNAL | EXCLUDE | Internal movement |
| MERISMA, DIVIDEND | EXCLUDE | Out of scope |
| LOAN REPAYMENT | EXCLUDE | Loan principal |
| ATM, CASH WITHDRAWAL | Ask | Default exclude |
Input line:
03.04.2026 ; NOTION LABS INC ; DEBIT ; Monthly subscription ; USD 16.00 ; EUR 14.68
Reasoning: US entity. Self-assess output VAT at 19% in Box 2. Claim input in Box 4. Net zero. Box 11B value not applicable (non-EU service — use Box 7 only).
Output table
| Date | Counterparty | Gross | Net | VAT | Rate | Box (input) | Box (output) | Default? | Question? |
|---|---|---|---|---|---|---|---|---|---|
| 03.04.2026 | NOTION LABS INC | -14.68 | -14.68 | 2.79 | 19% | 4 | 2 | N | — |
Input line:
10.04.2026 ; GOOGLE IRELAND LIMITED ; DEBIT ; Google Ads ; -850.00 ; EUR
Reasoning: IE entity. EU reverse charge. Output in Box 2, input in Box 4. Value in Box 11B.
Output table
| Date | Counterparty | Gross | Net | VAT | Rate | Box (input) | Box (output) | Default? | Question? |
|---|---|---|---|---|---|---|---|---|---|
| 10.04.2026 | GOOGLE IRELAND LIMITED | -850.00 | -850.00 | 161.50 | 19% | 4 | 2 | N | — |
Input line:
15.04.2026 ; COLUMBIA STEAK HOUSE LIMASSOL ; DEBIT ; Business dinner ; -220.00 ; EUR
Reasoning: Restaurant. Entertainment input VAT is blocked in Cyprus under the general "not for business use" principle. Default: block.
Output table ("Entertainment: blocked")
| Date | Counterparty | Gross | Net | VAT | Rate | Box | Default? | Question? | Excluded? |
|---|---|---|---|---|---|---|---|---|---|
| 15.04.2026 | COLUMBIA STEAK HOUSE | -220.00 | -220.00 | 0 | — | — | Y | Q1 | "Entertainment: blocked" |
Input line:
18.04.2026 ; LOGITECH CYPRUS ; DEBIT ; Laptop ; -1,595.00 ; EUR
Reasoning: Business equipment. Input VAT deductible at 19%. No specific capital goods threshold in Cyprus VAT4 (unlike Malta). Goes to Box 4.
Output table
| Date | Counterparty | Gross | Net | VAT | Rate | Box | Default? | Question? |
|---|---|---|---|---|---|---|---|---|
| 18.04.2026 | LOGITECH CYPRUS | -1,595.00 | -1,340.34 | -254.66 | 19% | 4 | N | — |
Input line:
22.04.2026 ; STUDIO KREBS GMBH ; CREDIT ; IT consultancy ; +3,500.00 ; EUR
Reasoning: B2B service to Germany. Place of supply = Germany. 0% in Box 8B. Verify USt-IdNr.
Output table (Q2 (HIGH) "Verify USt-IdNr")
| Date | Counterparty | Gross | Net | VAT | Rate | Box | Default? | Question? |
|---|---|---|---|---|---|---|---|---|
| 22.04.2026 | STUDIO KREBS GMBH | +3,500.00 | +3,500.00 | 0 | 0% | 8B | Y | Q2 (HIGH) "Verify USt-IdNr" |
Input line:
28.04.2026 ; PETROLINA STATIONS ; DEBIT ; Fuel ; -60.00 ; EUR
Reasoning: Fuel. In Cyprus, input VAT on motor vehicle fuel is deductible if vehicle is used for business. Unlike Malta's hard block, Cyprus allows deduction proportional to business use. Default: 0% (business use unknown).
Output table
| Date | Counterparty | Gross | Net | VAT | Rate | Box | Default? | Question? |
|---|---|---|---|---|---|---|---|---|
| 28.04.2026 | PETROLINA STATIONS | -60.00 | -60.00 | 0 | — | — | Y | Q3 "Vehicle business-use %?" |
Per vat-workflow-base Section 3. Column H accepts CY VAT4 box codes (1-11B). Sheet "Box Summary" maps directly to the VAT4 form. Bottom-line: Box 5 (net payable/refundable = Box 3 minus Box 4).
CSV conventions. Bank of Cyprus and Hellenic Bank typically use comma delimiters, DD/MM/YYYY dates.
Greek language variants. Enoikio (rent), misthos (salary), tokoi (interest), metafora (transfer). Treat as English equivalent.
Internal transfers. "Own transfer", "esoteriki metafora". Exclude.
IBAN prefix. CY = Cyprus. IE, DE, NL = EU. US, GB = non-EU.
This skill is incomplete without BOTH companion files: vat-workflow-base v0.1+ AND eu-vat-directive v0.1+.
This skill and its outputs are provided for informational and computational purposes only and do not constitute tax, legal, or financial advice. Open Accountants and its contributors accept no liability for any errors, omissions, or outcomes arising from the use of this skill. All outputs must be reviewed and signed off by a qualified professional before filing or acting upon.
The most up-to-date, verified version of this skill is maintained at openaccountants.com.
Review status
Accountant-reviewed
Reviewed by a named licensed practitioner against the stated sources, as general reference material.
Accountant-reviewed
Reviewed by Christos Thoma · 12 June 2026
A named accountant reviewed this complete Guide version within the stated scope. It is not a guarantee.
View review record →Other Cyprus computations in the OpenAccountants Tax Library.
19%Sections 11, 11A
Utility — water supply VAT rate
5%Fifth Schedule Part III
Utility — electricity VAT rate
19%VAT Law Section 17
Utility — telecoms VAT rate
19%VAT Law Section 17
Commercial rent VAT rate
19%VAT Law Section 17
Legal, accounting and notary professional services VAT rate
19%VAT Law Section 17
Domestic courier/parcel VAT rate
19%VAT Law Section 17
Bus and taxi transport VAT rate
9% for certain local passenger transport services, including passenger transport by urban/intercity/rural taxis and buses; otherwise standard-rated supplies remain at 19%.https://taxsummaries.pwc.com/cyprus/corporate/other-taxes
International flights VAT rate
0%Sixth Schedule
Exempt supplies without input tax credit — financial services, insurance, healthcare, education, postal, gambling, residential rental
Exempt without creditSeventh Schedule
Residential rental VAT treatment
ExemptSeventh Schedule
Bank charges and fees VAT treatment
Exempt (exclude)Seventh Schedule
Insurance premiums VAT treatment
Exempt (exclude)Seventh Schedule
Standard postal service (Cyprus Post) VAT treatment
Exempt — universal serviceSeventh Schedule
Payment processor transaction fees (Stripe, PayPal) VAT treatment
Exempt (exclude)Seventh Schedule
VAT registration threshold — annual turnover below which entity is non-registered
EUR 15,600VAT Law N.95(I)/2000 (as amended)
VAT return form
VAT4VAT Law N.95(I)/2000 (as amended)
Filing portal
https://taxisnet.mof.gov.cy (TAXISnet / TFA portal)
Standard filing frequency
QuarterlyVAT Law N.95(I)/2000 (as amended)
Optional filing frequency — large exporters
MonthlyVAT Law N.95(I)/2000 (as amended)
VAT4 submission deadline
10th of the second month after quarter end (e.g. 10 May for Q1)VAT Law N.95(I)/2000 (as amended)
Q1 (Jan–Mar) filing deadline — example
10 MayVAT Law N.95(I)/2000 (as amended)
Currency
EUR only
VAT number format
CY + 8 digits + letter
Number of VAT4 boxes
11 boxes plus sub-boxes
Box 1 — VAT due on sales and other outputs (all rates combined)
VAT due on sales and other outputs (all rates combined)
Box 2 — VAT due on acquisitions from EU + services from abroad (reverse charge output)
VAT due on acquisitions from EU + services from abroad (reverse charge output)
Box 3 — Total output VAT formula
Box 1 + Box 2
Box 4 — VAT reclaimed on purchases and inputs
All deductible input VAT
Box 5 — Net VAT payable or refundable formula
Box 3 minus Box 4
Box 6 — Total value of sales and outputs (excl. VAT)
Total value of sales and outputs (excl. VAT)
Box 7 — Total value of purchases and inputs (excl. VAT)
Total value of purchases and inputs (excl. VAT)
Box 8A — Value of intra-EU supplies of goods
Value of intra-EU supplies of goods
Box 8B — Value of B2B services supplied to other EU states
Value of B2B services supplied to other EU states
Box 9 — Value of zero-rated outputs (exports and other zero-rated not in 8A/8B)
Value of zero-rated outputs (exports, other zero-rated not in 8A/8B)
Box 10 — Sales outside CY VAT scope with right of deduction
Sales outside CY VAT scope with right of deduction
Box 11A — Value of goods acquired from EU
Value of goods acquired from EU
Box 11B — Value of services received from EU (reverse charge)
Value of services received from EU (reverse charge)
EU services received — legal basis
Output VAT at 19% in Box 2; input in Box 4; value in Box 11BSection 11A
EU goods received — legal basis
Output in Box 2; input in Box 4; value in Box 11ASection 11
Non-EU services received — legal basis
Output Box 2; input Box 4Section 11A
Domestic reverse charge — construction services
Output and input both reported by recipientSection 11B
Entertainment — input VAT recovery
Blocked (0%)VAT Law N.95(I)/2000 — general business-use principle
Personal use — input VAT recovery
Blocked (0%)VAT Law N.95(I)/2000 — general business-use principle
Motor vehicle fuel — input VAT recovery
Proportional deduction based on business use (not hard-blocked); default 0%VAT Law N.95(I)/2000
Default rate when VAT rate on a sale is unknown
19%
Default VAT status of a purchase when unknown
Not deductible
Default counterparty country when unknown
Domestic Cyprus
Default B2B vs B2C classification for unknown EU customer
B2C, charge 19%
Default business-use proportion when unknown
0% recovery
Default SaaS billing entity when unknown
Reverse charge from non-EU
Default blocked-input status when unknown
Blocked
Default scope treatment when unknown
In scope
HIGH flag — single transaction size
EUR 3,000
HIGH flag — tax delta on a single default
EUR 200
MEDIUM flag — counterparty concentration
>40%
MEDIUM flag — conservative default count
>4
LOW flag — absolute net VAT position
EUR 5,000
Input VAT claim threshold requiring purchase invoice
No general EUR 200 threshold for claiming input VAT. Deductible input VAT must be supported by a valid VAT invoice / import document; simplified invoicing under EU rules is generally for invoices not higher than EUR 100 or equivalent, subject to national rules.https://taxation-customs.ec.europa.eu/taxation/vat/vat-businesses/invoicing_en
B2B service supplied to EU VAT-registered customer — place of supply
Place of customer (customer's member state); 0% in Box 8B; verify VAT numberEU VAT Directive 2006/112/EC — Article 44
Intra-EU B2B goods — reporting box
Box 8A; 0%Sixth Schedule
Primary VAT legislation
VAT Law N.95(I)/2000 (as amended)VAT Law N.95(I)/2000
Partial exemption pro-rata provision
Section 26VAT Law N.95(I)/2000 Section 26
Reverse charge provisions
Sections 11, 11A–11EVAT Law N.95(I)/2000
Immovable property special VAT rules
Eighth ScheduleVAT Law N.95(I)/2000 Eighth Schedule
Quick reference field table
| Field | Value | |---|---| | Country | Cyprus (Republic of Cyprus) | | Standard rate | 19% | | Reduced rates | 9% (accommodation, restaurant/catering), 5% (food, pharmaceuticals, water, qualifying primary residences), 3% (specific social housing) | | Zero rate | 0% (exports, intra-EU B2B supplies of goods, international transport) | | Return form | VAT4 | | Filing portal | https://taxisnet.mof.gov.cy (TAXISnet / TFA portal) | | Authority | Cyprus Tax Department, Ministry of Finance | | Currency | EUR only | | Filing frequencies | Quarterly (standard); Monthly (option for large exporters) | | Deadline | 10th of second month after quarter end (e.g. 10 May for Q1) | | Companion skill (Tier 1, workflow) | **vat-workflow-base v0.1 or later — MUST be loaded** | | Companion skill (Tier 2, EU directive) | **eu-vat-directive v0.1 or later — MUST be loaded** | | Validated by | Deep research verification, April 2026 | | Validation date | April 2026 |
Key VAT4 boxes
| Box | Meaning | |---|---| | 1 | VAT due on sales and other outputs (all rates combined) | | 2 | VAT due on acquisitions from EU + services from abroad (reverse charge output) | | 3 | Total output VAT (Box 1 + Box 2) | | 4 | VAT reclaimed on purchases and inputs (all deductible input VAT) | | 5 | Net VAT payable or refundable (Box 3 minus Box 4) | | 6 | Total value of sales and outputs (excl. VAT) | | 7 | Total value of purchases and inputs (excl. VAT) | | 8A | Value of intra-EU supplies of goods | | 8B | Value of B2B services supplied to other EU states | | 9 | Value of zero-rated outputs (exports, other zero-rated not in 8A/8B) | | 10 | Sales outside CY VAT scope with right of deduction | | 11A | Value of goods acquired from EU | | 11B | Value of services received from EU (reverse charge) |
Conservative defaults
| Ambiguity | Default | |---|---| | Unknown rate on a sale | 19% | | Unknown VAT status of a purchase | Not deductible | | Unknown counterparty country | Domestic Cyprus | | Unknown B2B vs B2C for EU customer | B2C, charge 19% | | Unknown business-use proportion | 0% recovery | | Unknown SaaS billing entity | Reverse charge from non-EU | | Unknown blocked-input status | Blocked | | Unknown whether in scope | In scope |
Red flag thresholds
| Threshold | Value | |---|---| | HIGH single-transaction size | EUR 3,000 | | HIGH tax-delta on single default | EUR 200 | | MEDIUM counterparty concentration | >40% | | MEDIUM conservative-default count | >4 | | LOW absolute net VAT position | EUR 5,000 |
R-CY-1 — Non-registered entity
Trigger: not registered, turnover below EUR 15,600. Message: "Non-registered entities do not file VAT4 returns."R-CY-1
R-CY-2 — Partial exemption
Trigger: mixed taxable/exempt supplies. Message: "Mixed supplies require pro-rata input VAT apportionment under Section 26. Use a licensed accountant."R-CY-2
R-CY-3 — Domestic reverse charge (construction Section 11B)
Trigger: construction services received/supplied. Message: "Construction domestic reverse charge requires specialist classification."R-CY-3
R-CY-4 — Ship management / international services
Trigger: shipping or maritime services. Message: "Ship management and tonnage tax structures require specialist advice."R-CY-4
R-CY-5 — Special schemes (TOMS, margin)
Message: "Tour operator margin scheme and second-hand goods margin scheme require specialist computation."R-CY-5
R-CY-6 — Immovable property classification
Trigger: property transactions with option to tax. Message: "Immovable property VAT classification under the Eighth Schedule requires specialist review."R-CY-6
Cypriot banks table
| Pattern | Treatment | Notes | |---|---|---| | BANK OF CYPRUS, BOC | EXCLUDE for bank charges/fees | Exempt financial service | | HELLENIC BANK | EXCLUDE for bank charges/fees | Same | | RCB BANK | EXCLUDE for bank charges/fees | Same | | EUROBANK CYPRUS | EXCLUDE for bank charges/fees | Same | | ASTROBANK | EXCLUDE for bank charges/fees | Same | | REVOLUT, WISE, N26 (fee lines) | EXCLUDE | Check for taxable subscription invoices | | TOKOI, INTEREST | EXCLUDE | Interest, out of scope | | DANEIO, LOAN | EXCLUDE | Loan principal, out of scope |
Government and statutory bodies table
| Pattern | Treatment | Notes | |---|---|---| | TAX DEPARTMENT, TMHMA FOROLOGIAS | EXCLUDE | Tax payment | | SOCIAL INSURANCE, KOINONIKON ASFALISION | EXCLUDE | Social security | | REGISTRAR OF COMPANIES | EXCLUDE | Registration fees | | CYPRUS STOCK EXCHANGE | EXCLUDE | Regulatory fee |
Cypriot utilities table
| Pattern | Treatment | Box | Notes | |---|---|---|---| | EAC, ELECTRICITY AUTHORITY CYPRUS | Domestic 19% | 4 (input) | Electricity | | WATER BOARD, SYMVOULIO YDATOPROMITHEIAS | Domestic 5% | 4 (input) | Water at 5% | | CYTA, CYTANET | Domestic 19% | 4 (input) | Telecoms | | EPIC, PRIMETEL | Domestic 19% | 4 (input) | Telecoms |
Insurance table
| Pattern | Treatment | Notes | |---|---|---| | GENERAL INSURANCE CYPRUS | EXCLUDE | Exempt | | CNP CYPRIALIFE | EXCLUDE | Same | | ALLIANZ CYPRUS | EXCLUDE | Same | | ATLANTIC INSURANCE | EXCLUDE | Same | | ASFALEIA, INSURANCE | EXCLUDE | All exempt |
Post and logistics table
| Pattern | Treatment | Notes | |---|---|---| | CYPRUS POST, KYPRIAKO TACHYDROMEIO | EXCLUDE for standard post | Universal service, exempt | | CYPRUS POST (parcel/courier) | Domestic 19% | Non-universal | | AKIS EXPRESS, ACS COURIER CY | Domestic 19% | Courier | | DHL INTERNATIONAL | EU reverse charge | Check invoice entity |
Transport table
| Pattern | Treatment | Notes | |---|---|---| | TRAVEL EXPRESS, INTERCITY BUSES | Domestic 19% | Bus | | TAXI | Domestic 19% | Local | | RYANAIR, WIZZ AIR (international) | EXCLUDE / 0% | International flight |
Food retail table
| Pattern | Treatment | Notes | |---|---|---| | ALPHAMEGA, PAPANTONIOU, LIDL CY, CARREFOUR CY | Default BLOCK | Personal provisioning | | RESTAURANT, ESTIATORIO, TAVERNA | Default BLOCK | Entertainment |
SaaS EU suppliers table
| Pattern | Billing entity | Notes | |---|---|---| | GOOGLE (Ads, Workspace, Cloud) | Google Ireland Ltd (IE) | EU reverse charge | | MICROSOFT (365, Azure) | Microsoft Ireland Operations Ltd (IE) | Reverse charge | | ADOBE | Adobe Systems Software Ireland Ltd (IE) | Reverse charge | | META, FACEBOOK ADS | Meta Platforms Ireland Ltd (IE) | Reverse charge | | LINKEDIN | LinkedIn Ireland Unlimited (IE) | Reverse charge | | SPOTIFY | Spotify AB (SE) | EU reverse charge | | DROPBOX | Dropbox International Unlimited (IE) | Reverse charge | | SLACK | Slack Technologies Ireland Ltd (IE) | Reverse charge | | ATLASSIAN | Atlassian Network Services BV (NL) | EU reverse charge | | ZOOM | Zoom Video Communications Ireland Ltd (IE) | Reverse charge |
SaaS non-EU suppliers table
| Pattern | Billing entity | Notes | |---|---|---| | AWS EMEA SARL | AWS EMEA SARL (LU) | LU = EU reverse charge | | NOTION | Notion Labs Inc (US) | Non-EU reverse charge | | ANTHROPIC, CLAUDE | Anthropic PBC (US) | Non-EU reverse charge | | OPENAI, CHATGPT | OpenAI Inc (US) | Non-EU reverse charge | | GITHUB | GitHub Inc (US) | Check if billed by IE | | FIGMA | Figma Inc (US) | Non-EU reverse charge | | CANVA | Canva Pty Ltd (AU) | Non-EU reverse charge |
Payment processors table
| Pattern | Treatment | Notes | |---|---|---| | STRIPE (transaction fees) | EXCLUDE (exempt) | Financial service | | PAYPAL (transaction fees) | EXCLUDE (exempt) | Same |
Professional services table
| Pattern | Treatment | Notes | |---|---|---| | DIKIGOROS, LAWYER, ADVOCATE | Domestic 19% | Legal | | LOGISTIS, ACCOUNTANT, AUDITOR | Domestic 19% | Accounting | | SYMVOLAIOGRAFOS, NOTARY | Domestic 19% | Notary |
Payroll and social security table
| Pattern | Treatment | Notes | |---|---|---| | KOINONIKES ASFALISIS, SOCIAL INSURANCE | EXCLUDE | Social contributions | | SALARY, MISTHOS | EXCLUDE | Wages |
Property and rent table
| Pattern | Treatment | Notes | |---|---|---| | ENOIKIO, RENT (commercial with VAT) | Domestic 19% | Commercial lease | | ENOIKIO, RENT (residential) | EXCLUDE | Exempt |
Internal transfers and exclusions table
| Pattern | Treatment | Notes | |---|---|---| | OWN TRANSFER, INTERNAL | EXCLUDE | Internal movement | | MERISMA, DIVIDEND | EXCLUDE | Out of scope | | LOAN REPAYMENT | EXCLUDE | Loan principal | | ATM, CASH WITHDRAWAL | Ask | Default exclude |
Output table
| Date | Counterparty | Gross | Net | VAT | Rate | Box (input) | Box (output) | Default? | Question? | |---|---|---|---|---|---|---|---|---|---| | 03.04.2026 | NOTION LABS INC | -14.68 | -14.68 | 2.79 | 19% | 4 | 2 | N | — |
Output table
| Date | Counterparty | Gross | Net | VAT | Rate | Box (input) | Box (output) | Default? | Question? | |---|---|---|---|---|---|---|---|---|---| | 10.04.2026 | GOOGLE IRELAND LIMITED | -850.00 | -850.00 | 161.50 | 19% | 4 | 2 | N | — |
Output table
| Date | Counterparty | Gross | Net | VAT | Rate | Box | Default? | Question? | Excluded? | |---|---|---|---|---|---|---|---|---|---| | 15.04.2026 | COLUMBIA STEAK HOUSE | -220.00 | -220.00 | 0 | — | — | Y | Q1 | "Entertainment: blocked" |"Entertainment: blocked"
Output table
| Date | Counterparty | Gross | Net | VAT | Rate | Box | Default? | Question? | |---|---|---|---|---|---|---|---|---| | 18.04.2026 | LOGITECH CYPRUS | -1,595.00 | -1,340.34 | -254.66 | 19% | 4 | N | — |
Output table
| Date | Counterparty | Gross | Net | VAT | Rate | Box | Default? | Question? | |---|---|---|---|---|---|---|---|---| | 22.04.2026 | STUDIO KREBS GMBH | +3,500.00 | +3,500.00 | 0 | 0% | 8B | Y | Q2 (HIGH) "Verify USt-IdNr" |Q2 (HIGH) "Verify USt-IdNr"
Output table
| Date | Counterparty | Gross | Net | VAT | Rate | Box | Default? | Question? | |---|---|---|---|---|---|---|---|---| | 28.04.2026 | PETROLINA STATIONS | -60.00 | -60.00 | 0 | — | — | Y | Q3 "Vehicle business-use %?" |
Default rate treatment
Default rate. Output: Box 1. Input: Box 4.VAT Law Section 17
Reduced 9% scope
Accommodation, restaurant/catering services.Fifth Schedule Part II
Reduced 5% scope
Food, pharmaceuticals, water supply, qualifying primary residences, medical devices.Fifth Schedule Part III
Reduced 3% scope
Specific social housing.
Zero rate scope
Exports, intra-EU B2B goods (Box 8A), intra-EU B2B services (Box 8B), international transport.Sixth Schedule
Exempt scope
Financial services, insurance, healthcare, education, postal, gambling, residential rental.Seventh Schedule
Rule
Output VAT at 19% in Box 2, input in Box 4. Value in Box 11B.Section 11A
Rule
Output in Box 2, input in Box 4. Value in Box 11A.Section 11
Rule
Same mechanism: output Box 2, input Box 4.Section 11A
Rule
Output and input both reported by recipient. Flag for reviewer — R-CY-3.Section 11B
Blocked input categories
- Entertainment: blocked (no specific statutory list like Malta's 10th Schedule; follows general business-use principle) - Personal use: blocked - Motor vehicles: proportional deduction based on business use (not hard-blocked like Malta)
Box structure note
Unlike Malta's ~45-box periodic VAT return, Cyprus VAT4 has only 11 boxes plus sub-boxes. All rates are aggregated into Box 1 (output) and Box 4 (input).
Default and question
Default: 0%. Question: "Vehicle type and business-use percentage?"
Default and question
Default: block. Question: "Business purpose? (Note: blocked regardless in most cases.)"
Default and question
Default: non-EU reverse charge. Question: "Check invoice entity."
Default and question
Default: exclude. Question: "Customer payment, own money, or loan?"
Default and question
Default: domestic B2C at 19%. Question: "Sale? Country?"
Default and question
Default: 19%. Question: "B2B? Country? VAT number?"
Default and question
Default: deductible; flag if capital. Question: "Useful life > 1 year?"
Default and question
Default: 0%. Question: "Business line or mixed?"
Default and question
Default: exclude. Question: "Contractor, wages, or personal?"
Default and question
Default: exclude. Question: "Cash purpose?"
Default and question
Default: exempt (residential). Question: "Commercial or residential?"
Inference and fallback
Inference: Ltd = company; sole trader. Fallback: "Company or self-employed?"
Fallback
Fallback: "Are you VAT-registered?"
Fallback
Fallback: "CY VAT number? (CY + 8 digits + letter)"
Inference and fallback
Inference: quarterly by default. Fallback: "Which quarter?"
Fallback
Fallback: "What does the business do?"
Fallback
Fallback: "Any exempt supplies?" If yes: R-CY-2.
Fallback
Fallback: "Excess VAT credit from prior quarter?"
Fallback
Fallback: "Customers outside Cyprus?"
Rendered from the canonical facts model · facts last reviewed Jun 12, 2026. General reference only — confirm with a qualified professional before acting.
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