Cyprus Company Formation for E-commerce Sellers
An e-commerce business does not have a tax problem so much as a jurisdiction problem: the corporate rate matters far less than the twenty-seven VAT regimes your orders land in, the marketplace terms that quietly moved the tax liability off your invoice, and the pallet of stock sitting in a warehouse you have never visited. A Cyprus company for e-commerce sellers is worth considering because Cyprus is an EU member state with a functioning one-stop-shop registration, which lets one entity account for destination VAT across the Union through a single return. It is worth considering carefully, because the schemes have hard edges — a threshold that binds on two years at once, a €150 ceiling, and a set of transactions the schemes do not cover at all. This page walks through the ones that actually decide whether the structure works.
Written by Renato Giurea, founder of CyPRO One · Updated 21 August 2026
Regulated work described on this page is carried out by licensed Cyprus partners.
Where you are now
Your VAT liability follows the parcel, not the company
The instinct carried over from domestic selling is that you charge VAT where your business is. For cross-border consumer sales inside the EU that has not been true for years. Article 10(4)(α) of the VAT Law puts the place of supply of intra-Community distance sales of goods at the place where the goods are located when dispatch or transport to the customer ends — the customer's country, at the customer's rate. Article 3Δ defines those sales broadly enough to catch the arrangement most sellers actually run: goods dispatched or transported by the supplier or on his behalf, including where the supplier intervenes indirectly in the dispatch, from a member state other than the one where the transport to the customer ends. "My courier does it, not me" is therefore not the escape it sounds like. The operational consequence is that a growing store's VAT position changes country by country as it grows, and the question is never whether to deal with that but through which mechanism.
The marketplace may already be the supplier, and the seller is often the last to know
Article 42Η(3) of the VAT Law is the provision most sellers have heard about only as a change in their payout statement. Where a taxable person facilitates, through the use of an electronic interface such as a marketplace, platform, portal or similar means, distance sales of goods imported from third territories or third countries in consignments of intrinsic value not exceeding €150, that taxable person is deemed to have received and supplied those goods. In plain terms the platform is treated as buying from you and selling to the customer, so the VAT on the sale to the consumer is the platform's to account for, not yours. That is why the numbers on marketplace reports frequently do not reconcile to what a seller expects to declare. Getting this wrong in either direction is expensive: declare what the platform has already declared and you have overpaid; assume the platform handled a sale it did not and you have underdeclared.
Stock in a foreign warehouse is a transaction, not a logistics decision
Fulfilment networks move inventory to shorten delivery times, and the paperwork consequences arrive whether or not anybody chose them. Under Article 9(14Γ)(γ) of the VAT Law, goods transferred by a taxable person to another member state for the purposes of his business are a transaction in their own right with their own time of supply — the earlier of the fifteenth day of the month following the supply, or the day an invoice is issued. That is a movement of your own goods, with no customer and no payment, and it is not a distance sale, not a supply through an electronic interface and not a service. It therefore sits outside the categories the one-stop-shop scheme in Article 42ΣΤ is built for. What that means where the stock lands is governed by that member state's rules rather than by the Cyprus VAT Law, but the shape of the mechanism is not a mystery, because Cyprus operates the mirror image of it: Article 12Α charges VAT on an acquisition of goods from another member state where the acquisition is made in the Republic by a taxable person in the course or furtherance of its business. A movement into a warehouse abroad meets its counterpart on arrival, and the practical answer is usually a VAT registration in that country. Two things are worth saying in the same breath, because the fear this provokes is usually the wrong one. A VAT registration is a VAT registration: whether the same stock gives the company a taxable presence for corporate tax is a separate question, decided under that country's direct-tax law and the applicable double tax treaty, and the two do not follow one another automatically. And "the fulfilment provider handles it" is not an answer anyone has ever successfully given a tax authority.
What to get right
Establish exactly where you sit against the €10,000 line
Article 10(4Α) of the VAT Law disapplies destination taxation for small cross-border sellers, but the conditions are tighter than the headline. All three have to hold: the person supplying the goods is established, or in the absence of establishment has his place of residence or habitual abode, in a single member state only; the goods are dispatched or transported to a different member state; and the total of those supplies, taken together with the total of the telecommunications, broadcasting and electronically supplied services in paragraph 18 of the Thirteenth Schedule, does not exceed €10,000 in the current calendar year and did not exceed it in the previous one. Three things follow. It is one €10,000 across the whole Union, not per country. Goods and digital services are added together, so a store with a modest download product is closer to the line than it looks. And it tests two calendar years, so a single good December governs the following year as well. Under paragraph (β), once the limit is exceeded during a year, destination taxation applies from that moment — not from the next quarter, and not from the next year.
Understand what the Union scheme does and does not collect
Article 42ΣΤ empowers Regulations creating the special scheme for taxable persons making distance sales of goods, supplies of goods within the Republic made through electronic interfaces that facilitate them, and supplies of services by taxable persons established in the Republic but not established in the member state of consumption — and it lets a taxable person belonging in the Republic opt into that scheme. That is the mechanism people mean when they say "OSS through Cyprus": one registration, and destination VAT for the covered supplies accounted for through it rather than through twenty-six separate local registrations. Read the list of what it covers as a closed list, because it is one. Distance sales are in. Supplies you make through a facilitating electronic interface are in. Services to consumers in other member states are in. Movements of your own stock are not, domestic sales inside a member state where you hold stock are a different question again, and B2B supplies run on the ordinary rules with their own recapitulative statement. Date that last point, though, because it is scheduled to change: Council Directive (EU) 2025/516 — the "VAT in the Digital Age" package adopted on 11 March 2025 — adds a transfer-of-own-goods module to its Single VAT Registration pillar, which the European Commission's own timetable starts on 1 July 2028. Build for the rules as they are and expect that particular gap to close. Our licensed Cyprus corporate services partner registers the company with the Registrar; our ICPAC-registered accounting partner handles the VAT registration and the periodic returns; CyPRO One coordinates and keeps the deadlines visible.
Treat the import scheme as separate, and respect the €150 ceiling
The import one-stop-shop under Article 42Η is a different scheme for a different transaction, and Article 3Ε defines its subject matter separately: distance sales of goods dispatched or transported by the supplier, or on his behalf, from a third territory or third country to a customer in a member state. Two hard edges matter. First, the €150 intrinsic value of the consignment is the boundary of the scheme, and it is also the boundary of the deemed-supplier rule in 42Η(3) — above it, a different treatment applies and ordinary import VAT and customs handling come back into the picture. Second, Article 10(4)(γ) treats an imported distance sale into the member state where transport to the customer ends as supplied in that member state only on condition that the VAT is declared under the article 42Η scheme. So using IOSS is not merely administrative convenience; the place-of-supply outcome is written to depend on it. Splitting a consignment to duck the €150 line is exactly the kind of arrangement a customs authority is equipped to look at, so price and pack honestly.
Reconcile against the marketplace rather than trusting it
If you sell through platforms and also direct, you are running two VAT treatments in parallel and you should be able to show which is which for every order. Where Article 42Η(3) applies — an electronic interface facilitating distance sales of imported goods in consignments of intrinsic value not exceeding €150 — the platform is deemed to have received and supplied the goods, and the VAT on the consumer sale is theirs. Where it does not apply, it is yours. The reconciliation therefore has to happen at order level: the destination, the consignment value, the channel and whether the goods were imported or already inside the Union. Sellers who build that reporting once, at the point of setting the business up, spend a fraction of what sellers who reconstruct it later do. This is bookkeeping work rather than advice, and it is the part where a platform and a competent accountant genuinely earn their fee — our ICPAC-registered accounting partner does the VAT work; CyPRO One's job is making sure the data exists to do it from.
Deal with your foreign stock deliberately, including the call-off route
There is a recognised simplification for one specific pattern, and knowing it exists is worth more than a general worry. Article 42Γ(2Α) of the VAT Law requires a taxable person, in addition to the ordinary recapitulative statement information, to report the VAT identification numbers of the taxable persons for whom goods dispatched or transported under call-off stock arrangements are intended, in accordance with the VAT (Movements of Goods for Call-Off Stock) Regulations of 2020, and to report any subsequent change to information already submitted. Call-off stock is a narrow shape — goods moved to a known future acquirer — and it does not describe general fulfilment inventory sitting in a marketplace warehouse awaiting unknown consumer orders. There is also a second deemed-supplier rule that bites precisely on this pattern and is routinely confused with the €150 import one. Under Article 42ΣΤ(3), where a taxable person facilitates through an electronic interface the supply of goods within the Republic by a taxable person not established in the Republic to a non-taxable person, the facilitator is deemed to have received and supplied those goods — no €150 ceiling, because these goods are already inside the Union. Read across to your own position: a Cyprus company holding stock in a marketplace warehouse in another member state and selling it domestically there is a non-established supplier in that country, and the platform may well be the one accounting for the VAT. Work out which of these patterns you actually have before assuming any simplification applies, and settle the position in the destination country with a local adviser. What we can do from Cyprus is keep the Cyprus-side reporting correct and make sure nobody is surprised by the question during an audit.
Get customs registration in place before you ship outside the Union
Selling from Cyprus to customers outside the EU, or importing stock into Cyprus, puts you in front of the Department of Customs and Excise rather than only the Tax Department. A company that imports or exports registers with Customs and is issued an EORI number — the Economic Operators Registration and Identification number used across the Union — by submitting application form C.1000 to a district Customs office, with form C.1000D in addition where the applicant is not established in the customs territory of Cyprus. It is a short form and an unglamorous step, and it is also the step that strands a first shipment when nobody did it. Note that this sits alongside, not instead of, the VAT position: customs formalities and VAT treatment are separate systems that happen to concern the same parcel, and a business selling both inside and outside the Union will be dealing with both at once.
Check the audit threshold against turnover, not against profit
This one catches thin-margin sellers harder than any other audience, because the test that decides whether a Cyprus company must be audited does not look at what you earn. Section 152Α(1)(δ) of the Companies Law permits a review by a licensed auditor in place of a full audit only where net turnover and balance sheet total do not exceed €300,000 and €500,000 respectively at the balance sheet date, and have not exceeded those limits for at least two consecutive financial years. A reseller doing €400,000 of gross sales at a 6% margin has €24,000 of profit and is over the turnover limit; a consultancy earning the same profit is nowhere near it. Two refinements matter here. Net turnover for this test expressly includes income from rents, interest, dividends and royalties, so marketplace rebates and interest are not automatically outside it — check the classification rather than assume. And an inventory-heavy business can trip the €500,000 balance sheet limit on stock alone, independently of turnover. Two further points that catch sellers who have grown into a group. Paragraph (ε) of the same section bars a parent or a subsidiary within a consolidation group from using the review route at all, whatever its turnover — so putting a trading company under a holding company can cost you the option without changing a single number. And the €300,000 figure is recent: it replaced €200,000 on 6 February 2026, so which limit governs a particular financial year is a question for your auditor. Our ICPAC-registered accounting partner prepares the accounts and coordinates the audit or review; the financial statements are signed off by a licensed Cyprus auditor, never by CyPRO One.
This page is for information only
Nothing on this page constitutes legal or tax advice. Tax law is subject to change. The effect of any of it on your circumstances depends on where your customers are, where your stock is physically held, whether you sell direct or through a marketplace, and the value of each consignment. Always seek independent professional advice before making residency, structuring, or filing decisions based on this content.
Services referred to on this page are delivered through licensed Cyprus partners — a Cyprus Bar Association registered lawyer, an ICPAC-registered accounting firm, and/or a licensed Cyprus corporate services provider, as applicable. CyPRO One coordinates the engagement and acts as your single point of contact.
Frequently Asked Questions
Do I have to register for VAT in every country I sell to?
Not for the sales the one-stop-shop covers. Article 10(4)(α) of the VAT Law puts intra-Community distance sales where the transport to the customer ends, so the VAT is due at the customer's country and rate — but Article 42ΣΤ provides for a special scheme under which a taxable person belonging in the Republic can account for those supplies, supplies through facilitating electronic interfaces and services to consumers in other member states through a single registration instead of registering locally. The important caveat is that the scheme is a closed list. Transfers of your own stock between member states, and the local supplies that follow from holding stock in another country, sit outside it, and those are the situations where a local registration question genuinely arises. Our ICPAC-registered accounting partner handles the Cyprus registration and returns; a local adviser answers the local question.
What exactly is the €10,000 threshold, and can I rely on it?
Article 10(4Α) of the VAT Law lets you keep charging your own country's VAT on cross-border consumer sales, but only if three conditions hold together: you are established — or, absent establishment, resident or habitually resident — in one member state only; the goods go to a different member state; and the total of those supplies plus the total of the telecommunications, broadcasting and electronically supplied services in paragraph 18 of the Thirteenth Schedule stays at or below €10,000 both in the current calendar year and in the previous one. So it is a single Union-wide figure, it combines goods with digital services, and it looks back a year as well as forward. Under paragraph (β), the moment the limit is exceeded during a year, the destination rule applies from that point. Paragraph (γ) also lets a qualifying seller whose goods depart from Cyprus opt for destination taxation anyway — an election that binds for two calendar years, so make it deliberately.
Amazon says it collects the VAT. What is actually left for me to do?
Less than you might fear on some orders and exactly as much as before on others, which is why order-level reporting matters. Article 42Η(3) of the VAT Law provides that where a taxable person facilitates, through an electronic interface such as a marketplace, platform, portal or similar means, distance sales of goods imported from third territories or third countries in consignments of intrinsic value not exceeding €150, that person is deemed to have received and supplied those goods — so the platform accounts for the VAT on the consumer sale. That deeming is bounded: it turns on the goods being imported and on the €150 consignment value. Orders outside those bounds, and your own direct-to-consumer channel, remain yours to declare. Reconcile channel by channel rather than accepting a platform summary as your VAT return, and keep the consignment values in your data — they are the fact the whole rule turns on.
What is IOSS and when does the €150 limit bite?
The import one-stop-shop is the scheme in Article 42Η of the VAT Law for distance sales of goods imported from third territories or third countries, which Article 3Ε defines as goods dispatched or transported by the supplier, or on his behalf, from outside the Union to a customer in a member state. The €150 figure appears twice and it is worth separating the two. It is the intrinsic value ceiling for the deemed-supplier rule in 42Η(3). And Article 10(4)(γ) treats an imported distance sale into the member state where transport ends as supplied there only on condition that the VAT is declared under the article 42Η scheme, which is why the scheme is a place-of-supply condition rather than a filing preference. Above €150 you are in ordinary import territory, with import VAT and customs handling on the consignment. Splitting shipments to stay under the line is a pattern customs authorities look for.
I keep stock in a warehouse in another EU country. Does the one-stop-shop cover that?
No. Article 9(14Γ)(γ) of the VAT Law treats goods transferred by a taxable person to another member state for the purposes of his business as a transaction with its own time of supply — the earlier of the fifteenth day of the month following the supply or the date an invoice is issued — and that movement is not a distance sale, not a supply through an electronic interface and not a service, so it falls outside the categories the Article 42ΣΤ scheme is built for. What the arrival country requires of you is governed by that country's law and needs a local adviser, but the mechanism is the mirror of Cyprus's own Article 12Α, which charges VAT on an acquisition of goods from another member state made in the Republic by a taxable person in the course of its business — so expect a VAT registration in the country the stock lands in. Do not read that as a corporate tax problem by itself: a VAT registration and a taxable presence for direct tax are decided under different rules, and one does not automatically bring the other. Note also that this gap is scheduled to close — Council Directive (EU) 2025/516 adds a transfer-of-own-goods module to the Single VAT Registration pillar from 1 July 2028 on the European Commission's timetable. If your arrangement is genuinely call-off stock — goods moved for a known future acquirer — the VAT (Movements of Goods for Call-Off Stock) Regulations of 2020 apply and Article 42Γ(2Α) requires that acquirer's VAT number to be reported. General fulfilment inventory awaiting unknown consumer orders is not call-off stock.
What do I need in place to ship outside the EU from Cyprus?
A customs registration and an EORI number, obtained from the Department of Customs and Excise. The application is form C.1000, submitted to a district Customs office, with form C.1000D in addition where the applicant is not established in the customs territory of Cyprus. The EORI number is the identifier used across the Union for customs purposes, and you will need it before a declaration can be lodged in your company's name, whether you are exporting to customers or importing stock. Treat it as a separate workstream from VAT: customs and VAT are different systems with different registrations, and a company selling both inside and outside the Union will be operating in both. Plan the sequence around your first shipment rather than discovering the gap at the border, and remember that customs processing times are set by the authority and cannot be promised by us.
My store turns over €400,000 on thin margins. Will it need a full audit?
On those figures, yes — and the reason is that the test is a turnover test, not a profit test. Section 152Α(1)(δ) of the Companies Law allows a review engagement by a licensed auditor instead of a full audit only where net turnover and balance sheet total do not exceed €300,000 and €500,000 respectively at the balance sheet date and have not exceeded those limits for at least two consecutive financial years. €400,000 of sales is over the turnover limit regardless of what is left after cost of goods. Two things to check with your auditor: net turnover for this test expressly includes income from rents, interest, dividends and royalties, so some receipts you might not think of as sales can count; and a stock-heavy balance sheet can breach the €500,000 limit on its own. Paragraph (ε) of the same section also bars a parent or subsidiary within a consolidation group from using the review route at all, regardless of size. And note the €300,000 figure only replaced €200,000 on 6 February 2026, so earlier financial years may be tested against the lower one.
Is a Cyprus company actually a good base for an online store?
It is a reasonable one for a specific reason: it is an EU establishment with a Cyprus VAT number, which is what the one-stop-shop schemes in Articles 42ΣΤ and 42Η are built around, and the corporate rate is 15% from 2026. Registration for Cyprus VAT becomes compulsory once taxable transactions over the preceding twelve months exceed €15,600, or will exceed that within the next thirty days, and most sellers are past that long before the cross-border questions become interesting. What a Cyprus company does not do is make the destination-country questions disappear — foreign stock, local supplies and customs all still have to be answered where they arise. It is also not a decision to make purely on the rate: where the business is genuinely run from, and what your current tax authority will say about the move, matter more. Put that to a licensed Cyprus tax advisor before committing.
Sources
Every figure and rule on this page traces to a primary authority: the legislation, court decisions and official guidance cited below, linked so you can read the wording yourself. Check them rather than take our word for it.
Place of supply of goods and the €10,000 relief: Article 10 of the VAT Law 95(I)/2000 (consolidated). Subsection (4)(α) — for intra-Community distance sales of goods the place of supply is where the goods are located at the time dispatch or transport to the customer ends. Subsection (4)(γ) — for distance sales of goods imported from third territories or third countries into the member state where dispatch or transport to the customer ends, the place of supply is that member state, provided the VAT on those goods is declared under the special scheme in article 42Η. Subsection (4Α)(α) — subsection (4)(α) does not apply where the supplier is established (or, absent establishment, resident or habitually resident) in one member state only, the goods are dispatched to a different member state, and the total of those supplies together with the services in paragraph 18 of the Thirteenth Schedule does not exceed €10,000 during the calendar year concerned and did not exceed it during the previous calendar year; (4Α)(β) — once exceeded during a year, subsection (4)(α) applies from that moment; (4Α)(γ) — a right to opt for the destination rule, covering two calendar years.
https://www.cylaw.org/nomoi/enop/ind/2000_1_95/section-scd9105423-b320-85b2-d3b5-b5d67d7ad84b.htmlDefinition of "intra-Community distance sales of goods": Article 3Δ of the VAT Law — supplies of goods dispatched or transported by the supplier or by a person acting on his behalf, including where the supplier intervenes indirectly in the dispatch or transport, from a member state other than that in which dispatch or transport to the customer ends.
https://www.cylaw.org/nomoi/enop/ind/2000_1_95/section-sc9909fca4-2d0a-eed1-e0f0-e918964a68ef.htmlDefinition of "distance sales of goods imported from third territories or third countries": Article 3Ε of the VAT Law — supplies of goods dispatched or transported by the supplier or by a person acting on his behalf, including where the supplier intervenes indirectly, from a third territory or third country to a customer in a member state.
https://www.cylaw.org/nomoi/enop/ind/2000_1_95/section-sc49ac79b0-e4c5-b57b-f525-2078391fb268.htmlThe Union one-stop-shop scheme: Article 42ΣΤ of the VAT Law provides for Regulations creating a special scheme for taxable persons making distance sales of goods, supplies of goods within the Republic made through electronic interfaces that facilitate them, and supplies of services by taxable persons established in the Republic but not established in the member state of consumption, and allows a taxable person belonging in the Republic to opt to use it.
https://www.cylaw.org/nomoi/enop/ind/2000_1_95/section-sca3ed0e07-6f5c-b9c5-25b1-92ddfb3fd4d1.htmlThe import one-stop-shop and the marketplace deemed-supplier rule: Article 42Η of the VAT Law provides for Regulations creating a special scheme for distance sales of goods imported from third territories or third countries, and subsection (3) provides that where a taxable person facilitates, through the use of an electronic interface such as a marketplace, platform, portal or similar means, distance sales of goods imported from third territories or third countries in consignments of intrinsic value not exceeding one hundred and fifty euro (€150), that taxable person is deemed to have received and supplied those goods.
https://www.cylaw.org/nomoi/enop/ind/2000_1_95/section-scd2377112-e8db-974d-825f-71e3c8a812c6.htmlIntra-Community acquisitions, Cyprus's side of the mechanism a warehouse movement meets on arrival: Article 12Α of the VAT Law — VAT is charged on any acquisition of goods from another member state where the acquisition is a taxable acquisition made within the Republic, is not made pursuant to a taxable transaction, and the person making it is a taxable person; subsection (3) confines taxable acquisitions to goods acquired in the course or furtherance of a business carried on by the person acquiring them, where the supplier is a taxable person in another member state acting in the course or furtherance of his business.
https://www.cylaw.org/nomoi/enop/ind/2000_1_95/section-sc9fd276dd-6b29-b6fe-c586-e60bfbceff88.htmlThe second, intra-EU deemed-supplier rule: Article 42ΣΤ(3) of the VAT Law — where a taxable person facilitates, through the use of an electronic interface such as a marketplace, platform, portal or similar means, the supply of goods within the Republic by a taxable person not established within the Republic to a non-taxable person, that taxable person is deemed to have received and supplied the goods. Unlike the import rule in Article 42Η(3) it carries no €150 ceiling.
https://www.cylaw.org/nomoi/enop/ind/2000_1_95/section-sca3ed0e07-6f5c-b9c5-25b1-92ddfb3fd4d1.htmlA transfer-of-own-goods scheme is coming: European Commission, VAT in the Digital Age (ViDA) — the package was adopted on 11 March 2025 as Council Directive (EU) 2025/516, the Single VAT Registration pillar "introduced a transfer of own goods module", and "From July 1, 2028 … the Single VAT Registration reforms and mandatory reverse charge for non-identified suppliers will start."
https://taxation-customs.ec.europa.eu/taxation/vat/vat-digital-age-vida_enMovements of a business's own goods to another member state are a transaction with their own time of supply: Article 9(14Γ) of the VAT Law — where a supply of goods involves transport of goods from the Republic and either acquisition of those goods in another member state by the person liable for the VAT on the acquisition, or the goods being transferred by a taxable person to another member state for the purposes of his business, the transaction is treated as taking place on the earlier of the fifteenth day of the month following that in which the supply of the goods takes place, or the day an invoice for the transaction is issued.
https://www.cylaw.org/nomoi/enop/ind/2000_1_95/section-sc564de751-64c4-29d2-6843-88dc97b5d025.htmlCall-off stock reporting: Article 42Γ(2Α) of the VAT Law requires a taxable person, in addition to the recapitulative statement information in subsection (2), to submit information on the VAT identification numbers of the taxable persons for whom goods dispatched or transported under call-off stock arrangements are intended, in accordance with the VAT (Movements of Goods for Call-Off Stock) Regulations of 2020, and on any change to information already submitted.
https://www.cylaw.org/nomoi/enop/ind/2000_1_95/section-sc8c0e4ec5-9e6a-1a28-0fd0-4a092d223176.htmlCustoms registration and EORI: the Republic of Cyprus Department of Customs and Excise form C.1000, "Application for customs registration and provision of an EORI number", to be completed and submitted to the relevant district Customs offices; economic operators not established in the customs territory complete form C.1000D in addition.
https://www.businessincyprus.gov.cy/wp-content/uploads/2020/07/C.-1000-Customs-Registry-and-EORI-registration.pdfAudit or review: section 152Α(1)(δ) of the Companies Law Cap. 113 permits a review by a licensed auditor instead of an audit where net turnover and balance sheet total do not exceed €300,000 and €500,000 at the balance sheet date and have not exceeded those limits for at least two consecutive financial years, expressly provides that net turnover for this test includes income from rents, interest, dividends and royalties, and by paragraph (ε) bars a parent or subsidiary within a consolidation group from using the review route.
https://www.cylaw.org/nomoi/enop/ind/0_113/section-sc62f3ac5f-d986-1ddb-ccb7-9aab321f2147.htmlThe turnover limit was €200,000 before 6 February 2026: the Companies (Amending) Law of 2026, N.2(I)/2026, Official Gazette No. 5071 of 6 February 2026 — article 5 replaces "€200.000" with "€300.000" in section 152Α(1)(δ), and article 7(2) brings article 5 into force on publication in the Official Gazette.
https://www.cylaw.org/nomoi/arith/2026_1_002.pdfVAT registration is compulsory where taxable transactions over the preceding 12 months exceed €15,600 or will exceed that within the next 30 days.
https://www.businessincyprus.gov.cy/doing-business-in-cyprus/start-your-business/registering-for-income-tax-and-value-added-tax/Corporate income tax raised from 12.5% to 15% under the 2026 tax reform. Official Cyprus government tax reform page.
https://www.gov.cy/taxreform/forologika-ofeli-gia-epixeiriseis-nomika-proswpa/
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