Indirect Tax Briefing
On 30 September 2026, the Council of Ministers approved the temporary application of the zero VAT rate to certain essential goods under Decree Ê. Ä. Ð. 354/2026.
The zero VAT rate applies to the following goods for the periods set out below:
From 1 October 2026 to 31 May 2027
- Fresh, chilled or frozen meat and edible meat offal.
- Fresh, chilled or frozen fish as well as cuttlefish, squid and octopus
From 12 October 2026 to 31 May 2027
- Bread
- Milk
- Coffee
- Sugar
- Baby food
For further details on the goods covered, please refer to the relevant announcement issued by the Cyprus Tax Department, available here: ΦΠΑ ΣΕ ΒΑΣΙΚΑ ΕΙΔΗopens in a new tab
Stock count requirements
Under Regulation Ê.Ä.Ð. 259/2004, taxable persons are required to carry out a stock count of the affected goods when the applicable VAT rate changes. The stock count must be carried out on the day preceding the effective date of the change and must record both the quantities and the corresponding value of the goods held.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
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