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6 new measures by the Ministry of Finance to tackle the financial fallout of the Coronavirus Crisis

The Ministry of Finance of Cyprus announced 6 new measures to help the public deal with the financial fallout of the coronavirus crisis.


  1. Temporary suspension, until the end of April, for obligations to submit tax returns and payment of VAT*. * Provided that the taxable person pays the amount due of VAT until the 10th of November 2020, when total outflows in the last 12 months that they are preceded by the expiration of the specified tax period, have not exceeded the one million euros.

  2. Reduction of basic VAT, from 19% to 17% for a period of two months (1 April 2020 - 31 May 2020) and of VAT rate, from 9% to 7% for a period of three months (1 April 2020 -15 July 2020).

  3. Temporary preservation of contributions to the General Health System, with initial rates (from employees, employers, self-employed, income earners and the State as an employer and third parties), from 1 April 2020 to 31 May 2020. From March onwards the increased contributions will apply to all parties.

  4. Energy regulator Cera decided to reduce the price of electricity by 10% for two months as part of measures to tackle the fallout from the coronavirus.

  5. The state asset management company Kedipes has also decided to suspend all foreclosures procedures for three months.

  6. Extension for presenting supporting documentation for three months, for those that have already applied in the “ESTIA Scheme”.

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