Cyprus tax refund (Vat Refund)

General information about V. A. T. Refund in Cyprus

The tax refund system for purchases or V. A. T. Refund, or as it is sometimes called Tax Free, allows tourists to return part of the cost paid for goods. In Cyprus, the amount of tax in the value of goods returned to tourists is 19% (in 2021).

In general, the tax refund scheme looks something like this: you buy things in Cyprus in certain stores, collect checks and specially filled out forms there, and then when you leave the country, go to the counter at the airport, where they will check the documents and things themselves, and make a tax refund from the amount of all purchases on checks to a bank card or cash.

For more information on how to use this system and save on purchases in Cyprus, read our instructions:

Conditions to take advantage of tax refund in Cyprus

Unfortunately, not all purchases can be returned tax, there are certain conditions. Here they are:

• The purchased item must be intended for export from the country, and not for use in Cyprus.
• The purchased item must be exported not just outside Cyprus, but outside the European Union.
• The purchased item must be new, in packaging and with tags. Its integrity and presence will be checked at customs control at departure to make sure that you really take it out.
• The item must be purchased no earlier than 30 days before departure.
• The tax refund does not apply to food.
• You (the buyer) are not a citizen of the European Union. Citizenship is established simply upon presentation of a foreign passport.
• The purchase must be made in a store connected to the tax refund system. Such stores are marked with appropriate signs or stickers "Shop Tax Free / VAT Refund", or you can just check with the seller. By the way, there are a lot of such stores.
• The purchase must be made in the territory of the Republic of Cyprus, there are no such stores in Northern Cyprus.
• The purchase amount in one store must be at least 50 euros (58.19 see money in Cyprus and exchange rate), including those made at different times and on different checks. Of course, you can make as many purchases as you like in different stores for at least 50 euros each, the tax will be refunded for everything.

Also remember the restrictions that are available for entry into your country, because the import of goods to the homeland is also set limits. For example, in the Russian Federation it is allowed to import items worth no more than 10,000 euros and a total weight of no more than 50 kg., and there are additional restrictions on certain categories of goods: alcohol, tobacco, food. See Russian customs regulations for tourists here.

How to buy to take advantage of tax refund in Cyprus

So, as we mentioned, purchases should be made only in stores connected to the "Shop Tax Free / VAT Refund" system, and in the amount of at least 50 euros. It can be several checks on different days.

At the checkout of such a store, you need to present your passport and say that you want to use the tax refund. You will be given a form (Tax Free Form) that the seller will fill out and help you fill out the buyer's part. A check is attached to the form. Collect these forms with checks, they will need to be presented when leaving the country.

How to apply for a tax refund in Cyprus

The classic way to refund tax by tourists is to contact the counter at the airport yourself, and we recommend using them. But there is another way – it is to contact specialized firms at resorts during the holiday, which provide a refund as a service. True, for their services they take a considerable commission, because of which you will lose about half the cost, so we do not recommend this method.

• Return by yourself at the airport

  Despite the apparent complexity, in fact everything is simple, and there will be no difficulties, even if you do not speak a foreign language. The airport and shops have instructions in different languages on how to do it all. If you did not find such an instruction, then this is how it is done:

  Before flying home at the departure airport (this could be Larnaca or Paphos International Airport) you need to contact a special customs counter designated Vat refund. It is easy to find them: they are located in the departure hall in the area of the check-in counters for the flight, and they have signs at the airport. They work around the clock, but if there is no one at the counter, you just need to wait or ask the airport staff to find a customs officer.

  Attention! Approach the Vat refund customs desk before check-in and baggage check-in.

  At the counter, you must present the completed forms collected in the stores and the checks attached to them, air tickets (printout of the boarding pass), passport and the goods themselves. The product must be new, packed in the factory packaging, and with tags. This is necessary for the customs officer to make sure that you really waxed the goods, and not "muddle" with checks and purchases. In practice, not all goods are checked and not at all, but it is better not to take risks. The officer will check the documents and goods, and put stamps on the forms.

  Life Hack How to avoid the queue at Larnaca airport. If at the Vat refund counter Larnaca airport if a large queue has gathered, you can use the automatic rack. You need to scan her passport, and then sequentially all the checks from purchases, and that's it. However, for some purchases, the counter may still "send" you to the customs officer through the red customs corridor to check the availability of goods.

  Then you can follow the check-in for the flight and baggage check-in. Things for which a refund is made can be checked in luggage, or you can take them in hand luggage, it does not matter.

  After check-in, follow the boarding, and near the exit passport control counters you will see another Vat refund counter, where you again need to apply with documents already final to receive money. They can be received in cash with withholding Commission, or on a bank card without Commission. To return to a bank card, you will need to present a registered embossment card with a validity period of at least 3 months. This means that your name should be indicated on it in the form of convex letters, and not just painted. Unnamed cards and without convex letters are not accepted. Money on the card is not returned immediately, but within a week.

  If the counter near the exit passport control is absent or will not work, which happens at night, then you can drop the envelope with the documents into the VAR Refund box, or send a letter from home to the address indicated in the booklet-memo, which will be given to you when buying. Usually in this case, the money is credited to the card for up to two months. All instructions and addresses for sending the envelope, and the envelope itself are issued on request when purchasing the goods.

• Tax refund in Cyprus resorts

  In the resorts of Cyprus there are specialized firms that allow you to return the tax from the purchase immediately during the holiday, without waiting for departure from the country. But for their services, they will withhold almost half of the amount due to you. If this does not bother, you can find a list of such companies and their coordinates on the booklet about the tax refund, or just ask in the store.

  In these firms, you need to submit checks and completed forms, a passport, and a bank card. However, when leaving the country, you will also have to present the purchased items in the factory packaging at the counter. If this is not done, then the returned tax and an additional fine will be withheld from your card. So this does not simplify the return procedure, but simply allows you to do it faster, but for a considerable Commission.