Fiscal Representative in Cyprus

Below, we invite you to discover how a Cypriot fiscal representative can help and the services they can provide. You can rely on our Cypriot company formation agents for such a solution.

What is a fiscal representative?

A fiscal representative is an agent appointed for the management of VAT obligations in Cyprus. The agent can be a natural person or a company.

What services are provided by a fiscal representative in Cyprus?

Among the services a fiscal representative in Cyprus can offer are:

• tax and VAT registration for newly incorporated companies, no matter if they are local or foreign-owned;
• filing VAT declarations in Cyprus, but also in other countries where the company supplies VAT-taxable goods and/or services;
• support in filing financial statements and VAT returns;
• assistance in enrolling in the EORI system;
• claiming VAT refunds in Cyprus;
• filing for VAT exemptions;
• acting as a liaison between a company and the Cypriot tax authorities.

If you want to start a company in Cyprus and need assistance, you can rely on our local specialists for various services in relation to this procedure.

Here is also an infographic on this subject:

Is the appointment of a fiscal representative mandatory in Cyprus?

Only for non-EU businesses with operations in Cyprus.

IMPORTANT! UK companies are also required to appoint fiscal agents in Cyprus, as the country has exited the European Union.

Can I appoint a fiscal representative if I have a Cypriot or an EU company?

Yes, you can appoint such a representative optionally.

Can I appoint a Cypriot fiscal agent as a natural person?

Yes, you can do that if you engage in VAT-taxable activities, if you are a sole trader, for example.

How do I choose and appoint a fiscal representative in Cyprus?

Accountants are usually the ones to provide fiscal representation in Cyprus, and their appointment is based on a set of documents.

What documents must I prepare to appoint a Cypriot fiscal agent?

The following:

• an appointment letter;
• a power of attorney;
• the details of the fiscal agent;
• the company’s Certificate of Registration or your passport, if you are a natural person.

NOTE: Fiscal representatives ask for security deposits, as they are liable for the VAT obligations of clients. In this case, the proof of the security deposit must also be submitted when appointing the fiscal agent.

Are VAT-related services the only solutions a Cypriot fiscal agent can offer?

No, you can hire a fiscal agent for other tax-related matters as well. However, the primary role of the representative is related to registration, payment, and reporting for VAT purposes.

Here is also our video on this topic:

What are the advantages of working with a Cypriot fiscal representative?

Here are some of them:

• the service is usually provided by an accountant who is registered with the Institute of Certified Public Accountants in Cyprus;
• the appointment is easy, implying a contract between the client and the service provider;
• it is a cheaper alternative to setting up a subsidiary or branch if you have an e-commerce company, for example;
• the agent can also handle other tax-related issues, not just those related to VAT compliance;
• such an agent can also be used by EU companies, as there are no restrictions.

Can I appoint a tax agent instead of a fiscal representative in Cyprus?

No, as there is a difference between the two service providers: the fiscal representative is held liable for the VAT obligations of its clients, while the tax agent is not. So, it is important to understand the service you contract when it comes to tax requirements in Cyprus.

If you need fiscal representation in Cyprus, please contact our specialists for support.