Cyprus – Extension of 0% VAT rate on essential goods

November 18, 2025 EU VAT Update

In order to continue effective relief of cost of living of vulnerable households, the Council of Ministers approved a proposal to extend the 0% VAT rate on essential goods, which was due to expire in December 2025.

The 0% VAT rate will remain in place until December 2026 and will apply to the following:

  • baby Milk (in liquid form and powder),
  • baby diapers and adult diapers,
  • products for feminine hygiene protection,
  • vegetables fresh or chilled and fresh fruit.

The Ministry of Finance will annually review the developments in the prices of products from the application of a 0% VAT rate and the needs of households in order to submit corrective measures to the Council of Ministers by the end of each year.

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