Is e-invoicing implemented in Cyprus?

E-invoicing in Cyprus is partially implemented: it is mandatory for public authorities to receive electronic invoices in B2G transactions under Law 89(I)/2019, while B2B e-invoicing remains voluntary and based on mutual agreement. Businesses can use channels such as PEPPOL, the Ariadni platform, or third-party providers, with broader mandatory requirements expected in the future under the EU ViDA initiative.

As Cyprus continues its digital transformation, businesses and public entities are adapting to a mixed landscape of electronic invoicing (e-invoicing) rules.

The Current Rules: B2G vs. B2B:

·         Business-to-Government (B2G): While suppliers are not always forced to send electronic invoices, all public entities must be able to receive and process them. This is mandatory under Law 89(I)/2019.

·         Business-to-Business (B2B): Electronic invoicing remains voluntary. Companies can choose to send digital invoices via any method that is convenient, provided both parties agree.

·         Business-to-Customer (B2C): out of scope

For those working with government bodies, there are three primary channels for submission:

·         PEPPOL Network: An international network that allows for secure, standardized data exchange.

·         Ariadni Platform: The official Cypriot government portal.

·         Third-Party Providers: Specialized invoicing services

Regardless of whether an invoice is paper or digital, the legal requirements for its content remain the same under the Cypriot VAT Law (Tenth Schedule, Article 43). Every invoice must include:

·         Identification: Unique invoice number, supplier details, and customer details

·         Supply Details: Description of goods/services, date of supply, and date of issue.

·         Financials: The value of the supply, applicable VAT rates, and the total VAT amount.

·         Currency: While invoices can be issued in any currency, the VAT amount must be stated in Euros.

While there is no current mandate for B2B transactions, the European Union's "VAT in the Digital Age" (ViDA) initiative is expected to bring more structured requirements to all member states, including Cyprus, by 2030.