The Cyprus Tax Department has issued two notices dated 5 January 2020 regarding the DAC6 reporting requirements for cross-border arrangements.
The first notice provides general guidance on the DAC6 reporting requirements, including the general rules for reportable cross-border arrangements, the hallmarks, etc. The guidance also includes the information to be reported, including identification of the intermediaries and taxpayers, details on why an arrangement is reportable, a summary of the arrangement, etc. Initial deadlines are also provided, which are in line with a prior notice on extended deadlines as follows:
When required, information on reportable cross-border arrangements is to be submitted using the Government Gateway Portal Ariadni, which involves using the online DAC6 service to upload an XML file. Further information on using the service is provided at the following link.
The second notice concerns registration specifically, including that intermediaries and taxpayers may now register for DAC6 reporting via the Ariadni portal. Once registered, required XML files may be submitted. It is further noted that because the directive for DAC6 has not yet been transposed into Cyprus domestic law the submission of DAC6 information will be voluntary until the required legislation is adopted and the requirements become mandatory. According to the first notice, the required legislation is expected to be adopted before the end of January 2021 (i.e., before the first deadline).
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