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12.1. VAT on the Supply of Goods by Non-Residents

The supply of goods by a non-resident having a place of business is subject to VAT in Cape Verde.

All non-resident companies without a place of business in Cape Verde and supplying goods to customers in Cape Verde are required to appoint a VAT representative in Cape Verde. The representative and the non-resident have joint liability for the non-resident’s tax obligations. Failure to appoint a representative may result in the resident customer being held liable for payment of VAT by application of a reverse-charge mechanism.

COVID-19 Emergency Measures

In response to the COVID-19 pandemic, Cape Verde provided VAT exemption on the following supplies of goods by non-residents that are imported by residents in Cape Verde:

  • Effective 1 April 2020, import of medical devices and personal protective equipment and other goods related to COVID-19 pandemic;
  • Effective 12 August 2020, import of machinery and material for the preparation of premises to cope with sanitation rules of COVID-19 pandemic;
  • Import of laptops, desktops, and tablets by educational and promotional institutions;
  • Import of submarine fiber optic cables and materials for the implementation of the EllaLink projects and other projects for submarine cable connections; and
  • Import of materials and equipment for the maintenance, construction, or renovation of sports facilities.