Cyprus – Obligation of companies to also accept payments by cards

By: P. Constantinou & Co 

The Council of Ministers approved a Decree obliging companies operating in the service and retail sector to accept card payments in the future.

The government hopes to help combat tax evasion, safeguard public revenues, strengthen civil protection, and facilitate better services provided to citizens and businesses.

Businesses are required to comply and take the necessary steps to adopt this new means of accepting payments within three months of the date of publication of the Decree and to inform their consumers and customers accordingly.

Newly registered companies (which will be registered after the publication of the Decree) must comply within four months, while companies that will start operating or change after the expiration of the three-month period, must comply within one month from the start or change of their activities.

Activities (businesses) that are obliged to also accept card payments

Among other industries and sectors, the following companies and business activities will be required to also accept card payments:

Businesses provide accounting, bookkeeping and auditing services, tax advisors, architects, engineers, gyms, hairdressers, barbershops, beauty salons, gambling establishments, doctors (medical services in general), lawyers, and everyone offering education services of all levels.

Exceptions

Exempted from the obligation to accept card payments are companies that operate in the following sectors: Processing, electricity providers, water suppliers, transportation, and information and communication (publishing, film production, broadcasting, computer programmers).

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