Cyprus reduced the VAT rate for the construction and renovation of buildings used for VAT-exempt educational purposes.
Cyprus has implemented a 5% VAT rate for the construction and renovation of buildings used for VAT-exempt educational purposes, covering both labour and materials under Decree No. 364/2025.
This applies to public schools, registered private schools, private tertiary colleges, and other training organisations recognised by the Tax Commissioner, while private tutoring centres and extracurricular schools are excluded.
The measure applies from 5 December 2025.
