KDV (Vat)

millzer


Joined: 12/04/2007
Posts: 978

Message Posted:
30/04/2008 01:18

Can anyone tell me how KDV works in the TRNC?



Is it paid within the purchase price by the purchaser of the goods with the seller passing on this part of the payment to the Tax man, and the sellar then being able to claim back the VAT on goods and services THEY purchase?



Does the reciever of monies paid for a service have to take 15% off the amount recieved for VAT from the total amount recieved, and do they have any way of claiming that VAT back? I'm thinking in terms of a management company recieving management fees and taking 15% off of monies recieved to pay to the tax man! Is this how it works?



Ta



Hope i've made myself clear...or maybe not!

elko2



Joined: 24/07/2007
Posts: 4400

Message Posted:
30/04/2008 07:23

Perfectly clear and it works as you described except that since Juky 2007 the general rate for VAT went up from 15% to 16%.

ismet