Cyprus has no car manufacturing facility and thus being an island, imports all its motorcars. Cyprus adopts the English rule in many areas having been previously part of the British Empire and under English rule, it is of no surprise therefore that Cyprus drives on the left as per the UK and Japan. So it is that 99.9% of all cars on the Island have been imported from the UK or Japan. Japan of course is not part of the EU and therefore considered a ‘3^rd Country’. The UK being part of the EU is clearly not a 3^rd Country. This means the free movement without any Import taxes or tariffs of goods, including of course motor vehicles, both old and new. It also means no import regulations can be demanded on cars from the UK, not so of course for Japan car imports. Cars from Japan are subject to 10% duty and 19% Vat, plus Import regulations for conformity testing.

This honeymoon may well be just about over of course with the on-going introduction of the pain of all our lives – Brexit. Good or bad for the UK is a different subject, but the impact for Cyprus car Imports and the Cyprus resident wishing to purchase a new or used car is a totally different story.

The current situation is the UK departs from the EU on 31^st Jan 2020, that is subject to change of course. There will undoubtably be a transition period as neither side is fully prepared to implement 3^rd Country regulations on February 1^st

This is highly likely to mean that upon full exit from the EU, cars from the UK entering Cyprus will be subject to 3^rd party regulations as per any other country outside the EU. This will mean (unless some magic deal is agreed on tariffs and Import regulations) that car Imports from the UK will be subject to 10% duty and 19% Vat on any imported car – and yes that is of course regardless if the duty and Vat having already been paid within the UK, that’s of no concern, benefit or interest to a EU member state. The cars will also be subject to 3^rd Country entry requirements and conformity testing.

Whilst the UK is still a member state of the EU, cars can be imported without penalties, so, as they keep saying – the clock is ticking!

• Algys Autos Imports Ltd offer full sourcing, purchasing, importing and Cyprus registration of any car you wish from the UK or Japan. See our Cyprus Car Import website or call for a no obligation chat. UK Freefone 0800 634 7576 or Cyprus 25 335046.
• Accurate as of 07^th December 2019 Cyprus Car Import website click Here

Algys Autos Imports Cyprus and UK Vat and Company Registered

The Cabinet of Ministers approved amendments to the law on vehicles, which introduce a new road tax for cars and vans with a high level of carbon dioxide emissions. The new road tax system applies to vehicles belonging to categories M1 and N1, i.e. cars with up to eight passenger seats, including the driver, as well as trucks weighing up to 3.5 tons, which will be registered in the Republic of Cyprus after the law enters into force, in early 2019. On the other vehicles, these changes do not apply. The new bill will cancel many concessions, which facilitated the registration of imported used cars. According to the new rules, the older the car and the greater the power of its engine, the higher the tax on the road. Owners of “young” cars will pay less. The new road tax will take into account combined-cycle CO2 emissions — euro per gram per kilometer. Road tax for larger categories of vehicles will be calculated depending on the level of emissions of pollutants, engine category and age of the car. That is, the owner will have to pay an additional tax together with the annual toll (from 0 to 400 euros per year) based on the engine category (Euro 3, Euro 4, Euro 5 or Euro 6).

For 120 gr / km the tax will be € 0.50 per g / km, or € 60; between 120 and 150 – € 3;  and from 150 to 180 – € 6; more than 180 – € 12. At the same time, according to the new bill, the annual road tax can not exceed € 1500. The road tax levied on used vehicles imported after the entry into force of the law will also include additional fees depending on their age: ▪ for used cars up to a year no fee is charged; ▪ from year to two – € 0 for diesel and € 100 for gasoline; ▪ from two to three years – € 50 for diesel and € 200 for gasoline; ▪ from three to four years – € 100 for diesel and 300 for gasoline; ▪ from four to five years – € 250 for diesel and 500 for gasoline; ▪ from five to eight – € 500 for diesel and 1000 for gasoline; ▪ from eight to ten – € 750 for diesel and 1,500 for petrol; ▪ for cars that are more than ten years old – € 1,000 for diesel and 2,000 for petrol.

In short Cyprus road tax is about to get mush more expensive from early 2019 for cars being registered in Cyprus for the first time.

Brexit

The law after 29 march 2019 may also change with regard to the importation and registration into Cyprus of cars from the UK. To what extent it is impossible to say at the moment but this is something you need to very seriously consider. It may mean some cars simply cannot be registred in Cyprus that are imported from the UK, so please check in advance. You are most welcome to call Algys Autos in Cyprus at the Limassol Office on 25 335046 or email them:  sales@algysautos-cyprus.com