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Cyprus shoppers hit by new €3 tax on non-EU online orders

Cyprus Mail · 2026-06-15

AI SUMMARY

• What happened: Cyprus will implement a €3 tax on non-EU online orders starting July 1, 2026, affecting low-value imports up to €150, as part of an EU-wide customs reform. • Why it matters: This tax aims to enhance compliance with EU safety standards, protect consumers, and create a fair competitive environment for local retailers, addressing concerns over non-compliant low-value imports. • What to watch next: As the implementation date approaches, observe consumer reactions and adjustments from local businesses, as well as the effectiveness of the new regulations in improving compliance and safety in e-commerce.

**Cyprus Shoppers Face New €3 Tax on Non-EU Online Orders Starting July 2026**

Consumers in Cyprus will soon encounter a new tax on online purchases from outside the European Union, as the island nation joins an EU-wide initiative aimed at regulating low-value imports. Beginning on July 1, 2026, a flat fee of €3 will be applied to each item imported from non-EU countries, affecting all low-value consignments valued at up to €150. This change is part of a broader customs reform aimed at modernizing procedures and enhancing compliance with EU standards.

The announcement was made by both the European Commission and the local Customs Department, which stated that the new tax will replace the current duty exemption that has been in place until June 30, 2026. The €3 charge is intended to be a temporary measure, set to remain in effect until July 1, 2028, at which point standard customs duties will be applied based on the specific categories of goods.

This initiative is part of the EU's Customs Reform, which seeks to ensure greater fairness, safety, and sustainability in the e-commerce sector. The European Commission has highlighted concerns regarding the compliance of low-value e-commerce imports with EU safety standards. Reports indicate that a significant number of these imports have historically failed to meet necessary regulations, posing risks to consumers and creating an uneven playing field for local retailers.

In 2025, it was reported that nearly 5.9 billion low-value items were shipped directly from third countries to consumers within the EU without incurring customs duties. Inspections conducted across the 27 EU member states revealed that over 60% of checked items did not comply with EU standards, often due to missing safety documentation, the presence of forbidden ingredients, or incorrect labeling.

The introduction of the €3 tax aims to ensure that all businesses importing goods into the EU market are subject to the same duties and standards as local enterprises. This move is expected to bolster consumer protection and promote fair competition within the marketplace.

Furthermore, the new regulations will apply to distance sales of imported goods, with additional measures to enhance safety. Starting November 1, 2026, product identifiers will become mandatory, although sellers may voluntarily declare these identifiers beginning July 1, 2026.

Despite the new tax, the Customs Department of Cyprus has clarified that the exemption from duties and VAT will still apply to non-commercial gifts valued up to €45 sent between private individuals, provided that no payment is involved. The €3 duty will be calculated per distinct item and added to the taxable value for VAT purposes, meaning that the final consumer will ultimately bear this cost.

As the implementation date approaches, consumers and retailers alike are preparing for the changes. Local businesses may welcome the new regulations as a means to level the competitive landscape, while online shoppers will need to adjust to the additional costs associated with importing goods from outside the EU.

The upcoming changes reflect a significant shift in the EU's approach to e-commerce and customs regulation, aiming to create a safer and more equitable environment for all market participants.

Source: Cyprus Mail
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