The announcement of the Department
Exemption from turnover tax and excise duty is granted for fuel contained in fuel tanks carried by motor vehicles for private use and for a quantity of fuel supplied in a portable container not exceeding 10 litres, says the Customs Department in its announcement on the transport of fuel from the occupied to the free areas of the Republic of Cyprus.
He also notes that the exemption from turnover tax and excise tax is granted on the condition that the fuel is not of a commercial nature. The fuel is considered to be non-commercial provided that, among other things, it is transported occasionally and not systematically, it added.
The announcement refers to the implementation provisions of the Green Line Regulation (EC) no. 866/2004 in relation to the movement of goods through the approved crossing points from the occupied to the free areas of the Republic of Cyprus following relevant publications in the M.M.E. and in M.K.D.
Note that the general references of the publications to the applicable EU legislation. on exemptions are found in articles 6 and 11 of Directive 74/2007 of the Council of Europe and concern the exemptions from VAT and consumption taxes of goods imported by persons traveling from a third country to the EU. and they certainly do not apply to goods carried by persons crossing the Green Line through approved crossing points from areas of the Republic of Cyprus where effective control is not exercised to areas of the Republic of Cyprus where such control is exercised, since the whole of Cyprus is part of the European Union, with the suspension of the application of EU legislation in the part of the island where the government of the Republic of Cyprus does not exercise substantial control, in accordance with protocol no. 10 of the 2003 Act of Accession.
“The Customs Department is the custodian of the purpose for which the Green Line Regulations have been established and faithfully implements their provisions with the sole purpose of suppressing smuggling, ensuring equal protection and security in the territory of the EU as well as dealing with threats to public order and its economic interests”, the statement underlines.
As noted, according to the introductory provisions of the Green Line Regulation: “…Given that the aforementioned line is not an external border of the European Union, it is necessary to establish special rules for the passage of goods, services and persons through the line, the and the main authority for the adoption of the said rules belongs to the Republic of Cyprus. Given that the above-mentioned areas are temporarily outside the customs and fiscal territory of the Community and outside the area of freedom, justice and security, the specific rules should ensure an equivalent level of protection of EU security in relation to illegal immigration and threats to public order and of its financial interests as they relate to the circulation of goods”.
“Furthermore, in accordance with the preamble of the Green Line Regulation, the regulation aims to facilitate trade and other links between the above-mentioned areas and the areas under the effective control of the Government of the Republic of Cyprus, while ensuring that the appropriate levels of protection in accordance with the above”, it is added.
It is further clarified that in the Regulation, in the definitions, article 1 provides: “The reference by this regulation to areas that are outside the effective control of the government of the Republic of Cyprus it is a reference to areas within the Republic of Cyprus only.”
Regarding the crossing of persons and the carrying out of checks on persons, the Regulation, in article 2, provides that “the Republic of Cyprus shall carry out checks on all persons who cross the line, with the aim of combating the illegal immigration of third country nationals and identifying and preventing any threat to public safety and order. These checks also concern the vehicles and objects in the possession of the persons crossing the line”.
According to the provisions of Article 6, Par. 1 of the Green Line Regulation: “Council Directive 69/169/EEC of May 28, 1969, on the harmonization of legislative, regulatory and administrative provisions concerning turnover tax deductions and the duties payable on importation in the context of the international movement of passengers (1) and Regulation (EEC) No 918/83 of the Council of 28 March 1983 establishing the Community system of customs defects (2) do not apply, but goods contained in the personal luggage of persons crossing the line are exempt from turnover tax and excise duty under provided that they are not of a commercial nature and that their total value does not exceed EUR 260 per person.”
It is also added that, according to EU Law, fuel is not considered personal luggage. Exemption from turnover tax and excise duty is granted for fuel contained in fuel tanks carried by motor vehicles for private use and for a quantity of fuel supplied in a portable container not exceeding 10 litres. Exemption from turnover tax and excise tax is granted on the condition that the fuel is not of a commercial nature. Fuel is considered to be non-commercial provided that, among other things, it is transported occasionally and not systematically.
