Construction,
specific rules.

In the construction sector, when a contractor provides services to another contractor (subcontracting), VAT is not charged by the supplier, it is self-assessed by the buyer. This means the invoice is issued without VAT and the client must self-assess the tax in their periodic return.

This rule applies exclusively to construction services between VAT-registered entities. Correct application avoids errors that can result in significant Tax Authority penalties.

Payments to construction subcontractors are subject to CIT withholding at 11.5%. This amount is withheld by the main contractor and remitted to the State on behalf of the subcontractor, and is later deducted from the subcontractor's annual CIT liability.

Subcontractors with a withholding exemption certificate (issued by the Tax Authority) can receive payment without withholding. We handle the obtaining and renewal of these certificates.

IMPIC building licence renewal requires demonstration of technical and financial capacity. From a financial perspective, minimum share capital (varying by licence level), regularised tax and contribution status (Tax Authority and Social Security certificates) and accounts certified by a Statutory Auditor for larger licences are required.

We prepare all necessary financial documentation and coordinate the renewal process.

No. Participation in public tenders requires submission of Tax Authority and Social Security clearance certificates. Outstanding debts prevent participation. Certificates have limited validity and must be regularly renewed.

For clients who regularly participate in public tenders, we proactively monitor their tax and contribution status to ensure certificates are always available.