New generation cash registers and the duty to accept card payments
Two developments in the Turkish Republic of Northern Cyprus directly affect retail and service businesses. This article summarises the new generation cash register requirement and the duty to accept card payments.
New generation payment recording devices
Under VAT Circular No. 14, all taxpayers required to use a payment recording device (cash register) had to switch to new generation devices from 1 January 2026. An approved list of brands and models was published on 2 January 2026. Old generation devices are being phased out.
The duty to accept card payments
According to the Tax Department's statement of 17 April 2026, businesses must accept payment by credit or debit card when a customer requests it. The obligation stems from the Bank Cards and Credit Cards Law.
Penalty for not issuing a receipt
Failing to issue a receipt or invoice is subject to a special irregularity penalty. Under Article 52 of the VAT Law, the penalty is a quarter of the minimum wage. Members of the public can report businesses that fail to issue a receipt or refuse card payment to the ALO 116 hotline.
Summary for businesses
| Item | Obligation |
|---|---|
| Cash register | New generation device from 1 January 2026 |
| Card payment | Must accept when the customer asks |
| Commission | If charged, refund with compensation |
| Receipt | Must be issued on every sale |
| Reporting line | ALO 116 |
Practical tip: brief till staff to issue a receipt on every sale and to accept card payment; the penalty exposure falls on the business.
Frequently asked questions
Can my business refuse card payment?
No. When a customer asks, you must accept payment by credit or debit card.
How much is the penalty for not issuing a receipt?
Under Article 52 of the VAT Law, it is a quarter of the minimum wage.
When did I need to switch to a new generation cash register?
For taxpayers required to use a payment recording device, the switch began on 1 January 2026.
Sources
This article is for general information; practice and amounts can change with legislation. Contact us for a compliance plan tailored to your business.