Introduction of VAT for 2018

Introduction of VAT for 2018

United Arab Emirates

On 23rd August 2017, the President of United Arab Emirates, His Highness Sheikh Khalifa bin Zayed Al Nahyan, has issued the Federal Decree-Law No. 8 of 2017 for Value-Added Tax (the VAT Law).

In line with Articles 3 and 85 of the VAT Law, VAT will be effective as of 1st January 2018 at a rate of 5%.

The VAT will be applied to certain transactions. The list of taxable transactions will be provided in due course by the Federal Tax Authority.

Please refer to www.tax.gov.ae if you would like to know more about how VAT will affect your business.”

Kingdom of Saudi Arabia

On 4/11/1438H, the Kingdom of Saudi Arabia’s Minister of Finance Mr. Mohammed bin Abdulla Al-Jadaan, has officially approved and published the VAT Law.

In line with Articles 25 of The Unified Agreement for Value Added Tax (VAT) Law of the GCC, VAT will be effective at a rate of 5%.

The VAT will be applied to certain transactions from 1st January 2018 (14/4/1439H). The list of taxable transactions will be provided in due course by the General Authority of Zakat and Tax.

Please refer to www.vat.gov.sa if you would like to know more about how VAT will affect your business.”

Click here to view the VAT Registration certificate UAE

Click here to view the VAT Registration certificate KSA