VALUE ADDED TAX (VAT)

To reduce their dependence on oil and other hydrocarbon products as a source of revenue,GCC (Gulf Co-operation Council) countries have agreed ‘in principle’ to the GCC VAT Agreement to levy VAT (Value Added Tax) in the region. VAT is being introduced as a part of UAE's visionary steps towards a non oil reliant economy. It is going to be a part of business culture. 

​​​

VAT, as a general consumption tax, will apply to the majority of transactions of goods and services unless specifically exempted or excepted by law. VAT will be introduced across the UAE on 1 January 2018 at a standard rate of 5%.

​