Transitional provisions: Businesses need to consider what relief may be provided in any transitional rules (expected to be issued) and take appropriate steps.
Under the GCC agreement, the VAT rate is stipulated by Article 25 and is not determined by local law or regulations. As such, a rate increase is to be agreed upon by the GCC member states and must be announced at least six months before implementation so that business and consumers can plan. The VAT increase in Saudi Arabia is only six weeks away.
Source: KPMG
