The year 2018 witnessed a change in the Taxation laws in the UAE. Over 150 countries have implemented VAT to raise revenue, while the UAE did the same to increase its overall revenue. This blog will shed light on the vital aspects of VAT in the UAE.
Value Added Tax, aka VAT, came into force on the 1st of January 2018. The VAT rate as per the VAT Law in UAE is 5%, and the rate is levied upon the supplied goods and services.
VAT is an indirect tax known as a Consumption Tax or Good and Services Tax (GST) in different parts. Value Added Tax in UAE is at each stage of the supply chain while the end consumer bears VAT’s burden. On the other hand, businesses act as agents to collect and account for taxes on the government’s behalf.
Source nrdoshi.ae
