- Updated VATP040 clarifies treatment of mixed and composite supplies under UAE VAT Law.
- Defines “principal” and “ancillary” supplies with practical examples.
- Bundled services must follow the VAT rate of the main (principal) supply.
- Introduces a new threshold test to determine the dominant supply.
- Updated FTA guidance on invoicing for composite supplies; correct classification is crucial to apply the right tax rate.
Source: acme-group.me
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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