2022 Budget: VAT rate charged on supplies of financial services to 15%, scope of VAT exemptions is amended

The VAT rate charged on supplies of financial services by financial institutions is temporarily increased from 15% to 18% from 1 January 2022 to 31 December 2022; and
The scope of VAT exemptions is amended from 1 January 2022 to provide an exemption on the import of medical equipment, machinery, apparatus, accessories, and parts thereof, and hospital furniture, drugs, and chemicals donated to a government hospital or the Ministry of Health for the provision of health services to address any pandemic or public health emergency.

Exemption Rate