Subject : Implementation of VAT in UAE from January 1, 2018
The UAE Ministry of Finance has recently published the Executive regulation for the Federal Decree Law No. (8) on Value Added Tax (“VAT”). The regulation defines VAT as the 5% tax imposed on the import and supply of goods and services at each stage of production and distribution, included what is a deemed supply with the exception of specific supplies subject to zero rate and what is exempted as specified in the decree law.
The UAE VAT implementation date is confirmed from Janaury 1st 2018, all business impacted VAT need to ensure they are ready to comply with the UAE VAT requirements by this date.
We would like to inform you that we are going to charge 5% VAT from January 2018 onwards according to VAT law. We would like thank you in advance for your usual cooperation in this matter.