VAT refers to Value Added Tax. It is being introduced in the Abu dhabi starting 2018. AGX auditors foremost objective is to guide business entities focus on their core business development and leave the entire support and VAT accounting in Abu dhabi services to us and we will stand with them as Partners in Success
What is VAT?
Value Added Tax (VAT) is a consumption tax applied on a good as its value is increased each stage of its production or distribution. It is an indirect tax that is related to a taxpayer’s consumption and not their income. VAT is applicable in more than 160 countries.
When Will VAT Come into Effect?
VAT, at the rate of 5%, shall be introduced in the UAE and other GCC countries from 1 January 2018. Businesses can start registering for VAT three months before the launch date (1 October 2017).
What Shall Be Taxed?
VAT would be applicable to non-essential consumer goods. Anything apart from basic food and essential commodities would fall in this taxable bracket. This would include automobiles, electronics, jewellery, restaurant services, and entertainment.
What Will Be Exempt from VAT?
The Government of UAE has stated that about items in about 100 categories like food, education, health, bicycle, fuel, transport and social services would be exempted from VAT.
For more details please call us- +97150-2981990, +9714-2598985