UAE VAT Implementation and Planning Issues

The downfall in the price of oil has made the nations whose main businesses were revolving around oil business. The revenues generated has been forced to be altered as the gross domestic product(GDP) is dependent on the revenue generated. The only need of VAT in UAE to fill the void due to the lost oil revenue.

Everything About UAE VAT implementation plan

UAE  implication the VAT  is going to impact the nation and its citizens? Here are some highlighting facts that you must know about the upcoming tax regime in UAE:

  1. VAT has been implemented in UAE from January 1, 2018
  2. After implementation, the initial rate is 5 percent
  3. Education, healthcare, and social services have been exempted from VAT
  4. Staple food materials have also be exempted from VAT
  5. The government expects revenue generation from VAT in the range in between Dh10 billion to Dh12 billion in the first year of implementation
  6. The introduction of VAT has done across major GCC region and has not be limited to UAE only
  7. The retail sector has been provided support and the government has ensured that low-income earners don’t fall into a burden
  8. This implementation is crucial for forming a stable economy which was quite missing in the oil revenue

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