Effective on the 1st of January 2018, UAE will be levying VAT at the rate of 5%. There will be no delay of the implementation for any business and no companies are exempted from VAT in UAE. It was confirmed by Minister Obaid Humaid Al Tayer during a session of the Federal National Council (FNC), held in its headquarters.
VAT, as a general consumption tax, will apply to the majority of transactions in goods and services. A limited number of exemptions may be granted.
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