This week the UAE’s President has issued the Federal VAT Decree-Law (Federal Decree-Law No. 8/2017) so we focus on this tax development in this issue. We have requested this Law as a priority from our Publishing Partners, SADER Legal Publishing. We will keep you updated as and when this Law is Gazetted and when it is available on our service.
We have been pleased to add commentary from Clyde & Co and Arendt & Medernach on this latest development. Clyde & Co’s analysis can be found here: http://www.lexismiddleeast.com/doc/2506361_2506370 while Arendt & Medernach’s analysis can be found here: http://www.lexismiddleeast.com/doc/2506689_2506691?highlight=Arendt+%26+Medernach These articles join over fifty articles we have published this year on this prospective development which is now becoming a reality.
From 1 January 2018, the 5% tax will be imposed on the import and supply of goods and services at each stage of production and distribution. It includes what is considered a supply and specifies the goods and services which will be zero-rated as well as the exceptions. The tax imposed will be the responsibility of a Taxable Person who makes taxable supplies or what is considered to be a supply or on import.