News developments Archives - Page 220 of 239

Saudi Arabia: Tax Authority Publishes English Version of General VAT Guidelines

24/11/201811/12/2019
by Benjamin Filaferro

Saudi Arabia’s General Authority for Zakat and Tax has published the English version of its general VAT guide, which was originally published in Arabic in October. The guide provides information to taxpayers on a wide variety of VAT obligations in the Kingdom. It covers topics such as VAT registration, charging VAT and issuing VAT invoices, deducting VAT on purchases, filing returns and interacting with the Authority on VAT matters and disputes. It also includes useful reference material, such as a tax invoice example, definitions of technical VAT terms, an illustrative VAT return form and a high-level decision tree for when VAT is expected to be applied. The guide is aimed at a broad audience and offers a good starting point for all taxpayers with respect to understanding VAT compliance obligations.

Saudi Arabia: Women Can be Arbitrators

17/11/201811/12/2019
by Benjamin Filaferro

The undersecretary of Saudi Arabia’s Justice Ministry and Chairman of the Appeal Court has said there is nothing which prevents women from becoming arbitrators. He was speaking during a seminar on commercial arbitration organised by Riyadh Chamber. He added mediation and arbitration should be encouraged for family disputes and said women can be commercial arbitrators but called for there to be better training of arbitrators in general. He went on to say better arbitration procedures should also be introduced to boost integrity and transparency.

Egypt: Social Media Advert Tax Law Under Consideration

17/11/201811/12/2019
by Benjamin Filaferro

Egypt’s Finance Minister has announced a draft public finances law and a law on taxing advertising on social media sites are under considerations. The proposed legislative developments are part of a wider initiative, including amendments to the country’s 2005 Income Tax Law, Egypt Law No. 91/2005. The draft social media law will impose taxes on adverts displayed on social media. The Minister mentioned Facebook specifically as a platform where adverts can be placed without sufficient control. He also said the Government will send a draft customs law to the House of Representatives in the coming weeks to consider.

Egypt: Proposal to Grant Residency to Foreigners Who Purchase Property Under Consideration

10/11/201811/12/2019
by Benjamin Filaferro

Egypt’s Housing Ministry has announced criteria for granting residency to foreigners who purchase residential units under construction are being considered. The Ministry said residency will be granted to owners of units who purchase them in US Dollars, provided the minimum payment for a unit is 40% of its price or at least $100,000 and the period of construction of the property does not exceed four years. The Ministry added the passport department is responsible for determining the length of stay, according to the transfer amount. The Ministry added that in terms of constructed residential units, residence will be granted in line with the law and an Interior Ministry Decision to this effect.

Saudi Arabia: VAT Registration Deadline for Small and Medium Sized Enterprises Looming

10/11/201811/12/2019
by Benjamin Filaferro

The Saudi Arabian authorities have provided a transitional concession to SMEs who exceed the mandatory threshold of 375,000 Riyals for VAT registration purposes, but make supplies of less than 1,000,000 Riyals in a 12 month period by delaying their need to register for VAT until 1 January 2019. However this extension is rapidly drawing to a close and affected SMEs now need to focus on addressing the requirement to become VAT compliant.

UAE: VAT Tourist Refund Scheme to be Launched on November 18

30/10/201811/12/2019
by Benjamin Filaferro

The UAE’s Federal Tax Authority has announced the Tax Refund for Tourists Scheme will start on 18 November. It will allow eligible tourists to request VAT refunds they incur on purchases. The first phase will see the digital system of the Tax Refund for Tourists Scheme implemented at Abu Dhabi, Dubai and Sharjah International Airports. By mid-December, the system will be fully operational and will include all airports and land and sea ports in the UAE in line with the Cabinet Decision to strengthen the UAE’s leading position as a global tourist destination.

Egypt: Amendments to Real Estate Tax Law Approved

30/10/201811/12/2019
by Benjamin Filaferro

Egypt’s Parliamentary Budget Committee has approved the amendments to the 2008 Real Estate Tax Law. The Committee approved the proposal to extend the real estate revaluation period from August 2018 to August 2021, instead of the Government’s proposal to extend it 2020 only. It is understood the Government will submit a new draft real estate taxes law before 31 December, which will include significant amendments. The Finance Ministry has agreed to make changes to prepare for implementing the real estate tax law in the coming days.

UAE: Regulations Regarding Residence Permits and Visitor Visas to Come into Effect

22/10/201811/12/2019
by Benjamin Filaferro

The UAE’s Federal Authority for Identity and Citizenship has announced that from 21 October 2018, it will start implementing select UAE Cabinet Decisions regarding residence permits and visitor visas. It is expected that on 21 October 2018 the regulations on residence permits for widowed or divorced women, residence permits for students under parents’ sponsorship and in-country visit visa renewal will come into effect.

Qatar: Exit Permit Requirement for Foreign Nationals’ Departure from Qatar to be Abolished

22/10/201811/12/2019
by Benjamin Filaferro

Qatar’s Interior Ministry and Administrative Development, Labour and Social Affairs Ministry has announced the exit permit requirement for foreign nationals’ departure from Qatar will be abolished on 28 October 2018. The Ministry has also called on employers to submit lists of individuals who, based on the nature of their work, should continue to obtain their sponsor’s pre-approval before exiting Qatar. The number of these workers must not exceed 5% of the total headcount of the company.

UAE Federal Tax Authority Issues VAT Guidelines on Insurance

14/10/201811/12/2019
by Benjamin Filaferro

The UAE’s Federal Tax Authority has published VAT guidelines on insurance to provide guidance on the VAT treatment of insurance transactions. Amongst other things, the guide clarifies the export of life insurance/life re-insurance services outside the implementing states is zero rated rather than exempt and accordingly the related input tax is recoverable in full. It adds insurance services in relation to real estate will not be treated as services related to real estate provided consideration for the insurance services is not included in the real estate service charges. In addition, the collection of a premium on behalf of the insurer or remittance of the premium to the insurer by a disclosed insurance broker is not subject to VAT. Employers will also not be able to recover VAT on the purchase of health insurance for employee family members unless there is a legal obligation or a contractual obligation and it is necessary to enable the employee to perform their employment duties.