The FTA has clarified that online purchases are not VAT exempt and 5% VAT rate is applicable on all purchases made through online shopping portals just like any other purchase made through traditional outlets if the products purchased online are received within the UAE. Continue reading →
The FTA has made an announcement regarding a complete list of Goods and Services which will be influenced by the new UAE VAT regime. Supplies in transportation, real estate and financial services industries will be mostly exempt from VAT, while government activities will be outside of scope of VAT Tax. Continue reading →
Taxable supplies include:
Standard rated supplies – 5% VAT unless zero rated, exempt or out of scope.
Zero-rated supplies – not subject to VAT, right to an input tax deduction on the corresponding expenses. Examples: