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What is the way to implement indirect taxation in UAE and what rate will you choose?

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Question added by Deleted user
Date Posted: 2016/11/24
RAJESH DESHKULKARNI GOPAL
by RAJESH DESHKULKARNI GOPAL , Group Accounts & Tax Manager , Confidential Group

UAE - Ministry of Finance (Federal Tax Authority) yet to be introduced VAT road-Map & implementation.

However, it's concluded that, w.e.f. 1st Jan,2018 VAT Tax shall be introduced among all GCC nations.

current expected VAT rate shall be @ 5% on several goods excluding Education, Health-care & other Government services.

As per latest updates there may NOT be required to registration for Small Businesses/SME's for which Taxable Turnover shall be notified by MoF (FTA) shortly.

However, all entities must maintain transactions details to safeguard future Tax Notices/ Compliance.

 

FTA may introduce Tax Schedules i.e. Zero %, Exempted, Taxable & Special rates & etc.,

I hope this answer shall clear your question. If you like my answer, please VOTE up my answer.

 

Thanks

Rajesh

 

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