VAT in UAE
In a move to provide the country with a new source of income, the UAE government introduced VAT, from January 1st, 2018.Until recently the country was highly dependent on oil and other hydrocarbons, and with the implementation of VAT, this is expected to change.
VAT Consultancy Services In UAE
VAT will be charged at a standard rate of 5 percent. If the taxable supplies and imports of a business exceed AED 375,000 per annum, then they must register for VAT. Optional threshold limit is AED 187,500 per year.
VAT registered businesses must charge VAT on taxable goods or services they supply and can reclaim VAT they have paid on business-related goods or services. Certain goods and services are zero rated and there are many others that are exempted from VAT.
Zero rated goods and services
International transport of passengers and goods
Certain means of transport
New residential buildings
Charity related buildings
Educational and healthcare services, in most cases
Exported goods and services
Certain Investment precious metals
Areas exempted from VAT
Certain financial services
Sale and lease of residential properties and bare land
Local passenger transport
Our professionally trained VAT consultants at AON can help clients run their business smoothly through the new tax laws. We provide assistance and training on various aspects of VAT and will also help you in/with:
Assessing the impact of VAT on your business
Bookkeeping process and VAT requirements
Preparing VAT return
Re-configuring IT according to the laws and regulations of VAT
Our consultancy team at AON provides VAT support and update you with up-to-date progress concerning VAT. We have been providing VAT consulting services to diverse clients, ever since UAE introduced VAT.