Federal Law No. 8 of 2017 on VAT

1/9/2017

   

Description

His Highness Sheikh Khalifa Bin Zayed Al Nahyan, President of the UAE, has issued Federal Decree-Law No. (8) of 2017 for Value-Added Tax (VAT). The regulations outline the tax scope, rate, responsibility for tax, supply of goods and services, tax registration, tax calculation, tax invoice, violations and penalties etc. The VAT Law will be published in the Official Gazette and will come into effect on 1 January 2018. More information: https://www.mof.gov.ae/en/lawsandpolitics/govlaws/pages/vat-law.aspx

A business must register for VAT if its turnover exceeds 375,000 AED. Furthermore, a business may choose to voluntarily register for VAT if its turnover exceeds 187,500 AED. The online VAT registration is expected to start from mid-September 2017. If you have any additional questions or require more information about VAT and your ideal VAT preparation, please do not hesitate to contact our MEO competence team.