Unified UAE Legislation Database

11 Value Added Tax

Status

In force

Issuing Authority

Effective date

XX.XX.XXXX

Official Link

https://

The overview includes instructions from FTA and analytical materials from Real Law.

A brief overview of legislation from Real Law 

Who is this overview for

This overview is of interest to various categories of professionals:

• managers and employees of financial institutions;
• accountants and tax consultants;
• lawyers specializing in tax and financial law;
• entrepreneurs and business owners in the UAE;
• companies operating in free economic zones (FEZs);
• investors and business consultants.

 

Key regulation areas

Taxation in the UAE is governed at the federal level, ensuring a uniform application of tax rules across all emirates. The exception is some free economic zones (free zones) that have special tax regimes.


Value Added Tax or VAT is an indirect tax that is levied on the value added of most goods (works, services, property rights).


The tax must be paid by the following persons:

1. Taxable persons making any supply specified in the Law;
2. Importers of certain goods specified in the Law;
3. Registered persons receiving goods in accordance with the Law.

 

VAT is applied equally in all emirates, ensuring a consistent and effective taxation system ...