Residential properties, certain financial services exempt from VAT


Residential properties, certain financial services exempt from VAT


Authorities have confirmed that residential properties, certain financial services, bare land and local transport will all be exempt from value added tax (VAT).

However the UAE Ministry of Finance said that supplies of commercial properties will be taxable at the standard rate of five per cent.

According to the IMF, the implementation of the GCC-wide tax is expected to boost GDP by about 1.5 per cent.

The Emirates is set to implement VAT from January 1, 2018.