Value Added Tax or VAT is a tax on the consumption or use of goods and services levied at each point of sale.
VAT is a form of indirect tax and is used in more than 180 countries around the world. The end-consumer
ultimately bears the cost. Businesses collect and account for the tax on behalf of the government.
Value Added Tax (VAT) was introduced in the in United Arab Emirates (UAE) on 1 January 2018. The rate of
VAT is 5 per cent. VAT will provide the UAE with a new source of income which will be continued to be utilized
to provide high-quality public services. It will also help government move towards its vision of reducing
dependence on oil and other hydrocarbons as a source of revenue.
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