GCC Indirect Tax Weekly Digest

KSA developments

GAZT publishes guide on Investment Funds, Trusts, and Estates

The Kingdom of Saudi Arabia (KSA) General Authority for Zakat and Tax (GAZT) has published a new Value Added Tax (VAT) VAT guide on investment funds, trusts, and estates. The guide is available in both Arabic and English.

The guide clarifies the VAT treatment of common investment structures administered by agents, such as investment funds and trusts, as well as the VAT treatment of estates of deceased natural persons.

The guide addresses the VAT implications of registering an investment structure, activities of the trustee/fund manager, distributions from a trust/fund, and related administrative obligations.

Further, estate-related VAT issues are addressed, including the treatment for estates upon the death of a taxable vs. non-taxable persons, and the use of an estate by inheritors.

This digest is for information purposes only and should not be construed as advice. It does not necessarily cover every aspect of the topics with which it deals. You should not act upon the contents of this alert without receiving formal advice on your particular circumstances.