GCC Indirect Tax Weekly Digest

Bahrain developments

NBR publishes Healthcare VAT guide

The NBR has published the first edition of its Healthcare Value Added Tax (VAT) guide.

The guide provides further clarity on the VAT treatment of medicines, medical equipment, and the import of goods to be used by persons with special needs in Bahrain.

A number of examples are included, which illustrate the differences between healthcare supplies that are subject to the standard rate or zero rate.

Further, the VAT treatment of health insurance, including services made to insurance companies and services made to employers, is addressed.

UAE developments

FTA updates guidance on VAT refunds for business visitors

The United Arab Emirates (UAE) Federal Tax Authority (FTA) has published updated guidance on VAT refunds for business visitors to the UAE, with details on the procedural aspects of the refund application process.

An earlier version of the guide, setting out the conditions for claiming a refund, was published in December 2018.

Appendix A of the updated guide includes a list of countries with which the UAE has reciprocal agreements for the business visitor VAT refund scheme.

For more information about VAT in the UAE, please email any of the contacts below.

MoF conducting joint study with KSA on expanding Excise goods list

The UAE Ministry of Finance (MoF) indicated in a press release that it is conducting a joint study with officials in the Kingdom of Saudi Arabia (KSA) on potentially expanding the list of goods subject to Excise Tax.

Further details on which goods are being considered, and at what rates, were not provided.

KSA developments

Invoicing and records guide updated

The Kingdom of Saudi Arabia (KSA) General Authority of Zakat and Tax (GAZT) has updated the Arabic version of its Invoicing and records guide.

Section 4.2.1 of the guide, which discusses language requirements, has been updated.

The guide clarifies a practical interpretation allowing the use of common international invoicing features to be used as part of the tax invoice - including the use of numerical values, currency codes, dates, invoice numbers and proper nouns.

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.