GCC Indirect Tax Weekly Digest

March 25th, 2018

GAZT to hold workshops on how to submit KSA VAT returns   

In an Arabic language press release on GAZT website (English version to follow), GAZT confirmed that it would be holding a series of workshops on the VAT return submission process in order to facilitate businesses submitting their returns on time. Workshops have already been held in Al Taif and Jubail Industrial, the remainder of the schedule is as follows:

  • Jazan (Monday 26 March)
  • Arar (Tuesday 27 March)
  • Hail (Wednesday 28 March)
  • Riyadh (Thursday 29 March)

We understand that these workshops are by invitation only, however should you be interested in attending we suggest that you contact GAZT directly.

GAZT releases guidelines on VAT treatment of employee benefits

The Saudi tax authorities have released guidelines on the VAT treatment of employee benefits. The eagerly awaited policy, which is currently only available in Arabic has been published on the GAZT website. It is expected to be translated into English shortly, however in the meantime if you have any questions, please feel free to reach out to Deloitte.

Saudi Customs given status of independent public authority

The KSA Cabinet have issued a new Decision which converts the Saudi Customs body into an independent public Authority named the "General Commission for Customs", making it financially and organizationally independent. The Decision was issued following a Cabinet meeting on 20 March 2018. Further details will be provided at a later stage.

UAE customers advised to ask for tax invoice

The FTA has requested in a statement that all UAE consumers demand a VAT invoice for goods or services purchased in order to prevent manipulation of the system. The penalties for not issuing a valid VAT invoice for a supply are AED 5,000 for each tax invoice / document. The FTA website has a VAT calculator tool which allows users to easily determine the amount of VAT which should be chargeable on a transaction taxable at the standard rate of VAT.

E-learning resources available on FTA website

There are a wealth of information resources on UAE VAT available on the FTA website, including a section on e-learning, with self-study courses on the following topics:

Please note that this digest is for information purposes only and should not be construed as an 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.

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