The UAE Federal and Emirate governments provide citizens and residents with many different public services – including hospitals, roads, public schools, parks, waste control, and police services. These services are paid for from the government budgets. VAT will provide the country with a new source of income.
A business pays the government the tax that it collects from the customers while it may also receive a refund from the government on tax that it has paid to its suppliers. The net result is that tax receipts to government reflect the ‘value add’ throughout the supply chain. To explain how VAT works we have provided a simple, illustrative example below (based on a VAT rate of 5%):
With launch of VAT on goods and services across UAE and other GCC countries with effect from January 2018, organizations need to ensure system readiness to support the VAT requirements.
The experience of resources and as a company - already implementing VAT solutions for some of our existing Oracle customers, GTS is one of the pioneers in the market for this solution.
To let us help you enable your comprehensive VAT System, please send your enquiries to email@example.com