The anticipated introduction in Oman of Value Added Tax (VAT) in
2019 under the Framework GCC VAT Agreement has created an array of
issues for businesses to consider so as to ensure adequate business
continuity.
The implementation of VAT in Oman should be examined in the
following context:
- Impact on existing operations.
- Business restructuring.
- Change in business processes and
practice.
- International experience.
- Where to start?
Impact on existing operations
The primary concern for any business facing the introduction of
a new tax regime is to ensure business continuity. This requires a
comprehensive evaluation of the impact of the relevant tax on
inward and outward transactions. Inadequate preparation for the new
VAT regime may lead to businesses struggling to understand the
taxation of day-to-day transactions – potentially having a
detrimental effect on customer and supplier relationships. Whilst
no law or implementing regulations have been
