The text of the GCC unified agreement for value added tax (VAT)
has been published (in Arabic) by the Kingdom of Saudi Arabia.
Which countries make up the GCC?
- The United Arab Emirates
- The Kingdom of Bahrain
- The Kingdom of Saudi Arabia
- The Sultanate of Oman
- The State of Qatar
- The State of Kuwait
What is VAT?
VAT is a tax on the consumption of goods and services. It is
charged and collected by a taxable person and remitted to the tax
authority. A taxable person is a person, persons or entity that
carries out an economic activity that requires them to be
registered for VAT.
Why is the unified agreement important?
The unified agreement sets out the framework under which VAT can
be implemented in each of the GCC member states. The framework
includes agreement on certain matters but allows member states
discretion on how to treat others.
