"Its ramifications on business and the economy, A
Pro-active Approach"
Economic Backdrop: GCC Value added tax (VAT), a popular topic of
discussion across the globe where companies and investors are
'eyeing' the region with great anticipation, interest and
promise A low 5% unified rate will be introduced in the UAE (and
across GCC) with some exemptions. Consumer's spending on
essential food items, education, health sector is expected to be
zero rated or may fall in the ''exempted''
category.
Economic Benefits: Besides additional revenue generation,
introduction of a simple unified VAT framework is also expected to
promote trade within GCC resulting to overall growth in the
business environment despite political challenges. This will help
in continued infrastructure spending on social sectors like
education, healthcare and housing.
