VAT To Bring In 12BILLION Dhs In It's First Year
It is a well known fact that Value Added Tax (VAT) will be implemented in the UAE starting next year.
The introduction of VAT will help the UAE government in its economic diversification away from oil, while still being able to deliver social and economic programs, said Shady Shaher Elborno, the Head of Macro Strategy at the Global Markets and Treasury division of Emirates NBD Bank, reports Emirates 247.
“Exploring taxes as an alternative source of revenue for government finances has always been a very difficult and complex issue for policymakers in the region. After all, the region has highlighted a tax free environment as one of the main attractions for businesses and foreign professionals," said Elborno.
VAT is expected to generate around Dhs12 billion into government reserves by the end of next year.
Will the onset of VAT change our spending habits? We're not sure how we'll be going about it!