vat accounting services in uae

https://fancyadv.com/images/small/temp_mtn754sli6foop10a1jl4bntp6_20180926122533_1.jpg

Save Ads

VAT stands for Value Added Tax. This is a tax which is levied on the consumption of goods and services at each point of sale. Because VAT is an indirect tax, the end consumer pays it. Businesses collect and account for the tax on behalf of national governments. The United Arab Emirates (UAE) introduced the VAT on January 1, 2018. The rate of VAT in the UAE is currently 5%. The UAE governments introduced VAT because it wanted to generate another source of revenue which will be used to fund high-quality public services. The UAE governments also want to use the income generated from the VAT to reduce its dependence on oil and hydrocarbons as the main source of economic activity and income in the region.