FOR MUMS
BY MUMS
For Mums By Mums From everyday food items, school uniform, books and bills...here’s all you need to know 

 

Due to be implimented at 7am on 1st January 2018, Value Added Tax (VAT) will involve a 5% charge being added to a number of products and services across Dubai. It will affect each and every one of us living in the city so here is a rundown of what will and will not be affected by the new laws.
13th November 2017

V.A.T - How will it affect you?

From everyday food items, school uniform, books and bills...here’s all you need to know 

 

Due to be implimented at 7am on 1st January 2018, Value Added Tax (VAT) will involve a 5% charge being added to a number of products and services across Dubai. It will affect each and every one of us living in the city so here is a rundown of what will and will not be affected by the new laws.

Items to carry 5% Tax include:

Food: All types of food in the UAE, including staples such as bread and rice. 

Water & Electricity

Jewellery: The VAT on gold jewellery will apply to the entire piece, but there will be no duty on loose diamonds. 

Cars & car Rental

Electronics: Despite having some of the lowest prices in the world, the added VAT should still offer good value for products. 

Smart Phones

Watches

Eating Out: Diners will see the VAT included on their bill for any meal. 

Entertainment

Commercial Rents

Tenancy Contracts

Plastic Surgery

Hotels & Services Apartments

Private & Public School Uniform 

Private School Books

Businesses: All businesses that meet the minimum annual income of Dh375,000 will pay VAT. 

 

Items exempt from the new Tax Law include:

Medical Fees

Exam Fees

Air Travel

Local Transport

Medicines

Residential Rents

Basic & prevenative Surgery

Public School Books

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