Value Added Tax and Islamic finance

Value-Added Tax (VAT) is a new concept to the GCC region which could prove to be a significant test for the countries to achieve economic diversity. Following on from the recent release of the UAE Executive Regulations, the Federal Tax Authority has made it clear that it intends to ensure that the application of VAT achieved the same outcome, regardless of whether the transaction was conducted through a conventional or Islamic finance approach.

Deloitte Middle East and Thomson Reuters have partnered to discuss the impact of VAT on Islamic finance, and the best practices adopted globally to ensure there is a clear and consistent approach in managing VAT implications.

The findings can be found in a new report called The Impact of VAT on Islamic Finance in the GCC that can be downloaded from Thomson Reuters.

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