Dar Alnuzum tax consultants

UAE, Dubai |

DAR AL NUZUM – YOUR VAT PARTNER

The VAT regime in the region will have considerable impact on the business operations and profitability. Companies dealing in goods and services that attract the tax must understand and prepare for the implications. Similarly, entities that import goods or transact with Zero-Rate or Tax Exempt entities must, at an early stage, consider the impact of VAT.
Group of companies with operations in other GCC countries must closely examine the impact of intra-group and cross-border transactions. While there is a unified VAT agreement across GCC, each member state has the right to enact its own laws within the broad framework. These different treatments must be understood.
VAT is likely to affect business in the following areas:
· Product pricing and profitability
· Cash flow funding for differences in payment and refunds
· Transaction and reporting systems
· Contracts relating to sales and procurement
· Organization training