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Forum – Question & AnswerCategory: UAEWhy is the UAE implementing VAT?
Rakesh Mehera asked 2 years ago
Why is the UAE implementing VAT?
1 Answers
Krizelle Zara answered 2 years ago

The basic purpose of imposing tax in UAE is to collect the revenue for the budget of the government; in return it provides many services to the citizens such as hospitals, roads, schools, parks, waste control, police and other security services. VAT will provide UAE an additional source of income to maintain the quality of these public services in future also. Also, it will reduce the dependence of the government on the oil and tourism sector.