CURRENT AFFAIRS

Detailed explanation-1: -Dubai: Saudi Arabia and the United Arab Emirates introduced value-added tax from Monday, a first for the Gulf which has long prided itself on its tax-free, cradle-to-grave welfare system.

Detailed explanation-2: -In 1954 France became the first country to adopt the VAT on a large scale. It served as an improvement on the earlier turnover tax, by which a product was taxed repeatedly at every stage of production and distribution, without relief for taxes paid at previous stages.

Detailed explanation-3: -VAT was introduced in the United Arab Emirates on 1 January 2018. The general VAT rate is 5% and applies to most goods and services, with some goods and services subject to a 0% rate or an exemption from VAT (subject to specific conditions being met).

Detailed explanation-4: -Value Added Tax (VAT) was introduced in the UAE on 1 January 2018. The rate of VAT is 5 per cent. VAT will provide the UAE with a new source of income which will be continued to be utilised to provide high-quality public services.

Detailed explanation-5: -Value-added tax (VAT) and excise tax VAT Law and implementing regulations have been published and are applicable from 1 January 2018. VAT is imposed at a rate of 5% for most goods and services, with certain exceptions applicable. Effective 1 July 2020, the standard VAT rate was increased by the government to 15%.