Vat
February 24, 2023 2023-06-09 10:18Vat
Value Added Tax
What is VAT (Value Added Tax)?
VAT is a transaction tax, chargeable on the sale of goods / products and services. The standard rate of VAT is 5%. For Lincoln University of Business & Management, a leading PRIVATE Education Services provider, the supply of academic and other education services made in return for an explicit charge shall be taxable. As a VAT-registered business, LUBM will be required to charge VAT on its services where prescribed under the Law. This would be in addition to the stated prices. Please note that as of 1 January 2018, the fees charged by Lincoln University of Business & Management on all its services provided (the “Fee”) will be subject to VAT.
Invoices / Receipts Issued Before 1 January 2018
The Regulations once issued will determine whether, and to what extent, VAT is due on invoices / receipts issued before 1 January 2018, where the actual supply is deemed to be provided on or after the implementation date of VAT. We therefore reserve the right to raise an additional invoice for VAT due on the portion of services charged in 2017, but supplied, consumed or otherwise derived after implementation.
Future VAT Updates
For further information on VAT, the websites of UAE Ministry of Finance www.mof.gov.ae and the UAE Federal Tax Authority www.tax.gov.ae . These contain information on the Law and some FAQs on the introduction of VAT. The latest announcements on VAT will be published on these websites first. Please note that this communication has been prepared for information purposes only and is not intended to provide, and should not be relied on, for tax advice. You should consult your own tax advisors for any tax-related queries you might have.