Tuesday, 15 May 2018

Gulf Business: UAE to refund VAT for conferences, events companies

Gulf Business
UAE to refund VAT for conferences, events companies

The UAE Cabinet has decided to refund the tax for conference and exhibition firms
Staff Writer
Monday 14 May 2018
AddThis Sharing Buttons
Share to FacebookShare to TwitterShare to LinkedInShare to EmailShare to More


The UAE Cabinet has decided to refund a 5 per cent value added tax for institutions working in the exhibitions and conferences sector.

Facilities involved with organising events have the right to refund the tax levied of providing these services, according to state news agency WAM.

The change is intended to support the country’s status as a hub for the meetings, incentives, conferences and exhibitions (MICE) industry and to attract leading event organisers.

Any exhibition or meeting between people sharing the same interest that is held for seven days or less and is authorised by the competent local authority is eligible for the VAT refund provided the service recipient has no established base or permanent facility in the UAE.

The service recipient must also not be registered or obliged to be registered in the UAE and have paid any tax to the supplier.

Abu Dhabi National Exhibitions Company (ADNEC) group CEO Humaid Matar Al Dhaher released a statement supporting the move.

“The decision to refund Value Added Tax (VAT) by institutions working in the exhibitions and conferences sector will significantly enhance the competitiveness of the industry and increase the capacity to attract niche global events, exhibitions and conferences,” he said.

“It will trim costs incurred by organisers and international associations while also enabling local associations to submit more bids for hosting major international conferences and congresses and enhancing the support of partnerships with the public and private sectors.”

He went on to invite public and private sector firms, event organisers and specialised associations to make “optimum use” of the initiative and consolidate their presence in the UAE.

The MICE industry contributes around Dhs2.39bn ($650.7m) annually to the UAE economy and is anticipated to grow to Dhs5.1bn ($1.38bn) by 2020.

The cabinet’s decision follows a similar move earlier this month reversing the application of the tax on the wholesale gold, diamonds and precious metals market.

Read: UAE rolls back tax on gold, diamonds, precious metals

The UAE introduced the value added tax alongside Saudi Arabia on January 1.

It applies to most goods and services including groceries, fuel and utility bills.

Read: Revealed: Goods and services subject to VAT in the UAE

Last week an International Monetary Fund (IMF) official told Reuters that the implementation of the tax had gone smoothly and its impact on inflation was expected to ease.

Natalia Tamirisa, who heads the IMF mission to the UAE, said inflation is expected to average 3.5 per cent this year, up from 2.0 per cent last year, but will ultimately settle around 2.5 per cent, Tamirisa predicted.

She said the new tax was expected to lift revenues by 1.5 per cent of gross domestic product in the long run.

Read: IMF says UAE’s VAT introduction has gone well, impact short-lived
AddThis Sharing Buttons
Share to FacebookShare to TwitterShare to LinkedInShare to EmailShare to More
Also from our network
Watch: Football legends inspiring local communities ahead of Asian Cup UAE 2019
Snapped: Celebrities spotted in the UAE this week
Amal Clooney and Cardi B wore the same coat
Stuff’s Guide to the Middle East Film & Comic Con 2018: The Celebs - Stuff Middle East
Queen Rania pulls out all the style stops for her trip to the Netherlands
Sheikh Mohammed has joined Sheikh Hamdan's travels
Saudi woman stirs debate after being told to cover face - Gulf Business
Rights group asks UAE for whereabouts of Dubai princess Sheikha Latifa - Gulf Business
ALSO READ
HSBC To Refund UAE, Oman, Bahrain Customers For Excessive Fees
HSBC To Refund UAE, Oman, Bahrain Customers For Excessive Fees
REVEALED: Top 10 Companies In Kuwait In 2014
REVEALED: Top 10 Companies In Kuwait In 2014
REVEALED: Top 10 Companies In Qatar In 2014
REVEALED: Top 10 Companies In Qatar In 2014
Revealed: Top 10 companies in Qatar in 2016
Revealed: Top 10 companies in Qatar in 2016
Revealed: Top 10 companies in the UAE in 2015
Revealed: Top 10 companies in the UAE in 2015
Revealed: Top 10 companies in the UAE in 2016
Revealed: Top 10 companies in the UAE in 2016
REVEALED: Top 10 Companies in UAE In 2014
REVEALED: Top 10 Companies in UAE In 2014
World Developers Offered Refund
World Developers Offered Refund
Lists
Top 50 GCC Banks 2017
Top 100 Most Powerful Arabs 2017
Top 100 GCC Companies 2016
Top 50 GCC Banks 2016
Top 50 GCC Banks 2015
Top 100 Powerful Arabs 2015
Advertisement
Most Read
UAE says will revoke expat work permits if there is an Emirati replacement
Dubai Marina tower catches fire
Dubai allows transit passengers to leave airport for tours
Top 20 salaries in Saudi Arabia 2018
The world’s largest Rolex boutique opens in Dubai
Saudi intercepts missiles over Riyadh
UAE orders formation of Ramadan moon sighting committee
Top 20 salaries in the UAE 2018
Oman announces Ramadan start date
Saudi woman stirs debate after being told to cover face
Editor's Picks
Revealed: Where Abu Dhabi property prices, rents rose and fell in Q1
Dubai announces major reforms to speed up court cases
Audit finds Saudi Aramco has larger oil reserves than expected
Oman allows students, retirees to work part-time
SUBSCRIBE TO OUR DAILY NEWSLETTER

Advertisement

    Advertise With Us
    Privacy Policy
    Contact us
    Subscribe

Copyright © 2018 by Gulf Business.
Post a Comment