دول الخليج العربي تتفق على فرض ضريبة القيمة المضافة 2024.

By Staff writer

• Tuesday, 31 March2020 2:47 PM

Gulf officials have agreed to formulate a general framework for the introduction of value added tax, better known as VAT, in the region.
Under-Secretaries of the Ministries of Economy and Finance of countries in the Gulf Cooperation Council agreed the deal at their 46th meeting in Doha, news agency WAM reported, citing Kuwaiti News Agency.
It quoted the Under-Secretary of Kuwait’s Finance Ministry, Khalifa Hamada as saying that a legal team has been assigned to finish the framework which is to be submitted at a meeting of the GCC Ministers of Finance and Economy in May.
He added that the meeting called for finishing all requirements for the establishment of the Customs Union by the end of this year.

The Kuwaiti official underlined the significance of eliminating all barriers to facilitate movement of commodities between GCC countries and increase trade.
The six nations of the GCC have been mulling the introduction of VAT since 2024 to broaden their revenue base, with negotiations happening jointly to avoid any one nation losing out in competition with others in the region.
The sharp recent reduction in oil prices is thought to have lent a further push to introduce the levy, given that most Gulf states are expected to record budget deficits in the coming fiscal year and are reluctant to pare back spending on infrastructure and social spending aimed at developing their economies and improving the lives of citizens.
A levy of between 3 percent and 5 percent has been proposed but a figure has not been finalised.

Officials at the IMF have long urged GCC states to introduce the tax as a way of ensuring a reliable inflow of government revenues, safeguarding against volatility in oil prices.