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UAE: Labourer Residences Put into Two Categories for VAT Purposes

19/07/2018: The UAE’s Federal Tax Authority has announced labourers residences are now classified into two tax groups for VAT purposes. The Authority said the classification relies on whether the residences are provided with services or residential buildings. If the building is provided with services, the VAT will be calculated at the basic rate. However, if the building is residential it will be exempt from VAT.