The Executive Regulation of the Federal Decree-Law No. 8 of 2017 on Value Added Tax

Definitions in the Federal Decree-Law No. 8 of 2017 referred to shall apply to this Decision, and other than this, the following words and expressions shall have the meanings assigned against each, unless the context requires otherwise:

In the application of the provisions of this Decision, the following words and expressions shall have the meanings assigned against each, unless the context requires otherwise:

1. The process of a transfer of ownership of Goods or of the right to use them from one Person to another Person shall include for instance the following:
   • a. A transfer of ownership of Goods under a written or verbal agreement for any sale;
   • b. A transfer of ownership for a Consideration in a compulsory manner pursuant to the applicable legislations.
2. For the purposes of Clause 1 of this Article, a transfer of the right to use any assets shall not be treated as a supply of Goods unless the other Person is able to dispose of them as owner.
3. Entry into a contract between two or more parties causing the transfer of Goods at a later time shall be considered a supply of Goods where the agreement mentions a transfer or intention to transfer the ownership of Goods or a future transfer of ownership of Goods.
4. The following shall be considered a supply of Goods:
   • a. A supply of water.
   • b. A supply of real estate including the lease, sale and any other forms of disposal causing the transfer of ownership thereof from one Person to another.
   • c. A supply of all forms of energy, which includes electricity and gas, including biogas, coal gas, liquefied petroleum gas, natural gas, oil gas, producer gas, refinery gas, reformed natural gas, and tempered liquefied petroleum gas, and any mixture of gases, whether used for lighting, or heating, or cooling, or air conditioning or any other purpose.

1. A transfer of ownership of Goods or of the right to use them from one Person to another Person shall include for instance the following:
   • a. A transfer of ownership of Goods under a written or verbal agreement for any sale;
   • b. A transfer of ownership for a Consideration in a compulsory manner pursuant to the applicable legislations.
2. For the purposes of Clause 1 of this Article, a transfer of the right to use any assets shall not be treated as a supply of Goods unless the other Person is able to dispose of them as owner.
3. Entry into a contract between two parties causing the transfer of Goods at a later time shall be considered a supply of Goods where the agreement mentions a transfer or intention to transfer the ownership of Goods or a future transfer of ownership of Goods.
4. The following shall be considered a supply of Goods:
   • a. A supply of water.
   • b. A supply of real estate including sale and tenancy contracts.
   • c. A supply of all forms of energy, which includes electricity and gas, including biogas, coal gas, liquefied petroleum gas, natural gas, oil gas, producer gas, refinery gas, reformed natural gas, and tempered liquefied petroleum gas, and any mixture of gases, whether used for lighting, or heating, or cooling, or air conditioning or any other purpose.

1. Where a Person made a supply consisting of more than one component for one price, the Person shall determine whether the supply constitutes a single composite supply or multiple supplies.
2. The phrase “single composite supply” means a supply of Goods or Services, where there is more than one component to the supply, and taking into account the contract and the wider circumstance of the supply.
3. A single composite supply shall exist in the following cases:
   • a. Where there is supply of all of the following:
     1. A principal component.
     2. A component or components which either are necessary or essential to the making of the supply, including incidental elements which normally accompany the supply but are not a significant part of it; or do not constitute an aim in itself, but are instead a means of better enjoying the principal supply.
   • b. Where there is a supply which has two or more elements so closely linked as to form a single supply which it would be impossible or unnatural to split.
4. In order for a single composite supply to exist, the following conditions are required to be met:
   • a. The price of the different components of the supply is not separately identified or charged by the supplier.
   • b. All components of the supply are supplied by a single supplier.
5. Where a Taxable Person supplies more than one component for one price and the supply is not a single composite supply, then the supply of these components shall be treated as multiple supplies.

1. Where a Person made a supply consisting of more than one component for one price, the Person shall determine whether the supply constitutes a single composite supply or multiple supplies.
2. The phrase “single composite supply” means a supply of Goods or Services, where there is more than one component to the supply, and taking into account the contract and the wider circumstance of the supply.
3. A single composite supply shall exist in the following cases:
   • a. Where there is supply of all of the following:
     1. A principal component.
     2. A component or components which either are necessary or essential to the making of the supply, including incidental elements which normally accompany the supply but are not a significant part of it; or do not constitute an aim in itself, but are instead a means of better enjoying the principal supply.
   • b. Where there is a supply which has two or more elements so closely linked as to form a single supply which it would be impossible or unnatural to split.
4. A single composite supply may exist under Clause 2 of this Article if all of the following conditions are met:
   • a. The price of the different components of the supply is not separately identified or charged by the supplier.
   • b. All components of the supply are supplied by a single supplier;
5. Where a Taxable Person supplies more than one component for one price and the supply is not a single composite supply, then the supply of the components shall be treated as multiple supplies.

1. For the purposes of Clause 4 of Article 12 of the Decree-Law, the value of the supply of Goods for each recipient, within a 12-month period, shall not exceed AED 500 (five hundred dirhams).
2. For the purposes of Clause 5 of Article 12 of the Decree-Law, the total of Output Tax payable on all Deemed Supplies shall not exceed the following:
   • a. An amount of AED 2,000 (two thousand dirhams) for each supplier, within a 12-month period, and any amount exceeding this threshold shall be considered Payable Tax.
   • b. An amount of AED 250,000 (two hundred fifty thousand dirhams) for each supplier that is a Government Entity or a Charity in case the recipient is a Government Entity or a Charity, within a 12-month period, and any amount exceeding this threshold shall be considered Payable Tax.
3. For the purposes of Clauses 1 and 2 of this Article, the 12-month period is a period preceding the end of the month in which the Person makes a supply referred to in these Clauses.

1. The supply shall not be regarded as a Deemed Supply in any of the following instances:
   • a. Where the Input Tax on the relevant Goods or Services is not recovered.
   • b. Where the supply is exempted.
   • c. Where the refunded Input Tax on Goods and Services is amended according to the Capital Assets Scheme.
   • d. Where the value of the supply of Goods for each recipient, within a 12-month period, does not exceed AED 500, and the supply made is to be used as samples or commercial gifts.
   • e. Where the total of Output Tax payable on all Deemed Supplies for each Person for a 12-month period is less than AED 2,000.
2. For the purposes of Paragraphs (d) and (e) of Clause 1 of this Article, the 12-month period is a period preceding the end of the month in which the Person makes a supply referred to in either of those Clauses.

1. The Mandatory Registration Threshold shall be AED 375,000 (three hundred and seventy-five thousand dirhams).
2. The Person required to register for Tax pursuant to the provisions of the Decree-Law must file a Tax Registration application with the Authority within 30 (thirty) days of being required to register.
3. Where a Person does not file his Tax Registration application despite being required to, the Authority shall register that Person with effect from the date on which the Person first became liable to be registered for Tax and impose the necessary penalties in accordance with the Tax Procedures Law.
4. Where supplies made by a Person exceed, in accordance with the Decree-Law, the Mandatory Registration Threshold during the previous 12-month period, the Authority shall register the Person with effect from the first day of the month following the month in which the Person is required to register, whether or not he applies for Tax Registration, or from such earlier date as agreed between the Authority and the Person.
5. Where a Person expects that his supplies, in accordance with the Decree-Law, will exceed the Mandatory Registration Threshold during the next 30 (thirty) days, the Authority shall register him with effect from the date on which there are reasonable grounds for believing the Person will be required to register for Tax as specified in this Clause, whether or not he so notifies them of the liability to register for Tax, or from such earlier date as agreed between the Authority and the Person.
6. Where a Person is not a resident of the State and is required to register for Tax in accordance with the provisions of the Decree-Law, the Authority shall register him with effect from the date on which he started making supplies in the State, whether or not he so notifies them of the liability to register for Tax, or from such earlier date as agreed between the Authority and the Person.
7. A Taxable Person who has been late in registering for Tax according to the provisions of this Article is liable to account for and pay to the Authority the Due Tax on all Taxable Supplies and Imports made by him before registering.

1. The Mandatory Registration Threshold shall be AED 375,000 (three hundred and seventy-five thousand dirhams).
2. The Person required to register for Tax pursuant to the provisions of the Decree-Law must file a Tax Registration application with the Authority within 30 days of being required to register.
3. Where a Person does not file his Tax Registration application despite being required to, the Authority shall register that Person with effect from the date on which the Person first became liable to be registered for Tax and impose the necessary penalties in accordance with the Federal Law No. 7 of 2017 on Tax Procedures.
4. Where supplies made by a Person exceed, in accordance with the Decree-Law, the Mandatory Registration Threshold during the previous 12-months period, the Authority shall register the Person with effect from the first day of the month following the month in which the Person is required to register, whether or not he applies for Tax registration, or from such earlier date as agreed between the Authority and the Person.
5. Where a Person expects that his supplies, in accordance with the Decree-Law, will exceed the Mandatory Registration Threshold during the next 30 days, the Authority shall register him with effect from the date on which there are reasonable grounds for believing the Person will be required to register as specified in that Clause, whether or not he so notifies them of the liability to register for Tax, or from such earlier date as agreed between the Authority and the Person.
6. Where a Person is not a resident of the State and is required to register in accordance with the provisions of the Decree-Law, the Authority shall register him with effect from the date on which he started making supplies in the State, whether or not he so notifies them of the liability to register for Tax, or from such earlier date as agreed between the Authority and the Person.
7. A Taxable Person who has been late in registering for Tax according to the provisions of this Article is liable to account for and pay to the Authority the Due Tax on all Taxable Supplies and Imports made by him before registering.

1. The Voluntary Registration Threshold shall be AED 187,500 (one hundred and eighty-seven thousand five hundred dirhams).
2. Where a Person voluntarily applied for Tax Registration in accordance with the provisions of the Decree-Law, the Authority shall register a Person with effect from the first day of the month following the month in which the application is made, or from such earlier date as may be requested by the Person and agreed by the Authority.
3. Where a Person voluntarily applied for Tax Registration due to his expectation that his supplies under the provisions of the Decree-Law will exceed the Voluntary Registration Threshold during the next 30 (thirty) days, he should be able to provide evidence of an intention to make Taxable Supplies or incur Taxable Expenses in excess of the Voluntary Registration Threshold.
4. The Authority shall determine the evidence it may deem necessary to demonstrate eligibility for voluntary Tax Registration.
5. For the purpose of voluntary Tax Registration, the phrase “Taxable Expenses” means expenses which are subject to the Standard Rate and which are incurred in the State by a Person who has a Place of Residence in the State.
6. A Person may not register for Tax voluntarily unless he proves to the Authority that:
   • a. he is carrying on a Business in the State, and
   • b. he has the intention to make any of the supplies specified in paragraphs (a), (b) or (c) of Clause 1 of Article 54 of the Decree-Law.

1. The Voluntary Registration Threshold shall be AED 187,500 (one hundred and eighty-seven thousand five hundred dirhams).
2. Where a Person applied to register voluntarily in accordance with the provisions of the Decree-Law, the Authority shall register a Person with effect from the first day of the month following the month in which the application is made, or from such earlier date as may be requested by the Person and agreed by the Authority.
3. Where a Person applied to register voluntarily due to his expectation that his supplies under the provisions of the Decree-Law will exceed the Voluntary Registration Threshold during the next 30 days, he should be able to provide evidence of an intention to make Taxable Supplies or incur expenses which are subject to Tax in excess of the Voluntary Registration Threshold.
4. The Authority shall determine the evidence it may deem necessary to demonstrate eligibility for voluntary Tax Registration.
5. For the purpose of voluntary registration, the phrase “Taxable Expenses” means expenses which are subject to the standard rate and which are incurred in the State by a Person who has a Place of Residence in the State.
6. A Person may not register voluntarily unless he satisfies the Authority that he is carrying on a Business in the State.

1. The Registrant must apply to the Authority for Tax deregistration in the cases mentioned in the Decree-Law, within 20 (twenty) Business Days of the occurrence of any of them.
2. The Authority shall accept the Registrant’s application for Tax deregistration where the following two conditions are met:
   • a. The Registrant stops making supplies referred to in Article 19 of the Decree-Law and does not expect to make any such supplies over the next 12-month period;
   • b. The value of supplies referred to in Article 19 of the Decree-Law made, or Taxable Expenses incurred, by the Registrant over the previous 12 (twelve) months is less than the Voluntary Registration Threshold, and the Authority is satisfied that his supplies, according to the provisions of the Decree-Law, or Taxable Expenses, expected over the next 30 (thirty) days, are not expected to exceed the Voluntary Registration Threshold.
3. If the Tax deregistration application is approved, the Authority shall deregister the Registrant with effect from the last day of the Tax Period during which the Registrant has met the conditions for deregistration or from such other date as may be determined by the Authority.
4. Where the Authority is satisfied that the conditions in Clause 2 of this Article are met, and the Registrant has not applied for Tax deregistration or has submitted a request but has not completed its procedures, the Authority shall deregister the Registrant with effect from the date on which the Authority became satisfied that the conditions have been met or from any other date determined by the Authority.
5. Where a Registrant applies for Tax deregistration due his Taxable Supplies falling below the Mandatory Registration Threshold, the Authority shall, after approving the application, deregister him with effect from:
   • a. the date requested by the Registrant in the application,
   • b. the date on which the application is submitted if the Registrant did not indicate the preferred Tax deregistration date, or
   • c. any other date specified by the Authority.
6. Where the Authority has deregistered a Registrant for Tax, it shall notify him, within 10 (ten) Business Days of the decision to deregister, of the effective date of the deregistration.
7. Where a Registrant applies for Tax deregistration, he shall pay all Tax and Administrative Penalties due and file the final Tax Return as due under the Decree-Law and the Tax Procedures Law.
8. Any Goods and Services forming part of the assets of Business carried on by a Registrant shall be deemed to be supplied by him at a time immediately before his Tax deregistration, and any Tax due thereon shall be included in the final tax return, unless the Business is carried on by the Legal Representative pursuant to the provisions of the Tax Procedures Law.
9. The Tax deregistration shall not absolve a Person from having to comply with the provisions of the Decree-Law and this Decision, including filing another Tax Registration application when the Tax Registration requirements are met.

1. The Registrant must apply to the Authority for de-registration in accordance with the cases mentioned in the Decree-Law, within 20 business days of the occurrence of any of them.
2. The Authority shall accept a Registrant’s application for deregistration where the two following conditions are met:
   • a. The Registrant stops making supplies referred to in Article 19 of the Decree-Law and does not expect to make any such supplies over the next 12-month period;
   • b. The value of supplies referred to in Article 19 of the Decree-Law made, or taxable expenses incurred, by the Registrant over the previous 12-months is less than the Voluntary Registration Threshold and the Authority is satisfied that his supplies, according to the provisions of the Decree-Law, or taxable expenses, expected over the next 30 days, are not expected to exceed the Voluntary Registration Threshold.
3. If the deregistration application is approved, the Authority shall cancel the Tax Registration of the Registrant with effect from the last day of the Tax Period during which the Registrant has met the conditions for deregistration or from such other date as may be determined by the Authority.
4. Where the Authority is satisfied that the conditions in Clause 2 above are met, and the Registrant has not applied for deregistration, the Authority shall deregister the Registrant with effect from the last day of the Tax Period in which the Authority became satisfied that the conditions have been met or from any other date determined by the Authority.
5. A Registrant shall not be deregistered unless he has paid all Tax and Administrative Penalties due and filed all Tax Returns as due under the Decree-Law and the Federal Law No. 7 of 2017 on Tax Procedures.
6. For the purposes of Clause 5 of this Article, any Goods and Services forming part of the assets of Business carried on by a Registrant shall be deemed to be supplied by him at a time immediately before ceasing to be a Registrant and any tax payable shall be included in the final tax return, unless the Business is carried on by an appointed trustee in bankruptcy pursuant to the Federal Law No. 7 of 2017 on Tax Procedures.
7. Where a Registrant requests to be deregistered from Tax due to the reduction of his Taxable Supplies to less than the Mandatory Registration Threshold, the Authority will, if in agreement with the Registrant, cancel the Tax Registration with effect from:
   • a. The date requested by the Registrant in the application; or
   • b. The date on which the request is made if the Registrant did not indicate the preferred deregistration date.
8. Where the Authority has deregistered a Registrant from Tax, it shall notify that Registrant of the date on which deregistration takes effect within 10 business days of making the decision.

1. The Authority must deregister a Tax Group in any of the following cases:
   • a. If the Persons who are registered as a Tax Group no longer meet the requirements for registration as a Tax Group in accordance with the Decree-Law.
   • b. If there is no longer an association between the Persons registered as a Tax Group based on economic, financial and regulatory practices.
   • c. If there are serious grounds for believing that if the registration as a Tax Group is permitted to continue, it would enable Tax Evasion or would significantly decrease the Tax revenues due to the Authority.
2. The Authority shall amend the composition of a Tax Group in accordance with the following:
   • a. A member shall be removed from a Tax Group where any of the cases in Clause 1 of this Article applies to that member, or when the member ceases to make Taxable Supplies.
   • b. A Person shall be added as a member to a Tax Group where the Authority establishes that such Person’s activities should be regarded as part of the Business carried out by the Tax Group in accordance with Clause 7 of Article 10 of this Decision.
3. The representative member of a Tax Group shall notify the Authority if any member of the Tax Group is no longer eligible to be part of such Tax Group, within 20 (twenty) business days of the ceasing to be eligible.
4. Where the Authority decided to either deregister a Tax Group or amend a Tax Group registration, it shall give Notification of that decision and its effective date to the representative member of the Tax Group within 10 (ten) Business Days of the issuance date of such decision.
5. Where a Taxable Person is no longer a member of a Tax Group, the Authority shall issue it with a new individual Tax Registration Number or re-activate the Tax Registration Number that was assigned to it prior to joining the Tax Group, and it shall be treated as a Registrant immediately after it left the Tax Group.

1. The Authority must deregister a Tax Group if the following conditions are met:
   • a. If the Persons who are registered as a Tax Group no longer meet the requirements for registration as a Tax Group in accordance with the Decree-Law.
   • b. If there is no longer an association based on economic, financial and regulatory practices.
   • c. If there are serious grounds for believing that if the registration as a Tax Group is permitted to continue, it would enable Tax Evasion or would significantly decrease Tax paid to the Authority.
2. The Authority shall amend the composition of a Tax Group in any of the following circumstances:
   • a. A Person shall be removed from a Tax Group where the conditions in Clause 1 are met for that Person.
   • b. A Person shall be added to a Tax Group where the Authority establishes that a Person’s activities should be regarded as part of the Business carried out by a Tax Group in accordance with Clause 7 of Article 10 of this Decision.
3. The representative member of a Tax Group shall notify the Authority if any member of the Tax Group is no longer eligible to be part of the Tax Group, within 20 business days of the ceasing to be eligible.
4. Where the Authority decided to either deregister a Tax Group or amend a Tax Group registration, it shall give Notification of that decision and its effective date to the representative member within 10 business days of making such decision.
5. Where a Taxable Person is no longer a member of a Tax Group, the Authority shall issue it with a new individual Tax Registration Number or re-activate a Tax Registration Number that was assigned to it prior to joining a Tax Group, and it shall be treated as a Registrant immediately following the time when it left the Tax Group.

1. A Taxable Person that wants to apply for an exception from Tax Registration on the basis that his supplies are only subject to the zero rate, shall apply to the Authority in a manner and by the means specified by the Authority in this regard.
2. The Authority shall review the exception from Tax Registration application and issue its decision either approving or rejecting the application and notify the Taxable Person of its decision.
3. A Person excepted from Tax Registration must notify the Authority if any changes occur to his Business that led, or are likely to lead, to the Person not being eligible for the exception from Tax Registration under Clause 1 of Article 15 of the Decree-Law, within 10 (ten) Business Days of making the supply or Import which is taxable at the Standard Rate.
4. Where the Person ceases to satisfy the requirement of being excepted from Tax Registration, he shall be required to register for Tax.

1. A Taxable Person that wants to apply for an exception from Tax Registration on the basis that all of his supplies are zero rated, shall apply to the Authority in a manner and by means specified by the Authority.
2. The Authority shall review the exception from registration application and either accept the exception from Tax Registration or notify the Taxable Person that his application is rejected.
3. A Person excepted from Tax Registration must notify the Authority if he makes any supplies or Imports of Goods or Services that are subject to Tax at the standard rate.
4. A Person shall give the notice referred to in Clause 3 of this Article within not more than 10 business days of making the supply or import which is taxable at the standard rate.
5. Where the Person ceases to satisfy the requirement of being excepted from Tax Registration, he shall be required to register for Tax.

1. “Telecommunication Services” means delivering, broadcasting, converting or receiving any of the services specified below by using any communications equipment or devices that transmit, broadcast, convert, or receive such service by electrical, magnetic, electromagnetic, electrochemical or electromechanical means or other means of communication, including:
   • a. Wired and wireless communications.
   • b. Voice, music and other audio material.
   • c. Viewable images.
   • d. Signals used for transmission with the exception of public broadcasts.
   • e. Signals used to operate and control any machinery or equipment.
   • f. Services of an equivalent type which have a similar purpose and function.
2. “Electronic Services” means Services which are automatically delivered over the internet, or an electronic network, or an electronic marketplace, including:
   • a. Supply of domain names, web-hosting and remote maintenance of programs and equipment;
   • b. The supply and updating of software;
   • c. The supply of images, text, and information provided electronically such as photos, screensavers, electronic books and other digitised documents and files;
   • d. The supply of music, films and games on demand;
   • e. The supply of online magazines;
   • f. The supply of advertising space on a website or the rights associated with such advertising;
   • g. The supply of political, cultural, artistic, sporting, scientific, educational or entertainment broadcasts, including broadcasts of events;
   • h. Live streaming via the internet;
   • i. The supply of distance learning;
   • j. Services of an equivalent type which have a similar purpose and function.
3. “Electronic marketplace” means a distribution service which is operated by electronic means, including by a website, internet portal, gateway, store, or distribution platform, and meets the following conditions:
   • a. Which allows suppliers to make supplies of Electronic Services to customers.
   • b. The supplies made through the marketplace must be made by electronic means.

1. “Telecommunication services” means delivering, broadcasting, converting or receiving any of the services specified below by using any communications equipment or devices that transmit, broadcast, convert, or receive such service by electrical, magnetic, electromagnetic, electrochemical or electromechanical means or other means of communication, including:
   • a. Wired and wireless communications.
   • b. Voice, music and other audio material.
   • c. Viewable images.
   • d. Signals used for transmission with the exception of public broadcasts.
   • e. Signals used to operate and control any machinery or equipment;
   • f. Services of an equivalent type which have a similar purpose and function.
2. “Electronic services” means Services which are automatically delivered over the internet, or an electronic network, or an electronic marketplace, including:
   • a. Supply of domain names, web-hosting and remote maintenance of programs and equipment;
   • b. The supply and updating of software;
   • c. The supply of images, text, and information provided electronically such as photos, screensavers, electronic books and other digitized documents and files;
   • d. The supply of music, films and games on demand;
   • e. The supply of online magazines;
   • f. The supply of advertising space on a website and any rights associated with such advertising;
   • g. The supply of political, cultural, artistic, sporting, scientific, educational or entertainment broadcasts, including broadcasts of events;
   • h. Live streaming via the internet;
   • i. The supply of distance learning;
   • j. Services of an equivalent type which have a similar purpose and function.
3. “Electronic marketplace” means a distribution service which is operated by electronic means, including by a website, internet portal, gateway, store, or distribution platform, and meets the following conditions:
   • a. Which allows suppliers to make supplies of electronic services to customers.
   • b. The supplies made by the marketplace must be made by electronic means.

1. The Taxable Person may calculate Tax on any supply of Goods by reference to the profit margin in the following situations:
   • a. Where he made a supply of Goods mentioned in Clause 2 of this Article which were purchased from either:
     1. A Person who is not a Registrant.
     2. A Taxable Person who calculated the Tax on the supply by reference to the profit margin.
   • b. Where he made a supply of Goods for which Input Tax was not recovered in accordance with Article 53 of this Decision.
2. The Goods to which Clause 1 of this Article refers are Goods which have been subject to Tax before the supply which shall be subject to the profit margin scheme and those Goods are:
   • a. Second-hand Goods, meaning tangible moveable property that is suitable for further use as it is or after repair.
   • b. Antiques, meaning goods that are over 50 (fifty) years old.
   • c. Collectors’ items, meaning stamps, coins and currency and other pieces of scientific, historical or archaeological interest.
3. A Taxable Person may not elect to calculate Tax by reference to the profit margin in respect of Goods referred to in paragraph (a) of Clause 1 of this Article if a Tax Invoice or other document is issued for that supply mentioning an amount of Tax chargeable on the supply.
4. The profit margin is the difference between the purchase price of the Goods and the selling price of the Goods, and the profit margin shall be considered to be inclusive of Tax.
5. The “purchase price” stated in Clause 4 of this Article includes, in addition to the price of the Good, any costs and fees incurred to purchase the Good.
6. The Taxable Person must keep the following records in respect of supplies made in accordance with this Article:
   • a. A stock book or a similar record showing details of each Good purchased and sold under the profit margin scheme.
   • b. Purchase invoices showing details of the Goods purchased under the profit margin scheme. Where the Goods are purchased from Persons who are not Registrants, the Taxable Person must issue an invoice showing details of the Goods himself, including at least the following information:
     1. The name, address and Tax Registration Number of the Taxable Person.
     2. The name and address of the Person selling the Good.
     3. The date of the purchase.
     4. Details of the Goods purchased.
     5. The Consideration payable in respect of the Goods.
     6. Signature of the Person selling the Good or authorised signatory.
7. Where a Taxable Person has charged Tax in respect of a supply with reference to the profit margin, the Taxable Person shall issue a Tax Invoice that clearly states that the Tax was charged with reference to the profit margin, in addition to all other information required to be stated in a Tax Invoice except the amount of Tax.

1. The Taxable Person may calculate Tax on any supply of Goods by reference to the profit margin in the following situations:
   • a. Where he made a supply of Goods mentioned in Clause 2 of this Article which were purchased from either:
     1. A Person who is not a Registrant.
     2. A Taxable Person who calculated the Tax on the supply by reference to the profit margin.
   • b. Where he made a supply of Goods for which Input Tax was not recovered in accordance with Article 53 of this Decision.
2. The Goods to which Clause 1 of this Article refers are Goods which have been subject to Tax before the supply which shall be subject to the profit margin scheme and those Goods are:
   • a. Second-hand Goods, meaning tangible moveable property that is suitable for further use as it is or after repair.
   • b. Antiques, meaning goods that are over 50 years old.
   • c. Collectors’ items, meaning stamps, coins and currency and other pieces of scientific, historical or archaeological interest.
3. A Taxable Person may not elect to calculate Tax by reference to the profit margin in respect of Goods referred to in paragraph (a) of Clause 1 of this Article if a Tax Invoice or other document is issued for that supply mentioning an amount of Tax chargeable on the supply.
4. The profit margin is the difference between the purchase price of the Goods and the selling price of the Goods, and the profit margin shall be deemed to be inclusive of Tax.
5. The Taxable Person must keep the following records in respect of supplies made in accordance with this Article:
   • a. A stock book or a similar record showing details of each Good purchased and sold under the profit margin scheme.
   • b. Purchase invoices showing details of the Goods purchased under the profit margin scheme. Where the Goods are purchased from Persons who are not Registrants, the Taxable Person must issue an invoice showing details of the Goods himself, including at least the following information:
     1. The name, address and Tax Registration Number of the Taxable Person.
     2. The name and address of the Person selling the Good.
     3. The date of the purchase.
     4. Details of the Goods purchased.
     5. The Consideration payable in respect of the Goods.
     6. Signature of the Person selling the Good or authorized signatory.
6. Where a Taxable Person has charged Tax in respect of a supply with reference to the profit margin, the Taxable Person shall issue a Tax Invoice that clearly states that the Tax was charged with reference to the profit margin, in addition to all other information required to be stated in a Tax Invoice except the amount of Tax.

1. The Direct Export shall be subject to the zero rate if the following two conditions are met:
   • a. The Goods are physically exported to a place outside the Implementing States or are put into a customs suspension regime in accordance with the GCC Common Customs Law within 90 (ninety) days of the date of the supply.
   • b. The exporter retains any of the following:
     1. a customs declaration, and Commercial Evidence that proves the Export,
     2. a Shipping Certificate and Official Evidence that prove the Export, or
     3. a customs declaration that proves the suspension arrangement of customs duties, in case the Goods are put into customs suspension.
2. An Indirect Export shall be subject to the zero rate if the following conditions are met:
   • a. The Goods are physically exported to a place outside the Implementing States or are put into a customs suspension regime in accordance with GCC Common Customs Law, within 90 (ninety) days of the date of the supply under an arrangement agreed by the supplier and the Overseas Customer at, or before, the date of supply.
   • b. The Overseas Customer, or its agent, obtains any of the following and provides the supplier with a copy thereof:
     1. a customs declaration, and Commercial Evidence that proves the Export,
     2. a Shipping Certificate and Official Evidence that prove the Export, or
     3. a customs declaration that proves the suspension arrangement of customs duties, in case the Goods are put into customs suspension.
   • c. The Goods are not used or altered in the time between supply and Export or put under the suspension arrangement of customs duties, except to the extent necessary to prepare the Goods for Export or customs suspension.
   • d. The Goods do not leave the State in the possession of a passenger or crew member of an aircraft or ship.
3. For the purposes of this Article, a movement of Goods into a Designated Zone from a place in the State or a supply of Goods to a Designated Zone shall not be considered an Export of those Goods.
4. For the purposes of Clauses 1 and 2 of this Article:
   • a. “Official Evidence” means the export certificate issued by the customs departments in the State or a clearance certificate issued by these departments or the competent authorities in the State regarding the Goods leaving the State after verifying their departure from the State, or a document or clearance certificate certified by the competent authorities in the country of destination stating the entry of the Goods into the country.
   • b. “Commercial Evidence” means the document issued by sea, air or land transport companies and agents, which proves the transfer and departure of the Goods from the State to outside the State, and includes any of the following documents:
     1. Air waybill or air manifest.
     2. Sea waybill or sea manifest.
     3. Land waybill, or land manifest.
   • c. “Shipping Certificate” means a certificate issued by sea, air or land transport companies and agents as an equivalent of a commercial evidence where it is not available.
5. The evidence obtained as proof of Export, whether official or commercial, must identify the following:
   • a. The supplier.
   • b. The consignor.
   • c. The Goods.
   • d. The value.
   • e. The Export destination.
   • f. The mode of transport and route of the export movement.
6. The Authority may decide not to accept the documents submitted if they do not constitute sufficient evidence of the exit of the Goods from the State, and may specify alternative forms of evidence according to the nature of the Export or the nature of the Goods being exported.
7. The Authority may extend the 90-day period mentioned in Clauses 1 and 2 of this Article, if the Authority has determined, after the supplier has applied in writing, that either of the following apply:
   • a. Circumstances beyond the control of the Supplier and the Recipient of Goods have prevented, or will prevent, the Export of the Goods within 90 (ninety) days of the date of supply.
   • b. Due to the nature of the supply, it is not practicable for the supplier to Export the Goods, or a class of the Goods, within 90 (ninety) days of the date of supply.
8. An Indirect Export would include a supply of Goods in a departure area of an airport or port to a passenger of an aircraft or a vessel if:
   • a. The Goods are intended to leave the State in the possession of the passenger.
   • b. The supplier has obtained and retained evidence, such as the details of the boarding pass of the passenger, that the passenger intends to leave for a destination outside the Implementing States.
9. If the Person required to Export the Goods in accordance with this Article does not do so within the period of 90 (ninety) days or a longer period that the Authority has allowed under Clause 7 of this Article, Tax shall be charged on the supply at the rate that would have been due on the supply if it was made in the State.
10. For the purposes of this Article, a supply of Goods shall be subject to the zero rate if the Goods that would otherwise have been exported are destroyed or cease to exist in circumstances beyond the control of both the supplier and the Recipient of the Goods.
11. Customs departments shall check to confirm the type and quantity of the exported Goods with the export documents issued, according to the customs procedures, and based on the classification of the tax risk matrix that is specified in coordination with the Authority.

1. The Direct Export shall be subject to the zero rate if the following conditions are met:
   • a. The Goods are physically exported to a place outside the Implementing States or are put into a customs suspension regime in accordance with GCC Common Customs Law within 90 days of the date of the supply.
   • b. Official and commercial evidence of Export or customs suspension is retained by the exporter.
2. An Indirect Export shall be subject to the zero rate if the following conditions are met:
   • a. The Goods are physically exported to a place outside the Implementing States or are put into a customs suspension regime in accordance with GCC Common Customs Law, within 90 days of the date of the supply under an arrangement agreed by the supplier and the Overseas Customer at or before the date of supply
   • b. The Overseas Customer obtains official and commercial evidence of Export or customs suspension in accordance with GCC Common Customs Law, and provides the supplier with a copy of this.
   • c. The Goods are not used or altered in the time between supply and Export or customs suspension, except to the extent necessary to prepare the Goods for Export or customs suspension.
   • d. The Goods do not leave the State in the possession of a passenger or crew member of an aircraft or ship.
3. For the purposes of this Article, a movement of Goods into a Designated Zone from a place in the State or a supply of Goods to a Designated Zone shall not be considered an Export of those Goods.
4. For the purposes of Clauses 1 and 2 of this Article:
   • a. “Official evidence” means Export documents issued by the local Emirate Customs Department in respect of Goods leaving the State.
   • b. “Commercial evidence” shall include any the following:
   • (1) Airway bill.
   • (2) Bill of lading.
   • (3) Consignment note.
   • (4) Certificate of shipment.
5. The evidence obtained as proof of Export, whether official or commercial, must identify the following:
   • a. The supplier.
   • b. The consignor.
   • c. The Goods.
   • d. The value.
   • e. The Export destination.
   • f. The mode of transport and route of the export movement.
6. The Authority may specify alternative forms of evidence according to the nature of the Export or the nature of the Goods being exported.
7. The Authority may extend the 90-day period mentioned in Clauses 1 and 2 of this Article, if the Authority has determined, after the supplier has applied in writing, that either of the following apply:
   • a. Circumstances beyond the control of the Supplier and the Recipient of Goods have prevented, or will prevent, the Export of the Goods within 90 days of the date of supply.
   • b. Due to the nature of the supply, it is not practicable for the supplier to Export the Goods, or a class of the Goods, within 90 days of the date of supply.
8. An Indirect Export would include a supply of Goods in a departure area of an airport or port to a passenger of an aircraft or a vessel if:
   • a. The Goods are intended to leave the State in the possession of the passenger.
   • b. The supplier has obtained and retained evidence, such as the details of the boarding pass of the passenger, that the passenger intends to leave for a destination outside the Implementing States.
9. If the Person required to Export the Goods in accordance with this Article does not do so within the period of 90 days or a longer period that the Authority has allowed under Clause 7 of this Article, Tax shall be charged on the supply at the rate that would have been due on the supply if it was made in the State.
10. For the purposes of this Article a supply of Goods shall be subject to the zero rate if Goods that would otherwise have been exported are destroyed or cease to exist in circumstances beyond the control of both the supplier and the Recipient of the Goods.
11. Customs Departments shall check to confirm the type and quantity of the exported goods with its export documents.

1. The Export of Services shall be zero-rated in the following cases:
   • a. If the following conditions are met:
     1. The Services are supplied to a Recipient of Services who does not have a Place of Residence in an Implementing State and who is outside the State at the time the Services are performed,
     2. The Services are not supplied directly in connection with real estate situated in the State or any improvement to the real estate or directly in connection with moveable assets situated in the State at the time the Services are performed, and
     3. The Services are not treated as being performed in the State or in a Designated Zone under Clauses 3 to 8 of Article 30 and Article 31 of the Decree-Law.
   • b. If the services are actually performed outside the Implementing States or are the arranging of services that are actually performed outside the Implementing States.
   • c. If the supply consists of the facilitation of outbound tour packages, for that part of the service.
2. For the purpose of paragraph (a) of Clause 1 of this Article, a Person shall be considered as being “outside the State” if they only have a presence in the State of less than 30 (thirty) days and the presence is not effectively connected with the supply.
3. As an exception to paragraph (a) of Clause 1 of this Article, a supply of Services shall not be zero-rated, if the supply is made under an agreement that is entered into, whether directly or indirectly, with a Recipient of Services who is a Non-Resident, if the following two conditions are met:
   • a. The performance of the Services is, or it is reasonably foreseeable that the performance of the Services will be, received in the State by another Person, including but not limited to, an employee or a director of the Non-Resident Recipient of Services.
   • b. It is reasonably foreseeable, at the time the agreement is entered into, that the other Person in the State will receive Services for which Input Tax is not recoverable in full under Article 54 or Article 57 of the Decree-Law.
4. For the purposes of paragraph (c) of Clause 1 of this Article, services that consist of the “facilitation of outbound tour packages” means the services that a Taxable Person provides in packaging one or more tourism products and also services outside the Implementing States, including but not limited to such goods and services as accommodation, meals, transport, and other activities.

1. The Export of Services shall be zero-rated in the following cases.
   • a. If the following conditions are met:
     1. The Services are supplied to a Recipient of Services who does not have a Place of Residence in an Implementing State and who is outside the State at the time the Services are performed;
     2. The Services are not supplied directly in connection with real estate situated in the State or any improvement to the real estate or directly in connection with moveable personal assets situated in the State at the time the Services are performed .
   • b. If the services are actually performed outside the Implementing States or are the arranging of services that are actually performed outside the Implementing States.
   • c. If the supply consists of the facilitation of outbound tour packages, for that part of the service.
2. For the purpose of paragraph (a) of Clause 1 of this Article, a Person shall be considered as being “outside the State” if they only have a short-term presence in the State of less than a month and the presence is not effectively connected with the supply.
3. As an exception to paragraph (a) of Clause 1 of this Article, a supply of Services shall not be zero-rated, if the supply is made under an agreement that is entered into, whether directly or indirectly, with a Recipient of Services who is a Non-Resident, if all of the following conditions are met:
   • a. The performance of the Services is, or it is reasonably foreseeable that the performance of the Services will be, received in the State by another Person, including but not limited to, an employee or a director of the Non-Resident Recipient of Services.
   • b. It is reasonably foreseeable, at the time the agreement is entered into, that that other Person in the State will receive the Services in the course of making supplies for which Input Tax is not recoverable in full under Article 54 of the Decree-Law.
4. For the purposes of paragraph (c) of Clause 1 of this Article, services that consist of the “facilitation of outbound tour packages” means the services that a Taxable Person provides in packaging one or more tourism products and also services outside the Implementing States, including but not limited to such goods and services as accommodation, meals, transport, and other activities.

1. The supply of international transportation Services for passengers and Goods and Transport-related Services shall be subject to the zero rate in the following cases:
   • a. Transporting passengers or Goods from a place in the State to a place outside the State.
   • b. Transporting passengers or Goods from a place outside the State to a place in the State.
   • c. Transporting passengers from a place in the State to another place in the State by sea or air or land as part of a supply of an international transport of those passengers if either or both the first place of departure, or the final place of destination, is outside the State.
   • d. Transporting Goods from a place in the State to another place in the State if the Services are supplied by the same supplier as part of the supply of Services of transporting these Goods either from a place in the State to a place outside the State or from a place outside the State to a place in the State.
2. The following Goods and Services shall be zero-rated if they are supplied in respect of the transportation Services of passengers or Goods to which Clause 1 of this Article applies:
   • a. The Goods which are supplied for use or consumption or sale by or on an aircraft or a ship.
   • b. The Services supplied to the recipient of transportation services during the supply of transportation services.
   • c. The Service of insuring, or the arranging of the insurance, or the arranging of the transport of passengers or Goods.
3. A supply of a postage stamp issued by Emirates Post Group Company shall be zero-rated where the postage stamp may only be used or redeemed for transportation of Goods to a place outside the State.

1. The supply of international transportation Services for Passengers and Goods and Transport-related Services shall be subject to the zero rate in the following cases:
   • a. Transporting passengers or Goods from a place in the State to a place outside the State.
   • b. Transporting passengers or Goods from a place outside the State to a place in the State.
   • c. Transporting passengers from a place in the State to another place in the State by sea or air or land as part of a supply of an international transport of those passengers if either or both the first place of departure, or the final place of destination, is outside the State.
   • d. Transporting Goods from a place in the State to another place in the State if the Services are supplied as part, or for the purpose, of the supply of Services of transporting Goods either from a place in the State to a place outside the State or from a place outside the State to a place in the State.
2. The following Goods and Services shall be zero-rated if they are supplied in respect of the transportation services of passengers or Goods to which either Clause 1 of this Article applies or which are treated as taking place outside the State:
   • a. The Goods which are supplied for use or consumption or sale by or on an aircraft or a ship.
   • b. The Services supplied during the supply of transportation services.
   • c. The Service of insuring, or the arranging of the insurance, or the arranging of the transport of passengers or Goods.
3. A supply of a postage stamp issued by Emirates Post Group shall be zero-rated where the postage stamp may only be redeemed for transportation of Goods to a place outside the State.

The supply and Import of the following means of transport shall be subject to the zero rate in the following cases:

1. An aircraft that is designed or adapted to be used for commercial transportation of passengers or Goods and which is not designed nor adapted for recreation, pleasure or sports.
2. A ship, boat or floating structure that is designed or adapted for use for commercial transportation of passengers and Goods and which is not designed nor adapted for recreation, pleasure or sports.
3. A bus or train that is designed or adapted to be used for public transportation of 10 (ten) or more passengers.

The supply of the means of transport shall be subject to the zero rate in the following cases:

1. A supply of an aircraft that is designed or adapted to be used for commercial transportation of passengers or Goods and which is not designed or adapted for recreation, pleasure or sports.
2. A supply of a ship, boat or floating structure that is designed or adapted for use for commercial purposes and which is not designed or adapted for recreation, pleasure or sports.
3. A supply of bus or train that is designed or adapted to be used for public transportation of 10 or more passengers.

The following Goods and Services that are related to the means of transport mentioned in Article 34 of this Decision shall be subject to the zero rate:

1. Goods, except fuel or other oil or gas products, that are supplied or imported in the course of operating, repairing, maintaining or converting such means of transport, if any of the following occurs:
   • a. The Goods shall be incorporated into, affixed to, attached to or form part of those means of transport.
   • b. The Goods are consumable Goods that become unusable or worthless as a direct result of being used in the operation, repair, maintenance, or conversion process.
2. The following Services which are supplied directly in connection with the means of transport referred to in Article 34 of this Decision for the purposes of operating, repairing, maintaining or converting the means of transport:
   • a. The services of repairing the means of transport if carried out on board of the means of transport.
   • b. The services of maintaining the means of transport if carried out on board of the means of transport, including the services of inspection and testing of the means of transport, its parts and equipment, cleaning, repainting, and other similar services.
   • c. The services of converting the means of transport, provided that, after the completion of the conversion process, the means of transport continue to satisfy the cases stipulated in Article 34 of this Decision.
3. Services which are supplied directly in connection with parts and equipment of a means of transport referred to in Article 34 of this Decision for the purpose of repairing and maintaining those parts and equipment, provided that any of the following applies:
   • a. The services are carried out on board of the means of transport.
   • b. The part or equipment is removed for repair or maintenance, and is subsequently replaced in the same means of transport.
   • c. The part or equipment is removed for repair or maintenance, and is subsequently held in stock for the future use as spares in the same means of transport or another means of transport.
   • d. The part or equipment could not be repaired and is exchanged for an identical part or equipment.

1. The Goods and Services related to the supply of the means of transport mentioned in Article 34 of this Decision shall be subject to the zero rate if they are any of the following:
   • a. Goods, except fuel or other oil or gas products, that are supplied in the course of operating, repairing, maintaining or converting means of transport in any of the following cases:
     1. The Goods shall be incorporated into, affixed to, attached to or form part of those means of transport.
     2. The Goods are consumable Goods that become unusable or worthless as a direct result of being used in the operation, repair, maintenance, or conversion process.
   • b. Services which are supplied directly in connection with means of transport referred to in Article 34 of this Decision for the purposes of operating, repairing, maintaining or converting those means of transport.
   • c. Services which are supplied directly in connection with parts and equipment of a means of transport referred to in Article 34 of this Decision for the purpose of repairing and maintaining those parts and equipment, provided that any of the following applies:
     1. The services are carried out on board of the means of transport.
     2. The part or equipment is removed for repair or maintenance, and is subsequently replaced in the same means of transport.
     3. The part or equipment is removed for repair or maintenance, and is subsequently held in stock for the future use as spares in the same means of transport or another means of transport.
     4. The part or equipment cannot be repaired and is exchanged for an identical part or equipment.

1. The phrase “residential building” means a building intended and designed for human occupation, including:
   • a. Any building or part of a building that the person occupies, or that it can be foreseen that a person will occupy, as their principal place of residence.
   • b. Residential accommodation for students or school pupils.
   • c. Residential accommodation for armed forces and police.
   • d. Orphanages, nursing homes, and rest homes.
2. A “Residential building” does not include any of the following:
   • a. Any place that is not a building fixed to the ground and can be moved without being damaged.
   • b. Any building that is used as a hotel, motel, bed and breakfast establishment, or hospital or the like.
   • c. A hotel apartment or serviced apartment or the like.
   • d. Any building constructed or converted without lawful authority.
3. A building shall be considered as a residential building if a small proportion of it is used as an office or workspace by the occupants, if it includes garages and gardens used in conjunction with it, or it includes any other features that may be considered to comprise part of the residential building.

1. The phrase “residential building” means a building intended and designed for human occupation, including:
   • a. Any building or part of a building that the person occupies, or that it can be foreseen that a person will occupy, as their principal place of residence.
   • b. Residential accommodation for students or school pupils.
   • c. Residential accommodation for armed forces and police.
   • d. Orphanages, nursing homes, and rest homes.
2. A “Residential building” does not include any of the following:
   • a. Any place that is not a building fixed to the ground and can be moved without being damaged.
   • b. Any building that is used as a hotel, motel, bed and breakfast establishment, or hospital or the like.
   • c. A serviced apartment for which services in addition to the supply of accommodation are provided.
   • d. Any building constructed or converted without lawful authority.
3. A building shall be considered as a residential building if a small proportion of it is used as an office or workspace by the occupants, if it includes garages and gardens used in conjunction with it, or it includes any other features that may be said to comprise part of the residential building.

The first sale or a lease of a building, or any part of a building, shall be zero-rated if it was specifically designed to be used by a Charity and solely for a Relevant Charitable Activity.

1. The first sale or a lease of a building, or any part of a building, shall be zero-rated if the building was specifically designed to be used by a Charity and solely for a relevant charitable activity.
2. In Clause 1 of this Article, “relevant charitable activity” means an activity for the purpose other than for the purpose of profit or benefit to any proprietor, member, or shareholder of the Charity, and one which is undertaken by the Charity in the course or furtherance of its charitable purpose or objectives to carry out a charitable activity in the State as approved by the Ministry of Community Development, or under the conditions of its establishment as a charity under Federal or Emirate Decree, or as otherwise licensed to operate as a Charity by an agency of the Federal or Emirate Governments authorised to grant such licences. Such charitable purposes and objectives include, for instance, advancing health, education, public welfare, religion, culture, science and similar activities.

1. The phrase “Healthcare Services” means any Service supplied that is generally accepted in the medical profession as being necessary for the treatment of the Recipient of the supply, including preventive treatment.
2. A supply of healthcare services shall be zero rated on the condition that the supply shall:
   • a. Be made by a healthcare body or institution, doctor, nurse, technician, dentist, or pharmacy, licensed by the Ministry of Health and Prevention or by any other competent authority concerned with healthcare.
   • b. Relate to the wellbeing of a human being.
3. “Healthcare services” do not include any of the following:
   • a. Any part of a supply that relates to staying in or attending an establishment the principal purpose of which is to provide holiday accommodation or entertainment such that any Healthcare Service is incidental to the provision of the accommodation or entertainment.
   • b. Elective treatment for cosmetic reasons other than prescribed by a doctor or medical professional for treating or prevention of a medical condition.
4. A supply of Goods or an Import of Concerned Goods is zero-rated if it is a supply or an Import of:
   • a. Any pharmaceutical products as specified in a decision issued by the Cabinet.
   • b. Any medical equipment as specified in a decision issued by the Cabinet.
   • c. Any other Goods not covered by paragraphs (a) and (b) of this Clause which are supplied in the course of supplying a Person with zero-rated Healthcare Services that are necessary for the supply of such Healthcare Services.

1. The phrase “healthcare services” means any Service supplied that is generally accepted in the medical profession as being necessary for the treatment of the Recipient of the supply including preventive treatment.
2. A supply of healthcare services shall be zero rated on the condition that the supply shall:
   • a. Be made by a healthcare body or institution, doctor, nurse, technician, dentist, or pharmacy, licensed by the Ministry of Health or by any other competent authority.
   • b. Relate to the wellbeing of a human being.
3. “Healthcare services” do not include any of the following:
   • a. Any part of a supply that relates to staying in or attending an establishment the principal purpose of which is to provide holiday accommodation or entertainment such that any healthcare service is incidental to the provision of the accommodation or entertainment.
   • b. Elective treatment for cosmetic reasons other than prescribed by a doctor or medical professional for treating or prevention of a medical condition.
4. A supply of Goods is zero-rated if it is a supply of:
   • a. Any pharmaceutical products identified in a decision issued by the Cabinet.
   • b. Any medical equipment identified in a decision issued by the Cabinet.
   • c. Any other Goods not covered by paragraphs (a) and (b) of this Clause which are supplied in the course of supplying a Person with zero-rated healthcare services that are necessary for the supply of such healthcare services.

1. For the purposes of this Article:
   • a. The phrase “debt security” means any interest in or right to be paid money that is, or is to be, owing by any Person, or any option to acquire any such interest or right.
   • b. The phrase “equity security” means any interest in or right to a share in the capital of a legal person, or any option to acquire any such interest or right.
   • c. The phrase “life insurance contract” means a contract lawfully entered into to the extent that it places a sum or sums at risk upon the contingency of the termination or continuance of human life, marriage, similar relationships permitted under applicable law, or the birth of a child.
   • d. The phrase “Islamic financial arrangement” means a written contract which relates to a supply of financing in accordance with the principles of Shariah and relevant laws.
2. Financial Services are Services connected to dealings in money (or its equivalent) and the provision of credit and include for instance the following:
   • a. The exchange of currency, whether effected by the exchange of bank notes or coin, by crediting or debiting accounts, or the like.
   • b. The issue, payment, collection, or transfer of ownership of a cheque or letter of credit.
   • c. The issue, allotment, drawing, acceptance, endorsement, or transfer of ownership of a debt security.
   • d. The provision of any loan, advance or credit.
   • e. The renewal or variation of a debt security, equity security, or credit contract.
   • f. The provision, taking, variation, or release of a guarantee, indemnity, security, or bond in respect of the performance of obligations under a cheque, credit, equity security, debt security, or in respect of the activities specified in paragraphs (b) to (e) of this Clause.
   • g. The operation of any current, deposit or savings account.
   • h. The provision or transfer of ownership of financial instruments such as derivatives, options, swaps, credit default swaps, and futures.
   • i. The provision or transfer of ownership of a life insurance contract or the provision of re-insurance in respect of any such contract.
   • j. The management of investment funds, which means “services provided by the fund manager independently for a consideration, to funds licensed by a competent authority in the State, including but not limited to, management of the fund’s operations, management of investments for or on behalf of the fund, monitoring and improvement of the fund’s performance”.
   • k. The transfer of ownership of Virtual Assets, including virtual currencies.
   • l. The conversion of Virtual Assets.
   • m. Keeping and managing Virtual Assets and enabling control thereof.
   • n. Agreeing to do or arranging any of the activities specified in paragraphs (a) to (m) of this Clause, other than advising thereon.
3. The following financial services shall be exempted:
   • a. Activities under Clause 2 of this Article where they are not conducted in return for an explicit fee, discount, commission, and rebate or similar.
   • b. The issue, allotment, or transfer of ownership of an equity security or a debt security.
   • c. The provision or transfer of ownership of a life insurance contract or the provision of re-insurance in respect of any such contract.
   • d. Fund management services described in paragraph (j) of Clause 2 of this Article.
   • e. Services specified in paragraphs (k) and (l) of Clause 2 of this Article, including services supplied on or after 1 January 2018.
4. Activities under Clause 2 of this Article shall be subject to tax where the consideration payable in respect of a supply of Services is an explicit fee, commission, discount, and rebate or similar.
5. Islamic finance products, being financial products under contract which are certified as Islamic Shariah compliant, which simulate the intention and achieve effectively the same result as a non-Shariah compliant financial product, will be treated in a similar manner as the equivalent non-Shariah financial product for the purpose of applying exemption from Tax.
6. Any supply made under an Islamic financial arrangement shall be treated in such a way as to give an outcome for the purposes of the Decree-Law and the decisions issued by the Authority, comparable to that which would be the case for their non-Islamic counterparts.
7. Where Article 31 of this Decision applies in respect of a supply of financial services, this supply should be treated as zero-rated.

1. For the purposes of this Article:
   • a. The phrase “debt security” means any interest in or right to be paid money that is, or is to be, owing by any Person, or any option to acquire any such interest or right;
   • b. The phrase “equity security” means any interest in or right to a share in the capital of a legal person, or any option to acquire any such interest or right;
   • c. The phrase “life insurance contract” means a contract lawfully entered into to the extent that it places a sum or sums at risk upon the contingency of the termination or continuance of human life, marriage, similar relationships permitted under applicable law, or the birth of a child.
   • d. The phrase “Islamic financial arrangement” means a written contract which relates to a supply of financing in accordance with the principles of Shariah.
2. Financial services are services connected to dealings in money (or its equivalent) and the provision of credit and include for instance the following:
   • a. The exchange of currency, whether effected by the exchange of bank notes or coin, by crediting or debiting accounts, or otherwise.
   • b. The issue, payment, collection, or transfer of ownership of a cheque or letter of credit.
   • c. The issue, allotment, drawing, acceptance, endorsement, or transfer of ownership of a debt security.
   • d. The provision of any loan, advance or credit.
   • e. The renewal or variation of a debt security, equity security, or credit contract.
   • f. The provision, taking, variation, or release of a guarantee, indemnity, security, or bond in respect of the performance of obligations under a cheque, credit, equity security, debt security, or in respect of the activities specified in paragraphs (b) to (e) of this Article.
   • g. The operation of any current, deposit or savings account.
   • h. The provision or transfer of ownership of financial instruments such as derivatives, options, swaps, credit default swaps, and futures.
   • i. The payment or collection of any amount of interest, principal, dividend, or other amount whatever in respect of any debt security, equity security, credit, and contract of life insurance.
   • j. Agreeing to do, or arranging, any of the activities specified in paragraphs (a) to (i) of this Clause, other than advising thereon.
3. The following financial services shall be exempted:
   • a. Activities under Clause 2 of this Article where they are not conducted in return for an explicit fee, discount, commission, and rebate or similar.
   • b. The issue, allotment, or transfer of ownership of an equity security or a debt security;
   • c. The provision or transfer of ownership of a life insurance contract or the provision of re-insurance in respect of any such contract.
4. Activities under Clause 2 of this Article shall be subject to tax where the consideration payable in respect of a supply of Services is an explicit fee, commission, discount, and rebate or similar.
5. Islamic finance products, being financial products under contract which are certified as Islamic Shariah compliant, which simulate the intention and achieve effectively the same result as a non-Shariah compliant financial product, will be treated in a similar manner as the equivalent non-Shariah financial product for the purpose of applying exemption from Tax.
6. Any supply made under an Islamic financial arrangement shall be treated in such a way as to give an outcome for the purposes of the Decree-Law and the decisions issued by the Authority, comparable to that which would be the case for their non-Islamic counterparts.
7. Where Article 31 of this Decision applies in respect of a supply of financial services, this supply should be treated as zero-rated.

For the purposes of the supply consisting of more than one component:

1. Where a supply is a single composite supply as provided in Article 4 of this Decision:
   • a. The Tax treatment of the supply shall follow the Tax treatment of the principal component of the supply.
   • b. If a single composite supply does not contain a principal component, the Tax treatment shall, generally, be applied based on the nature of the supply as a whole.
2. Where a supply consisting of multiple components is not a single composite supply, the supply of each component is to be treated as a separate supply.

For the purposes of the supply consisting of more than one component:

1. Where a supply is a single composite supply as provided in Article 4 of this Decision, the Tax treatment of the supply shall follow the Tax treatment of the principal component of the supply.
2. Where a supply consisting of multiple components is not a single composite supply, the supply of each component is to be treated as a separate supply.

1. Where Concerned Goods are imported by a Person not registered for Tax or where the Taxable Person does not meet the conditions in Clause 1 of Article 48 of this Decision, Tax shall be paid to the Authority by or on behalf of the Person before these Goods may be released.
2. The Customs Departments shall cooperate with the Authority to ensure that Payable Tax on Import has been settled before releasing of Goods.
3. Tax referred to in Clause 1 of this Article must be settled using the payment method specified by the Authority.
4. For the purposes of Clause 1 of this Article, where a Person who is not registered for Tax imports Goods is using an agent who acts on behalf of the Person for the purposes of importing the Goods into the State and who is registered for Tax in the State, the agent shall be responsible for the payment of the Tax in respect of such imported Goods.
5. For the purposes of Clause 4 of this Article, the Tax shall be reported and paid through the agent’s Tax Return as though the agent himself was the importer of the Goods.
6. An agent who has paid Tax in accordance with Clause 4 of this Article shall not recover as Input Tax any Tax paid on behalf of another Person in accordance with obligations set out in this Article.
7. Where an agent has paid Tax on behalf of another Person is accordance with this Article, it shall issue a statement to that other Person which contains, at the minimum, all of the following details:
   • a. The name, address, and Tax Registration Number of the agent.
   • b. The date upon which the statement is issued.
   • c. The date of Import of the relevant Goods.
   • d. A description of the imported Goods.
   • e. The amount of Tax paid by the agent to the Authority in respect of the imported Goods.
8. The statement issued by the agent to a Person in accordance with this Article shall be treated as a Tax Invoice for the purposes of the documentation requirements in paragraph (a) of Clause 1 of Article 55 of the Decree-Law.

1. Where Concerned Goods are imported by a Person not registered for Tax or where the Taxable Person does not meet the conditions in Clause 1 of Article 48 of this Decision, Tax shall be paid to the Authority by or on behalf of the Person before the Goods may be released.
2. The Customs Departments shall cooperate with the Authority to ensure that Payable Tax on Import has been settled before releasing of Goods.
3. Tax referred to in Clause 1 of this Article must be settled using the payment method specified by the Authority.
4. For the purposes of Clause 1 of this Article, where a Person who is not registered for Tax imports Goods is using an agent who acts on behalf of the Person for the purposes of importing the Goods into the State and who is registered for Tax in the State, the agent shall be responsible for the payment of the Tax in respect of the Import of Goods.
5. The obligation on the agent under Clause 4 of this Article to pay Tax on behalf of another Person shall be met as part of the agent’s Tax Return and pay Tax as though he imported the goods himself.
6. An agent who has paid tax in accordance with Clause 4 of this Article shall not recover as Input Tax any Tax paid on behalf of another Person in accordance with obligations set out in this Article.
7. Where an agent has paid Tax on behalf of another Person is accordance with this Article, it shall issue a statement to that other Person which contains, at the minimum, all of the following details:
   • a. The name, address, and Tax Registration Number of the agent.
   • b. The date upon which the statement is issued.
   • c. The date of Import of the relevant Goods.
   • d. A description of the imported Goods.
   • e. The amount of Tax paid by the agent to the Authority in respect of the imported Goods.
8. The statement issued by the agent to a Person in accordance with this Article shall be treated as a Tax Invoice for the purposes of the documentation requirements in paragraph (a) of Clause 1 of Article 55 of the Decree-Law.

1. Supplies referred to in paragraph (c) of Clause 1 of Article 54 of the Decree-Law are the supplies of financial Services, where the place of supply of these Services is treated as outside the State and the Recipient of Services is outside the State at the time when the Services are performed.
2. For the purpose of Clause 1 of this Article a Person is “outside the State” even if they are present in the State, provided it is only a short-term presence in the State of less than a month, and that his presence is not effectively connected with the supply.
3. Any Tax paid by a Person in another Implementing State on the Import of Goods to the State through that Implementing State or on the supply of Goods to this Person in that Implementing State where the Goods are then transferred to the State, is recoverable in the State if the relevant Goods will be used or are intended to be used in accordance with Clause 1 of Article 54 of the Decree-Law and the following conditions are satisfied:
   • a. The Taxable Person keeps evidence that he has paid Tax in another Implementing State in respect of the relevant Goods.
   • b. The Taxable Person has not recovered the Tax paid in any other Implementing State.
   • c. The Taxable Person has complied with any additional reporting requirement that the Authority may specify.
4. Where the first supply of a residential building by a Taxable Person is by way of lease which is zero-rated in accordance with provisions of the Decree-Law, the Taxable Person may recover Input Tax in full in respect of that supply regardless of any future intention to make later exempt supplies in respect of that residential building.

1. Supplies referred to in paragraph (c) of Clause 1 of Article 54 of the Decree-Law are the supplies of financial Services, where the place of supply of these Services is treated as outside the State and the Recipient of Services is outside the State at the time when the Services are performed.
2. For the purpose of Clause 1 of this Article a Person is “outside the State” even if they are present in the State, provided it is only a short-term presence in the State of less than a month, or that his presence is not effectively connected with the supply.
3. Any Tax paid by a Person in another Implementing State on the Import of Goods to the State through that Implementing State or on the supply of Goods to this Person in that Implementing State where the Goods are then transferred to the State, is recoverable in the State if the relevant Goods will be used or are intended to be used in accordance with Clause 1 of Article 54 of the Decree-Law and the following conditions are satisfied:
   • a. The Taxable Person keeps evidence that he has paid Tax in another Implementing State in respect of the relevant Goods.
   • b. The Taxable Person has not recovered the Tax paid in any other Implementing State.
   • c. The Taxable Person has complied with any additional reporting requirement that the Authority may specify.
4. Where the first supply of a residential building by a Taxable Person is by way of lease which is zero-rated in accordance with provisions of the Decree-Law, the Taxable Person may recover Input Tax in full in respect of that supply regardless of any future intention to make later exempt supplies in respect of that residential building.

1. Input Tax shall be non-recoverable if it is incurred by a Person in the following cases:
   • a. Where the Person is not a Government Entity as specified in a Cabinet Decision in accordance with Article 10 and 57 of the Decree-Law, and there is provision of entertainment services to anyone not employed by the Person, including customers, potential customers, officials, or shareholder or other owners or investors.
   • b. Where motor vehicles were purchased, rented or leased for use in the Business and are available for personal use by any Person.
   • c. Where Goods or Services were purchased to be used by employees for no charge to them and for their personal benefit including the provision of entertainment services, except in the following cases:
     1. Where it is a legal obligation to provide those Services or Goods to those employees under any applicable labour law in the State or Designated Zone.
     2. Where it is a contractual obligation or documented policy to provide those services or goods to those employees in order that they may perform their role and it can be proven to be normal business practice in the course of employing those people.
     3. Without prejudice to Clause 1 of this paragraph, where the Taxable Person provides health insurance, including enhanced health insurance, to its employees and their family members (as applicable) up to a husband or one wife, and three children younger than eighteen years.
     4. Where the provision of goods or services is a deemed supply under the provisions of the Decree-Law.
2. For the purposes of this Article:
   • a. The phrase “entertainment services” shall mean hospitality of any kind, including the provision of accommodation, food and drinks which are not provided in a normal course of a meeting, access to shows or events, or trips provided for the purposes of pleasure or entertainment.
   • b. The phrase “motor vehicle” shall mean a road vehicle which is designed or adapted for the conveyance of no more than 10 (ten) people including the driver. A motor vehicle shall exclude a truck, forklift, hoist or other similar vehicle.
3. Provision of catering and accommodation services shall not be treated as entertainment services where it is provided by a transportation service operator, such as an airline, to passengers who have been delayed.
4. A motor vehicle shall not be treated as being available for private use if it is within any of the following categories:
   • a. a taxi licensed by the competent authority within the State;
   • b. a motor vehicle registered as, and used for purposes of an emergency vehicle, including by police, fire, ambulance, or similar emergency service;
   • c. a vehicle which is used in a vehicle rental business where it is rented to a customer.

1. Input Tax shall be non-recoverable if it is incurred by a Person in respect of the following Taxable Supplies:
   • a. Where the Person is not a Government Entity as specified in a Cabinet Decision in accordance with Article 10 and 57 of the Decree-Law, and there is provision of entertainment services to anyone not employed by the Person, including customers, potential customers, officials, or shareholder or other owners or investors.
   • b. Where a motor vehicle was purchased, rented or leased for use in the Business and is available for personal use by any Person.
   • c. Where Goods or Services were purchased to be used by employees for no charge to them and for their personal benefit including the provision of entertainment services, except in the following cases:
   • (1) where it is a legal obligation to provide those Services or Goods to those employees under any applicable labour law in the State or Designated Zone.
   • (2) it is a contractual obligation or documented policy to provide those services or goods to those employees in order that they may perform their role and it can be proven to be normal business practice in the course of employing those people;
   • (3) where the provision of goods or services is a deemed supply under the provisions of the Decree-Law.
2. For the purposes of this Article:
   • a. The phrase “entertainment services” shall mean hospitality of any kind, including the provision of accommodation, food and drinks which are not provided in a normal course of a meeting, access to shows or events, or trips provided for the purposes of pleasure or entertainment.
   • b. The phrase “motor vehicle” shall mean a road vehicle which is designed or adapted for the conveyance of no more than 10 people including the driver. A motor vehicle shall exclude a truck, forklift, hoist or other similar vehicle.
3. Provision of catering and accommodation services shall not be treated as entertainment services where it is provided by a transportation service operator, such as an airline, to passengers who have been delayed.
4. A motor vehicle shall not be treated as being available for private use if it is within any of the following categories:
   • a. a taxi licensed by the competent authority within the State;
   • b. a motor vehicle registered as, and used for purposes of an emergency vehicle, including by police, fire, ambulance, or similar emergency service;
   • c. a vehicle which is used in a vehicle rental business where it is rented to a customer.

1. Where there are quarterly Tax Periods, the Tax year shall be as follows:
   • a. Where a Taxable Person’s Tax Period ends on 31 January and quarterly thereafter, the Taxable Person’s Tax year shall end on 31 January of every year.
   • b. Where a Taxable Person’s Tax Period ends on last day of February and quarterly thereafter, the Taxable Person’s Tax year shall end on the last day of February of every year.
   • c. Where a Taxable Person’s Tax Period ends on 31 March and quarterly thereafter, the Taxable Person’s Tax year shall end on 31 March of every year.
2. Where the Tax Period is 12 (twelve) months, the Tax year shall be the same as the Tax Period.
3. Where the Tax Period is one month, the Tax year shall be the total Tax Periods in the year ending on last day of the calendar year.
4. As an exception to Clauses 1, 2 and 3 of this Article, the Tax year shall end in the following cases:
   • a. where a Taxable Person applies for Tax deregistration, the Tax year shall end on the last day such Person was a Taxable Person,
   • b. where a member joins a Tax Group, the Tax year shall end on the last day before joining the Tax Group, or
   • c. where a member leaves a Tax Group, the Tax year shall end on the last day such Person was a member of the Tax Group.
5. In any other case where Clauses 1, 2, 3 and 4 of this Article do not apply, the Authority shall specify the Tax year.
6. To determine the Input Tax that could be recoverable, the Taxable Person shall apportion Input Tax as follows:
   • a. Input Tax on supplies that wholly relate to supplies as specified in Clause 1 of Article 54 and Article 57 of the Decree-Law made by the Taxable Person may be recoverable in full.
   • b. Input Tax that is not recoverable in accordance with Article 53 of this Decision or that does not relate to supplies specified in Clause 1 of Article 54 and Article 57 of the Decree-Law made by the Taxable Person may not be recoverable unless the provisions of the Decree-Law and this Decision provide otherwise.
   • c. Input Tax that partly relates to supplies as specified in Clause 1 of Article 54 and Article 57 of the Decree-Law and partly not, shall be calculated in accordance with Clause 7 of this Article, and only the part that relates to supplies specified in Clause 1 of Article 54 and Article 57 of the Decree-Law may be recoverable.
7. The Input Tax that could be recoverable shall be calculated as follows:
   • a. The Taxable Person shall calculate the percentage of Recoverable Tax with reference to Clause 1 of Article 54 and Article 57 of the Decree-Law, to the sum of Input Tax for the Tax Period.
   • b. The percentage calculated under paragraph (a) of this Clause shall be rounded to the nearest whole number.
   • c. The percentage calculated under paragraph (b) of this Clause shall be multiplied by the amount of Input Tax referred to in paragraph (c) of Clause 6 of this Article to establish the recoverable portion of that Input Tax.
8. The calculations referred to above shall be undertaken in respect of each Tax Period where Input Tax incurred relates to making Exempt Supplies or to activities that are not in the course of Business.
9. At the end of each Tax year the Taxable Person shall undertake the calculation mentioned in Clause 7 of this Article, but in respect of the entire Tax year just ended in the first Tax Period of its subsequent Tax year.
10. The Input Tax properly recoverable for the Tax year just ended as described in Clause 9 of this Article shall be compared to the Input Tax amount actually recovered in all the Tax Periods making up the Tax year, and an adjustment to the Recoverable Tax shall be made in the Tax Period mentioned in Clause 9 of this Article.
11. If the difference in any Tax year between the Recoverable Tax as calculated under this Article and the Recoverable Tax which would arise if a calculation was made which reflects the actual use of the Goods and Services to which the Input Tax relates, exceeds AED 250,000 (two hundred fifty thousand dirhams), the Taxable Person shall, in the Tax Period referred to in Clause 9 of this Article, make an adjustment to the Input Tax in respect of the difference.
12. For purposes of Clauses 4 and 11 of this Article, where a Tax year is less than 12 (twelve) months, the amount mentioned in Clause 11 of this Article must be adjusted to an amount proportionate to the length of such Tax Period.
13. Where the application of the calculations mentioned in this Article would give a result which the Taxable Person considers would not reflect the actual extent to which the Input Tax relates to making Taxable Supplies, he may apply to the Authority to authorise the use of an alternative basis of calculation based on the list of accepted mechanisms determined by the Authority. The Authority may oblige the Taxable Person to submit such application.
14. The Authority may approve that the Taxable Person may use an alternative mechanism of apportionment of Input Tax than that referred to in this Article from such future date as per any conditions determined by the Authority.
15. The Taxable Person may only apply to change the alternative mechanism after at least two Tax years from the approval to use such mechanism.
16. Without prejudice to Clauses 9, 10 and 11 of this Article, the Taxable Person may apply to the Authority to approve the use of a specified recovery percentage to calculate the recoverable Input Tax in any Tax Period based on the recovery percentage of the preceding Tax year.
17. The Authority may request such information from the Taxable Person as it believes necessary to make a decision regarding application made under Clause 13 or 16 of this Article.
18. If the Authority accepts the application made under Clause 13 or 16 of this Article, it shall issue a Notification to the Taxable Person setting out the alternative calculation method and conditions for using of such method.

1. Where there are quarterly Tax Periods, the Tax year shall be as follows:
   • a. Where a Taxable Person’s Tax Period ends on 31 January and quarterly thereafter, the Taxable Person’s Tax year shall end on 31 January of every year.
   • b. Where a Taxable Person’s Tax Period ends on last day of February and quarterly thereafter, the Taxable Person’s Tax year shall end on the last day of February of every year.
   • c. Where a Taxable Person’s Tax Period ends on 31 March and quarterly thereafter, the Taxable Person’s Tax year shall end on 31 March of every year.
2. Where the Tax Period is 12 months, the Tax year shall be the same as the Tax Period.
3. Where the Tax Period is 1 month, the Tax year shall be the total Tax Periods in the year ending on last day of the calendar year.
4. In any other case where Clauses 2 and 3 do not apply, the Authority shall specify the Tax year.
5. To determine the Input Tax that could be recoverable, the Taxable Person shall apportion Input Tax as follows:
   • a. Input Tax on supplies that wholly relate to supplies as specified in Clause 1 of Article 54 of the Decree-Law made by the Taxable Person shall be recoverable in full.
   • b. Input Tax that does not relate to supplies as specified in Clause 1 of Article 54 of the Decree-Law made by the Taxable Person shall not be recoverable unless provisions allow otherwise.
   • c. Input Tax that partly relates to supplies as specified in Clause 1 of Article 54 of the Decree-Law and partly not, shall be apportioned in accordance with Clause 6 of this Article and only that part that relates to supplies as specified in Clause 1 of Article 54 of the Decree-Law shall be recoverable.
6. The Input Tax that could be recoverable shall be calculated as follows:
   • a. The Taxable Person shall calculate the percentage of Recoverable Tax calculated by reference to Article 54 of the Decree-Law to the sum of Recoverable Tax and non-Recoverable Tax for the Tax Period.
   • b. The percentage calculated under paragraph (a) of this Clause shall be rounded to the nearest whole number.
   • c. The percentage calculated under paragraph (b) of this Clause shall be multiplied by the amount of Input Tax referred to in paragraph (c) of Clause 5 of this Article to establish the recoverable portion of that Input Tax.
7. The calculations referred to above shall be undertaken in respect of each Tax Period where Input Tax incurred relates to making Exempt Supplies or to activities that are not in the course of Business.
8. At the end of each Tax year the Taxable Person shall undertake the calculation mentioned in Clause 6 of this Article, but in respect of the entire Tax year just ended in the first Tax Period of its subsequent Tax year.
9. The Input Tax properly recoverable for the Tax year just ended as described in Clause 8 of this Article shall be compared to the Input Tax amount actually recovered in all the Tax Periods making up the Tax year, and an adjustment to the Recoverable Tax shall be made in the Tax Period mentioned in Clause 8.
10. If the difference in any Tax year between the Recoverable Tax as calculated under this Article and the Recoverable Tax which would arise if a calculation was made which reflects the actual use of the Goods and Services to which the Input Tax relates, exceeds AED 250,000 (two hundred fifty thousand dirhams), the Taxable Person shall, in the Tax Period referred to in Clause 8 of this Article, make an adjustment to the Input Tax in respect of the difference.
11. Where the application of the calculations mentioned in this Article would give a result which the Taxable Person considers would not reflect the actual extent to which the Input Tax relates to making Taxable Supplies, he may apply to the Authority to authorise the use of an alternative basis of calculation based on the list of accepted mechanisms issued by the Authority.
12. The Authority may accept that the Taxable Person may use an alternative mechanism of apportionment of input tax than that referred to in this Article from such future date and as per any further conditions as determined by the Authority.
13. The Taxable Person may only apply to change the alternative mechanism with effect from at least two Tax years after he was first approved to use it.
14. The Authority may request such information from the Taxable Person as it believes is necessary to make a decision regarding application made under Clause 11 of this Article.
15. If the Authority accepts the application made under Clause 11 of this Article, it shall issue a Notification to the Taxable Person setting out the alternative calculation method and conditions for using of such method.

1. A Capital Asset eligible for the Capital Asset Scheme shall be monitored and the Input Tax incurred shall be adjusted, as required in accordance with the provisions of this Article, over a period of either 10 (ten) consecutive years for buildings or parts thereof or 5 (five) consecutive years for other Capital Assets, commencing on the day on which the owner first uses the Capital Asset for the purposes of its Business.
2. Notwithstanding Clause 1 of this Article, if a Capital Asset is destroyed, sold, or otherwise disposed of before the end of the period referred to in Clause 1 of this Article, the Capital Asset Scheme shall cease in respect of the asset in the Tax year in which the asset was destroyed, sold or disposed of.
3. The Tax year in which the Capital Asset is acquired shall be treated as Year 1 for the purposes of the Capital Asset Scheme.
4. A Taxable Person shall keep a Capital Asset register and record therein the Input Tax incurred on the Capital Asset in Year 1 (represented by “W” in this Article) as well as details of any adjustments made to the Input Tax calculations under this Article.
5. The Input Tax recovered on the Capital Asset in Year 1 after any adjustment that may be due under Article 58 of the Decree-Law shall be recorded together with the percentage that gave rise to that recovery (referred to as “X” in this Article).
6. At the end of each year from Year 2 onwards, the Taxable Person shall calculate the percentage of Recoverable Tax for that Capital Asset for that year in accordance with Article 58 of the Decree-Law (referred to as “Q” in this Article).
7. If Q is not equal to X, the Taxable Person shall perform the calculation described in Clauses 8 to 11 of this Article, and shall make an adjustment to his Input Tax.
8. The Taxable Person shall calculate an amount (referred to as “R” in this Article) as:
   • a. One tenth of W multiplied by Q if the Capital Asset is a building or a part thereof; or
   • b. One fifth of W multiplied by Q if the Capital Asset is not a building or a part thereof.
9. The Taxable Person shall calculate an amount (referred to as “Z” in this Article) as:
   • a. One tenth of W multiplied by X if the Capital Asset is a building or a part thereof.
   • b. One fifth of W multiplied by X if the Capital Asset is not a building or a part thereof.
10. Where R is more than Z, the Taxable Person shall increase his Input Tax by the difference.
11. Where R is less than Z, the Taxable Person shall reduce his Input Tax by the difference.
12. If the Capital Asset is disposed of by the Taxable Person in any year other than the final year or the Taxable Person deregistered for Tax and was required to account for tax on the asset as a Deemed Supply, the use to which the Capital Asset is deemed to have been put in any remaining years will be:
    • a. For making Taxable Supplies, where it is disposed of by way of a supply or Deemed Supply that is subject to Tax or would be subject to Tax were it to be made in the State.
    • b. For making Exempt Supplies, where it is disposed of by way of a supply that is exempt or would be exempt were it to be made in the State.
    • c. Not in the course of conducting Business, where is it disposed of by way of a transaction that is not deemed as supply in the course of Business, unless it is deemed as a supply according to the meaning provided in Clause 2 of Article 7 of the Decree-Law.
13. Where a Taxable Person transfers his Capital Assets as part of a transfer of his Business or a part thereof according to Clause 2 of Article 7 of the Decree-Law, or to become a member of a Tax Group, or to leave a Tax Group and immediately become a Taxable Person on a stand-alone basis, then the Tax year then applying shall end on the day the Taxable Person transfers the Business or part of the Business, or becomes or ceases to be part of a Tax Group. On the next day, the next Tax year shall commence with the owner of the Capital Assets.
14. Where a Person who registers for Tax has already owned a Capital Asset for the purpose of his Business before registration for Tax, Year 1 shall be deemed to have commenced on the date of first use by that Person.
15. For the purposes of Clauses 12 and 13 of this Article, any adjustments that may be required in respect of any such remaining years shall be included in the Tax Return relating to the Tax Period in which the Capital Asset is disposed of.
16. Any adjustments other than required under Clauses 12 and 13 of this Article shall be made in the Tax Period mentioned in Clause 9 of Article 55 of this Decision.
17. The first Tax year of an internally developed Capital Asset shall be the year in which that asset is started to be used.

1. A Capital Asset eligible for the Capital Asset Scheme shall be monitored and the Input Tax incurred shall be adjusted, as required in accordance with the provisions of this Article, over a period of either 10 ten consecutive years for buildings or parts thereof or 5 five consecutive years for other Capital Assets, commencing on the day on which the owner first uses the Capital Asset for the purposes of its Business.
2. Notwithstanding Clause 1 of this Article, if a Capital Asset is destroyed, sold, or otherwise disposed of before the end of the period referred to in Clause 1 of this Article, the Capital Asset Scheme shall cease in respect of the asset in the Tax year in which the asset was destroyed, sold or disposed of.
3. The Tax year in which the Capital Asset is acquired shall be treated as Year 1 for the purposes of the Capital Asset Scheme.
4. A Taxable Person shall keep a Capital Asset register and record therein the Input Tax incurred on the Capital Asset in Year 1 (represented by “W” in this Article) as well as details of any adjustments made to the Input Tax calculations under this Article.
5. The Input Tax recovered on the Capital Asset in Year 1 after any adjustment that may be due under Article 58 of the Decree-Law shall be recorded together with the percentage that gave rise to that recovery (referred to as “X” in this Article).
6. At the end of each year from Year 2 onwards, the Taxable Person shall calculate the percentage of Recoverable Tax for that Capital Asset for that year in accordance with Article 58 of the Decree-Law (referred to as “Q” in this Article).
7. If Q is not equal to X, the Taxable Person shall perform the calculation described in Clauses 8 to 11 of this Article, and shall make an adjustment to his Input Tax.
8. The Taxable Person shall calculate an amount (referred to as “R” in this Article) as:
   • a. One tenth of W multiplied by Q if the Capital Asset is a building or a part thereof; or
   • b. One fifth of W multiplied by Q if the Capital Asset is not a buildings or a part thereof.
9. The Taxable Person shall calculate an amount (referred to as “Z” in this Article) as:
   • a. One tenth of W multiplied by X if the Capital Asset is a building or a part thereof.
   • b. One fifth of W multiplied by X if the Capital Asset is not a buildings or a part thereof.
10. Where R is more than Z, the Taxable Person shall increase his Input Tax by the difference.
11. Where R is less than Z, the Taxable Person shall reduce his Input Tax by the difference.
12. If the Capital Asset is disposed of by the Taxable Person in any year other than the final year or the Taxable Person deregisters from Tax and is required to account for tax on the asset as a Deemed Supply, the use to which the Capital Asset is deemed to have been put in any remaining years will be:
    • a. For making Taxable Supplies, where it is disposed of by way of a supply or Deemed Supply that is subject to Tax or would be subject to Tax were it to be made in the State.
    • b. For making Exempt Supplies, where it is disposed of by way of a supply that is exempt or would be exempt were it to be made in the State.
    • c. Not in the course of conducting Business, where is it disposed of by way of a transaction that is not deemed as supply in the course of Business, unless it is deemed as a supply according to the meaning provided in Clause 2 of Article 7 of the Decree-Law.
13. Where a Taxable Person transfers his Capital Assets as part of a transfer of his Business or a part thereof according to Clause 2 of Article 7 of the Decree-Law, or to become a member of a Tax Group, or to leave a Tax Group and immediately become a Taxable Person on a stand-alone basis, then the Tax year then applying shall end on the day the Taxable Person transfers the Business or part of the Business, or becomes or ceases to be part of a Tax Group. On the next day, the next Tax year shall commence with the owner of the Capital Assets.
14. Where a Person who registers for Tax has already owned a Capital Asset for the purpose of his Business before registration for Tax, Year 1 shall be deemed to have commenced on the date of first use by that Person.
15. For the purposes of Clauses 12 and 13 of this Article, any adjustments that may be required in respect of any such remaining years shall be included in the Tax Return relating to the Tax Period in which the Capital Asset is disposed of.
16. Any adjustments other than required under Clauses 12 and 13 of this Article shall be made in the Tax Period mentioned in Clause 8 of Article 55 of this Decision.

1. A Tax Invoice shall contain all of the following particulars:
   • a. The words “Tax Invoice” clearly displayed on the invoice.
   • b. The name, address, and Tax Registration Number of the Registrant making the supply.
   • c. The name, address, and Tax Registration Number of the Recipient where he is a Registrant.
   • d. A sequential Tax Invoice number or a unique number which enables identification of the Tax Invoice and the order of the Tax Invoice in any sequence of invoices.
   • e. The date of issuing the Tax Invoice.
   • f. The date of supply if different from the date the Tax Invoice was issued.
   • g. A description of the Goods or Services supplied.
   • h. For each Good or Service, the unit price, the quantity or volume supplied, the rate of Tax and the amount payable expressed in AED.
   • i. The amount of any discount offered.
   • j. The gross amount payable expressed in AED.
   • k. The Tax amount charged under the provisions of the Decree-Law expressed in AED, together with the rate of exchange applied where the currency is converted from a currency other than the UAE dirham.
   • l. Where the invoice relates to a supply under which the Recipient of Goods or Recipient of Services is required to account for Tax, a statement that the Recipient is required to account for Tax, and a reference to the relevant provision of the Decree-Law.
2. A simplified Tax Invoice shall contain all of the following particulars:
   • a. The words “Tax Invoice” clearly displayed on the invoice.
   • b. The name, address, and Tax Registration Number of the Registrant making the supply.
   • c. The date of issuing the Tax Invoice.
   • d. A description of the Goods or Services supplied.
   • e. The total Consideration and the Tax amount charged expressed in AED.
3. If there are or will be sufficient records available to establish the particulars of a supply, a Registrant is not required to issue a Tax Invoice for the supply where the supply is a wholly zero-rated supply.
4. Where a Registrant is required to issue a Tax Invoice, the Tax Invoice must meet the requirements of Clause 1 of this Article.
5. As an exception to Clause 4 of this Article, and in cases other than where the reverse charge mechanism applies in accordance with Article 48 of the Decree-Law, the Registrant may issue a simplified Tax Invoice that meets the requirements of Clause 2 of this Article in either of the following two situations:
   • a. Where the Recipient of Goods or Recipient of Services is not a Registrant.
   • b. Where the Recipient of Goods or Recipient of Services is a Registrant and the Consideration for the supply does not exceed AED 10,000 (ten thousand dirhams).
6. A Registrant shall not issue separate Tax Invoices in respect of supplies where he makes more than one supply of Goods or Services to the same Person and those supplies are included on a summary Tax Invoice issued and delivered to the Recipient of Goods or Recipient of Services.
7. Where the Authority considers that there are or will be sufficient records available to establish the particulars of any supply or class of supplies, and that it would be impractical to require that a Tax Invoice be issued by the Registrant, the Authority may determine that, subject to any conditions that the Authority may consider necessary:
   • a. Any of the particulars specified in Clauses 1 or 2 of this Article shall not be contained in a Tax Invoice.
   • b. A Tax Invoice is not required to be issued or delivered in certain cases.
8. The Registrant may issue a Tax Invoice by electronic means provided that:
   • a. the Registrant must be capable of securely storing a copy of the electronic Tax Invoice in compliance with the record keeping requirements.
   • b. the authenticity of origin and integrity of content of the electronic Tax Invoice should be guaranteed.
9. Where a Recipient agrees to raise a Tax Invoice on behalf of a Registrant Supplier in respect of a supply of Goods or Services, that document shall be treated as if it had been issued by the supplier if the following conditions are met:
   • a. The Recipient of the Goods or Services is a Registrant.
   • b. The supplier and the Recipient agree in writing that the supplier shall not issue a Tax Invoice in respect of any supply to which this Clause applies.
   • c. The Tax Invoice shall contain the particulars required under Clause 1 of this Article.
   • d. The words “Tax Invoice raised by buyer” are clearly displayed on the Tax Invoice.
10. Where a Tax Invoice is issued pursuant to Clause 9 of this Article, any invoice issued by the Supplier in respect of that supply shall be deemed not to be a Tax Invoice.
11. Where an agent who is a Registrant makes a supply of Goods or Services for and on behalf of the principal of that agent, that agent may issue a Tax Invoice in relation to that supply as if that agent had made the supply, provided that the principal shall not issue a Tax Invoice, subject to:
    • a. the agent retaining sufficient records in such a manner as to determine the name, address and Tax Registration Number of the principal supplier, and
    • b. the principal supplier retaining sufficient records in such a manner as to determine the name, address and Tax Registration Number of the agent.
12. Where the Supply of Goods or Services is considered as supplied in an Implementing State, the Registrant must include the following additional particulars in the document issued:
    • a. the tax registration number of the Recipient of Goods or Recipient of Services issued to him by the competent authority of the Implementing State in which the supply is treated as taking place,
    • b. a statement identifying the supply as between a supplier in the State and a Recipient of Goods or Recipient of Services in an Implementing State, and
    • c. any other information specified by the Authority.
13. For the purposes of Clause 2 of Article 67 of the Decree-Law, the Registrant shall issue the Tax Invoice within 14 (fourteen) days from the date of the supply provided for in Article 25 or 26 of the Decree-Law, except in the following cases:
    1. where the Tax Invoice is issued in accordance with Clause 2 of this Article, the Registrant shall issue the Tax Invoice on the date of supply,
    2. for the purposes of Clause 6 of this Article, the Registrant shall issue a summary of the Tax Invoice and deliver it to the Recipient of Goods or Recipient of Services within 14 (fourteen) days of the end of the calendar month within which the date of supply occurs for such supplies.
    3. any other cases specified by the Authority.
14. Where the Authority grants approval under Clause 7 of this Article, such approval may be withdrawn at any time where the Authority considers that the conditions of approval are no longer met.
15. As an exception to Clause 5 of this Article, the Authority may specify the cases in which a Tax Invoice that meets the requirements of Clause 1 of this Article must be issued, even if one of the cases provided for in Clause 5 of this Article applies.

1. A Tax Invoice shall contain all of the following particulars:
   • a. The words “Tax Invoice” clearly displayed on the invoice.
   • b. The name, address, and Tax Registration Number of the Registrant making the supply.
   • c. The name, address, and Tax Registration Number of the Recipient where he is a Registrant.
   • d. A sequential Tax Invoice number or a unique number which enables identification of the Tax Invoice and the order of the Tax Invoice in any sequence of invoices.
   • e. The date of issuing the Tax Invoice.
   • f. The date of supply if different from the date the Tax Invoice was issued.
   • g. A description of the Goods or Services supplied.
   • h. For each Good or Service, the unit price, the quantity or volume supplied, the rate of Tax and the amount payable expressed in AED.
   • i. The amount of any discount offered.
   • j. The gross amount payable expressed in AED.
   • k. The Tax amount payable expressed in AED together with the rate of exchange applied where the currency is converted from a currency other than the UAE dirham.
   • l. Where the invoice relates to a supply under which the Recipient of Goods or Recipient of Services is required to account for Tax, a statement that the Recipient is required to account for Tax, and a reference to the relevant provision of the Decree-Law.
2. A simplified Tax Invoice shall contain all of the following particulars:
   • a. The words “Tax Invoice” clearly displayed on the invoice.
   • b. The name, address, and Tax Registration Number of the Registrant making the supply.
   • c. The date of issuing the Tax Invoice.
   • d. A description of the Goods or Services supplied.
   • e. The total Consideration and the Tax amount charged.
3. If there are or will be sufficient records available to establish the particulars of a supply, a Taxable Person is not required to issue a Tax Invoice for the supply where the supply is a wholly zero-rated supply.
4. Where a Taxable Person is required to issue a Tax Invoice, the Tax Invoice must meet the requirements of Clause 1 of this Article.
5. As an exception to Clause 4 of this Article, the Taxable Person may issue a Tax Invoice that meets the requirements of Clause 2 of this Article in either of the following situations:
   • a. Where the Recipient of Goods or Recipient of Services is not a Registrant.
   • b. Where the Recipient of Goods or Recipient of Services is a Registrant and the Consideration for the supply does not exceed AED 10,000
6. A Taxable Person shall not issue separate Tax Invoices in respect of supplies where he makes more than one supply of Goods or Services to the same Person and those supplies are included on a summary Tax Invoice issued to the Recipient of Goods or Recipient of Services in the same calendar month as the Date of Supply of those supplies.
7. Where the Authority considers that there are or will be sufficient records available to establish the particulars of any supply or class of supplies, and that it would be impractical to require that a Tax Invoice be issued by the Taxable Person, the Authority may determine that, subject to any conditions that the Authority may consider necessary:
   • a. Any of the particulars specified in Clauses 1 or 2 of this Article shall not be contained on a Tax Invoice.
   • b. A Tax Invoice is not required to be issued in certain cases.
8. The Taxable Person may issue a Tax Invoice by electronic means provided that:
   • a. The Taxable Person must be capable of securely storing a copy of the electronic Tax Invoice in compliance with the record keeping requirements.
   • b. The authenticity of origin and integrity of content of the electronic Tax Invoice should be guaranteed.
9. Where a Recipient agrees to raise a Tax Invoice on behalf of a Registrant Supplier in respect of a supply of Goods or Services, that document shall be treated as if it had been issued by the supplier if the following conditions are met:
   • a. The Recipient of the Goods or Services is a Registrant.
   • b. The supplier and the Recipient agree in writing that the supplier shall not issue a Tax Invoice in respect of any supply to which this Clause applies.
   • c. The Tax Invoice shall contain the particulars required under Clause 1 of this Article.
   • d. The words “Tax Invoice raised by buyer” are clearly displayed on the Tax Invoice.
10. Where a Tax Invoice is issued pursuant to Clause 9 of this Article, any invoice issued by the Supplier in respect of that supply shall be deemed not to be a Tax Invoice.
11. Where an agent who is a Registrant makes a supply of Goods and Services for and on behalf of the principal of that agent, that agent may issue a Tax Invoice in relation to that supply as if that agent had made the supply, and provided that the principal shall not issue a Tax Invoice.
12. Where the Supply of Goods or Services is considered as supplied in an Implementing State, the Taxable Person must include the following additional particulars in the document issued:
    • a. The tax registration number of the Recipient of Goods or Services issued to him by the competent authority of the Implementing State in which the supply is treated as taking place.
    • b. A statement identifying the supply as between the State and an Implementing State.
    • c. Any other information specified by the Authority.

1. The Tax Credit Note shall contain all the following particulars:
   • a. The words “Tax Credit Note” clearly displayed on the invoice.
   • b. The name, address, and Tax Registration Number of the Registrant making the supply.
   • c. The name, address, and Tax Registration Number of the Recipient where he is a Registrant.
   • d. The date of issuing the Tax Credit Note.
   • e. The value of the supply shown on the Tax Invoice, the correct amount of the value of the supply, the difference between those two amounts, and the Tax charged that relates to that difference in AED. In case more than one Tax Credit Note is issued in relation to the same Tax Invoice, the value of the supply shown on the Tax Invoice in the subsequent Tax Credit Note shall be the adjusted value based on the previous Tax Credit Note.
   • f. A brief explanation of the circumstances giving rise to the issuing of the Tax Credit Note.
   • . Information sufficient to identify the supply to which the Tax Credit Note relates.
2. Where, on application by a Registrant, the Authority considers that there are or will be sufficient records available to establish the particulars of any supply or class of supplies, and that it would be impractical to require that a Tax Credit Note be issued by the Registrant, the Authority may determine any of the following, subject to any conditions that the Authority may consider necessary:
   • a. Any of the particulars referred to in Clause 1 of this Article shall not be contained in a Tax Credit Note.
   • b. A Tax Credit Note is not required to be issued or delivered.
3. The Registrant may issue a Tax Credit Note by electronic means provided that:
   • a. The Registrant must be capable of securely storing a copy of the electronic Tax Credit Note in compliance with the record keeping requirements.
   • b. The authenticity of origin and integrity of content of the electronic Tax Credit Note should be guaranteed.
4. Where a Recipient of Goods or Recipient of Services agrees to raise a Tax Credit Note on behalf of a Registrant Supplier in respect of a supply of Goods or Services, that document shall be treated as if it had been issued by the supplier if the following conditions are met:
   • a. The Recipient of Goods or Recipient of Services is a Registrant.
   • b. The Supplier and the Recipient of Goods or Recipient of Services agree that the Supplier shall not issue a Tax Credit Note in respect of any supply to which this Clause applies.
   • c. The Tax Credit Note shall contain the particulars required under Clause 1 of this Article.
   • d. The words “Tax Credit Note created by buyer” are clearly displayed on the Tax Credit Note.
5. Where a Tax Credit Note is issued pursuant to Clause 4 of this Article, any tax credit note issued by the supplier in respect of that supply shall be deemed not to be a Tax Credit Note.
6. Where an agent who is a Registrant makes a supply of Goods and Services for and on behalf of the principal of that agent, that agent may issue a Tax Credit Note in relation to that supply as if that agent had made the supply, provided that the principal shall not issue a Tax Credit Note, subject to:
   • a. the agent retaining sufficient records in such a manner as to determine the name, address and Tax Registration Number of the principal supplier, and
   • b. the principal supplier retaining sufficient records in such a manner as to determine the name, address and Tax Registration Number of the agent.
7. Where approval has been granted by the Authority under Clause 2 of this Article, that approval may be withdrawn at any time where the Authority considers that the conditions of that approval have not been met.

1. The Tax Credit Note shall contain the following:
   • a. The words “Tax Credit Note” clearly displayed on the invoice.
   • b. The name, address, and Tax Registration Number of the Registrant making the supply.
   • c. The name, address, and Tax Registration Number of the Recipient where he is a Registrant.
   • d. The date of issuing the Tax Credit Note.
   • e. The value of the supply shown on the Tax Invoice, the correct amount of the value of the supply, the difference between those two amounts, and the Tax charged that relates to that difference in AED.
   • f. A brief explanation of the circumstances giving rise to the issuing of the Tax Credit Note.
   • g. Information sufficient to identify the supply to which the Tax Credit Note relates.
2. Where, on application by a Taxable Person, the Authority considers that there are or will be sufficient records available to establish the particulars of any supply or class of supplies, and that it would be impractical to require that a Tax Credit Note be issued by the Taxable Person, the Authority may determine any of the following, subject to any conditions that the Authority may consider necessary:
   • a. Any one or more of the particulars specified in Clause 1 of this Article shall not be contained on a Tax Credit Note.
   • b. A Tax Credit Note is not required to be issued.
3. The Taxable Person may issue a Tax Credit Note by electronic means provided that:
   • a. The Taxable Person must be capable of securely storing a copy of the electronic Tax Credit Note in compliance with the record keeping requirements.
   • b. The authenticity of origin and integrity of content of the electronic Tax Credit Note should be guaranteed.
4. Where a Recipient of Goods or Recipient of Services agrees to raise a Tax Credit Note on behalf of a Registrant Supplier in respect of a supply of Goods or Services, that document shall be treated as if it had been issued by the supplier if the following conditions are met:
   • a. The Recipient of Goods or Recipient of Services is a Registrant.
   • b. The Supplier and the Recipient of Goods or Recipient of Services agree that the Supplier shall not issue a Tax Credit Note in respect of any supply to which this Clause applies.
   • c. The Tax Credit Note shall contain the particulars required under Clause 1 of this Article.
   • d. The words “Tax Credit Note created by buyer” are clearly displayed on the Tax Credit Note.
5. Where a Tax Credit Note is issued pursuant to Clause 4 of this Article, any tax credit note issued by the supplier in respect of that supply shall be deemed not to be a Tax Credit Note.
6. Where an agent who is a Registrant makes a supply of Goods and Services for and on behalf of the principal of that agent, that agent may issue a Tax Credit Note in relation to that supply as if that agent had made the supply, and provided that the principal shall not issue a Tax Credit Note.
7. Where approval has been granted by the Authority under Clause 2 of this Article, that approval may be withdrawn at any time where the Authority considers that the conditions of that approval have not been met.

1. A Tax Return must be received by the Authority no later than the 28th (twenty eighth) day following the end of the Tax Period concerned or by such other date as directed by the Authority.
2. A Person whose registration has been cancelled must provide a final Tax Return for the last Tax Period for which he was registered.
3. A Taxable Person shall settle Payable Tax in relation to a Tax Return using the means specified by the Authority so that it is received by the Authority no later than the date specified in Clause 1 of this Article.
4. Where Recoverable Tax for a Tax Period exceeds Due Tax for the Tax Period, the excess Recoverable Tax may be repaid to the Taxable Person in accordance with the relevant provisions in the Decree-Law and the Tax Procedures Law.
5. A Tax Return must contain such details as the Authority may require and, at the minimum, allow for the following information to be included:
   • a. The name, address and the Tax Registration Number of the Registrant.
   • b. The Tax Period to which the Tax Return relates.
   • c. The date of submission.
   • d. The value of Taxable Supplies made by the Person in the Tax Period and the Output Tax charged.
   • e. The value of Taxable Supplies subject to the zero-rate made by the Person in the Tax Period.
   • f. The value of Exempt Supplies made by the Person in the Tax Period.
   • g. The value of any supplies subject to Clauses 1 and 3 of Article 48 of the Decree-Law.
   • h. The value of expenses incurred in respect of which the Person seeks to recover Input Tax and the amount of Recoverable Tax.
   • i. The total value of Due Tax and Recoverable Tax for the Tax Period.
   • j. The Payable Tax or excess Tax, if any, for the Tax Period.

1. A Tax Return must be received by the Authority no later than the 28th day following the end of the Tax Period concerned or by such other date as directed by the Authority.
2. A Person whose registration has been cancelled must provide a final Tax Return for the last Tax Period for which he was registered.
3. A Taxable Person shall settle Payable Tax in relation to a Tax Return using the means specified by the Authority so that it is received by the Authority no later than the date specified in Clause 1 of this Article.
4. Where Recoverable Tax for a Tax Period exceeds Due Tax for the Tax Period, the excess Recoverable Tax may be repaid to the Taxable Person in accordance with the relevant provisions in the Decree-Law and the Federal Law No. 7 of 2017.
5. A Tax Return must contain such details as the Authority may require and, at the minimum, allow for the following information to be included:
   • a. The name, address and the TRN of the Registrant;
   • b. The Tax Period to which the Tax Return relates.
   • c. The date of submission.
   • d. The value of Taxable Supplies made by the Person in the Tax Period and the Output Tax charged.
   • e. The value of Taxable Supplies subject to the zero rate made by the Person in the Tax Period.
   • f. The value of Exempt Supplies made by the Person in the Tax Period.
   • g. The value of any supplies subject to Clauses 1 and 3 of Article 48 of the Decree-Law.
   • h. The value of expenses incurred in respect of which the Person seeks to recover Input Tax and the amount of Recoverable Tax.
   • i. The total value of Due Tax and Recoverable Tax for the Tax Period.
   • j. The Payable Tax for the Tax Period.

If the Taxable Person has excess Recoverable Tax for a Tax Period and has made a request to the Authority by the means specified by the Authority to be repaid the amount of the excess, then the Authority shall repay the amount to the Taxable Person within the timelines and according to the procedures specified in the Tax Procedures Law.

If the Taxable Person has excess Recoverable Tax for a Tax Period and has made a request to the Authority by the means specified by the Authority to be repaid the amount of the excess, then the Authority shall repay the amount to the Taxable Person within the timelines and according to the procedures specified in the Federal Law No. 7 of 2017 on Tax Procedures.

1. The Cabinet shall issue a decision introducing the Tax Refunds for Tourists Scheme specifying the following:
   • a. The date on which the Scheme comes into effect.
   • b. The mechanism for Tax refunds.
   • c. Limitations on claiming Tax refunds.
   • d. Processes for any verifications to be undertaken under the Scheme.
   • e. Any other conditions or procedures that the Cabinet considers necessary for operation of the Scheme.
2. The following conditions shall apply to the Tax Refunds for Tourists Scheme:
   • a. The Goods which are subject to the Tax Refunds for Tourists Scheme must be supplied to an overseas tourist who is in the State during the purchase of the Goods from the supplier .
   • b. At the Date of Supply, the overseas tourist intends to depart from the State within 90 (ninety) days from that date, accompanied by the Goods.
   • c. The relevant Goods are exported by the overseas tourist to a place outside the Implementing States within 90 (ninety) days from the Date of Supply, subject to the conditions and procedures of verification as may be imposed by the Authority.
3. The phrase “overseas tourist” means any natural Person who is not resident in any of the Implementing States and who is not a crew member on a flight or aircraft leaving an Implementing State.
4. The Authority may publish a list of Goods that shall not be subject to Tax Refunds for Tourists Scheme.

1. The Cabinet may issue a decision introducing the Tax Refunds for Tourists Scheme specifying the following:
   • a. The date on which the Scheme comes into effect.
   • b. The mechanism for tax refunds.
   • c. Limitations on claiming tax refunds.
   • d. Processes for any verifications to be undertaken under the Scheme.
   • e. Any other conditions or procedures that the Cabinet considers necessary for operation of the Scheme.
2. The following conditions shall apply to the Tax Refunds for Tourists Scheme:
   • a. The Goods which are subject to the Tax Refunds for Tourists Scheme must be supplied to an overseas tourist who is in the State during the purchase of the Goods from the supplier .
   • b. At the Date of Supply, the overseas tourist intends to depart from the State within 90 days from that date, accompanied by the Goods.
   • c. The relevant Goods are exported by the overseas tourist to a place outside the Implementing States within 3 months from the Date of Supply, subject to such conditions and verifications as may be imposed by the Authority.
3. The phrase “overseas tourist” means any natural Person who is not resident in any of the Implementing States and who is not a crew member on a flight or aircraft leaving an Implementing State.
4. The Authority may publish a list of Goods that shall not be subject to Tax Refunds for Tourists Scheme.

Where the Tax is incurred by foreign governments, international organisations, diplomatic bodies and missions, or by an official thereof, any of these may submit a claim on a form issued by the Authority requesting repayment of the Tax incurred, provided that the following conditions are met:

1. Goods and Services are acquired exclusively for official use.
2. The country in which the relevant foreign government, international organisation, diplomatic body or mission is established or has its official seat excludes the same type of entities that belong to the State from the burden of any Tax in that country, or the refund claim is consistent with the terms of any international treaty or other agreement in force in the State concerning the liability to tax of such a foreign government, international organisation, diplomatic body or mission.
3. The official of a foreign government, international organisation, diplomatic body or mission who benefits from the refund should not hold UAE Nationality or have a residence visa under the sponsorship of an entity other than the foreign government, international organisation, diplomatic body or mission itself, and should not carry out any Business in the State, provided that the Tax refund claim referred to must be submitted within 36 (thirty six) months from the date the official incurred such Tax or during any other period specified under the provisions of any international treaty or other agreement in force in the State.

1. Where Tax is incurred by foreign governments, international organisations, diplomatic bodies and missions, or by an official thereof, the foreign governments, international organisations, diplomatic bodies and missions may submit a claim on a form issued by the Authority requesting repayment of the Tax charged.
2. The application of Clause 1 of this Article is subject to the following conditions:
   • a. Goods and Services are acquired exclusively for official use.
   • b. The country in which the relevant foreign government, international organisation, diplomatic body or mission is established or has its official seat excludes the same type of entities that belong to the State from the burden of any Tax in that country.
   • c. The refund claim is consistent with the terms of any international treaty or other agreement concerning the liability to tax of such a foreign government, international organisation, diplomatic body or mission.
   • d. The official of a foreign government, international organisation, diplomatic body or mission who benefits from the refund should not hold UAE Nationality or have a residence visa under the sponsorship of an entity other than the foreign government, international organisation, diplomatic body or mission itself, and should not carry out any Business in the State.

1. Subject to Clause 2 of this Article, any records required to be kept in accordance with the provisions of the Decree-Law must comply with timeframes, limitations and conditions for retention of records as specified in the Tax Procedures Law and its Executive Regulation.
2. Any records related to a real estate required to be kept shall be held for a period of 15 (fifteen) years after the end of the Tax Period to which they relate.
3. In the case of a Government Entity that is listed by the Cabinet under Clause 2 of Article 72 of the Decree-Law, the Government Entity may:
   • a. Refuse the Authority’s request to take any records or a copy of the same from the premises of the Government Entity.
   • b. Put controls for the access of employees of the Authority to the records and the premises of the Government Entity.
4. Where the Authority holds any records that belong to a Government Entity listed by the Cabinet under Clause 2 of Article 72 of the Decree-Law, the records shall be held in such manner that they can only be accessed by the employees of the Authority that are specifically authorised to view the records of that Government Entity.

1. Subject to Clause 2 of this Article, any records required to be kept in accordance with the provisions of the Decree-Law must comply with timeframes, limitations and conditions for retention of records as specified in the Federal Law No. 7 of 2017 on Tax Procedures and its Executive Regulations.
2. Any records related to a real estate required to be kept shall be held for a period of 15 years after the end of the Tax Period to which they relate.
3. In the case of a Government Entity that is listed by the Cabinet under Clause 2 of Article 72 of the Decree-Law, the Government Entity may:
   • a. Refuse the Authority’s request to take any records or a copy of the same from the premises of the Government Entity.
   • b. Put controls for the access of employees of the Authority to the records and the premises of the Government Entity.
4. Where the Authority holds any records that belong to a Government Entity listed by the Cabinet under Clause 2 of Article 72 of the Decree-Law, the records shall be held in such manner that they can only be accessed by the employees of the Authority that are specifically authorised to view the records of that Government Entity.