UAE VAT revenue to be split between federal, local governments

123 RF / Mohd Azri Suratmin

VAT revenues in the UAE will be distributed between the federal and local governments.

It comes after the UAE Cabinet approved the decision on Thursday.

In total, revenues from the taxation total around AED 27 billion.  

According to the decision 30 percent of that will go to the federal government while and 70 percent to local governments.

VAT was introduced in the UAE on January 1 2018 with the rate set to five per cent.

More from Business

Coming Up on Dubai Eye

  • Afternoons with Helen Farmer

    2:00pm - 5:00pm

    Every weekday afternoon, Helen Farmer will help you to navigate the highs and lows of life in the UAE. Stay up to date with what’s happening and where to go.

  • Off Script with Chris & Robbie

    5:00pm - 8:00pm

    The UAE’s alternative take on news, entertainment and sport. Join Chris, Robbie and Sonal as they cut through the clutter to bring you the news, entertainment and sport stories that actually matter.

On Dubai Eye