DFM, ADX to levy VAT on services

UAE bourses Dubai Financial Market (DFM) and Abu Dhabi Securities Exchange (ADX) will levy value-added tax (VAT) on service and products from January 1, 2018.

DFM said VAT would be levied on the invoice value.

VAT is being levied in accordance with the UAE Federal Law No.8 of 2017, DFM said, adding that this notification supersedes any contrary terms related to VAT in any agreement entered into with the DFM.

Nirav Shah, director, Fame Advisory, said DFM will be levying VAT on its service charges wherever applicable and this notification would supersede any earlier communication of charges by the authority.

Abu Dhabi bourse said it would add VAT to the invoice value on services and products.

The UAE, along with Saudi Arabia, will impose five per cent VAT on a host of goods and services in order to expand revenue sources.

-waheedabbas@khaleejtimes.com