UAE: Guidance on VAT treatment of real estate transactions
UAE: VAT treatment of real estate transactions
The tax authority published guidance items concerning the value added tax (VAT) treatment of real estate transactions.
- The VAT real estate guide (VATGRE1) has been updated to reflect the tax authority’s views on a number of topics, including Musataha agreements, the exemption for “bare land,” and the VAT status of owners’ associations.
- A public clarification (VATP018) reflects the tax authority’s position on the consequences arising from a change in permitted use since the time when a building was acquired.
Read an April 2020 report prepared by the KPMG member firm in the UAE
The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.