ultimate block

Yes, tourists are a significant source of revenue for the UAE and will pay VAT at the point of sale. Nevertheless, we have set the VAT rate deliberately low so that VAT is a limited burden on all consumers.

  • Exports of goods and services.
  • International transport of goods and passengers.
  • Certain means of transport, such as trains, trams, vessels, airplanes.
  • First sale/rent of residential buildings.
  • Aircraft or vessels designated for rescue and assistance by air or sea.
  • Financial services including life insurance and reinsurance of life insurance as well as financial services that are not conducted for an explicit fee, discount, commission, rebate or similar type of consideration.
  • Residential buildings, other than the residential buildings which are specifically zero-rated.
  • Bare land.
  • Local passenger transport.

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