ZATCA Exempts Residential Rentals From Value Added Tax
Category: Expats

According to the Zakat, Tax and Customs Authority (ZATCA) in Saudi Arabia, residential rental properties are not subject to 15% Value Added Tax (VAT).

ZATCA clarified, however, that commercial leasing or renting is subject to a 15% VAT if it is performed by a registered individual.

Further, the authority emphasized that anyone whose annual revenues reach the mandatory limit of 375 riyals is required to register for VAT.

Earlier, the Zakat, Tax and Customs authority responded to a question on its official Twitter account, in which it said that the Value Added Tax on residential endowments belonging to charities is used for public benefit by the ZATCA. If the lease is made by a person registered with the VAT system, commercial leasing is subject to 15% VAT.

 

SOURCE : SAUDI EXPATRIATES

27 Jan, 2023 0 343
zatca-exempts-residential-rentals-from-value-added-tax-saudi
FEEDBACK
@ 2025 www.arablocal.com All Rights Reserved
@ 2025 www.arablocal.com All Rights Reserved
Warning (2): Cannot modify header information - headers already sent by (output started at /home/kuwaitlocal/arablocal.com/lib/Cake/Network/CakeResponse.php:534) [APP/webroot/index.php, line 171]
Warning (2): Cannot modify header information - headers already sent by (output started at /home/kuwaitlocal/arablocal.com/lib/Cake/Network/CakeResponse.php:534) [APP/webroot/index.php, line 172]