The United Arab Emirates government is all set to impose Value Added Tax at the rate of 5 percent from January, 2018. There is still about four weeks left in its imposition and there are plenty of things you can do before the implementation if you live in the Emirates. The VAT consultancy Dubai has found out some of the most crucial tasks which are needed to be done before the implementation of the tax.
- Time is now to make home improvements
If you have long been planning to renovate or refurbish your kitchen or washrooms, it is time to get up from your slumber and get the tasks done as these services will be liable to Value Added Tax.
- Book Hotels for 2018 in 2017
If you’re planning vacations in the next two to three months, you should book your hotels before December 31 because the cost of hotel rooms will be subject to VAT. However, you must first check with the hotel about how they will be dealing with the advance bookings because VAT will take effect when a service will take place.
- Complete Your Legal Documents
The legal fees will be subject to VAT so if you have to sort out your will and guardianship for your children, you should do it within the next 20-25 days.
- Opt for second-hand products
Dubai always has the influx and flux of people so there is always an abundance of used products at a reasonably new condition. Individuals don’t their used products in a large quantity therefore VAT will not come into equation.
- Be Clients of Small Businesses
As per the Value Added Tax law, all those businesses which have a turnover of 375,000 AED will be obliged to sign up for the tax. It means the companies which have turnover below this threshold will be exempted from VAT. It also means that time has come to find these small businesses and be their clients.
- Bulk Shopping Spree Advised
With the VAT imposition just around the corner, the time is perfect to go on a shopping frenzy, especially the household items which are out of the zero-rated regime. What you need is huge storage space and the purchasing power to carry out this plan. This way, you can save big on essentials like toiletries, cleaning products, school supplies, and other household items.