Value of Supply
- It will be consideration either in Money or in Kind received by the supplier after deducting the VAT
- If the consideration is partially in Money then the value will be determined as per the market value exclusive of VAT
- Import value of goods consist of the custom value pursuant to custom legislation less the tax
Date of Supply
Transitional Rule : Ex: customer X buys a car on 30th Nov 2017 Possession of car given on and after 1stJan 2018 then the transaction is liable to VAT. After 01/01/2018 , Tax shall be calculated on the date of supply of Goods or Services, which shall be earlier of any of the following dates:
- The date on which Goods were transferred, if such transfer was under the supervision of the supplier.
- The date on which the Recipient of Goods took possession of the Goods, if the transfer was not supervised by the supplier
- Where goods are supplied with assembly and installation, the date on which the assembly or installation of the Goods was completed.
- The date on which the Goods are imported under the Customs Legislation.
- The date on which the Recipient of Goods accepted the supply, or a date no later than (12) months after the date on which the Goods were transferred or placed under the Recipient of Goods disposal, if the supply was made on a returnable basis.
- The date on which the Services were completed.
- The date of receipt of payment or the date on which the Tax Invoice was issued.
Place of Supply
This will help determine whether a supply is made with in the UAE or outside the UAE. Supplies made within the UAE are subject to UAE Vat Laws. For supply of GOODS, the place of supply will be the location of goods where the supply takes place.
For supply of SERVICES, the place of supply will be where the supplier is established.
Special rules will be applied to certain categories of supplies i.e. cross border supplies, water and energy etc.