UAE's Indirect Taxes Generate Up to $3 Billion Annually

The UAE collects between AED 10 billion and AED 11 billion ($2.72 billion to $2.99 billion) each year from indirect taxes. This money plays an important role in helping the UAE’s federal budget, which is AED 65 billion. A senior government official, Younis Haji Al Khoori, who works at the Ministry of Finance, said this money helps the country’s economy grow and makes the government’s finances stronger. This shows that the country’s tax system is strong and supports the UAE’s goal of having a diverse economy and being financially stable.

Al Khoori also said that the tax system is in line with the UAE’s plans for long-term financial health. This month, the UAE announced that starting from January 1, 2025, the corporate tax for large companies will increase to 15%.

The International Monetary Fund (IMF) has suggested that the countries in the Gulf Cooperation Council (GCC)—including Saudi Arabia, the UAE, Qatar, Kuwait, Bahrain, and Oman—should find new ways of raising taxes. This will help these countries have enough money for public services and protect their economies from challenges caused by global trade issues. The IMF also recommended that these countries should look into ways to raise taxes on things like VAT (Value Added Tax), corporate taxes, personal income taxes, or property taxes.

Stay informed with the latest news. Follow DXB News Network on WhatsApp Channel  

Oman had planned to bring in personal income tax for people with high earnings, but they decided to delay it. Bahrain said it would start a new minimum tax for large companies in 2025. Kuwait is also planning to charge a 15% corporate tax for large companies starting in 2025, just like the UAE.

These changes in the GCC countries show that they are trying to raise money in new ways and reduce their dependence on oil. These plans need to be carefully thought out to make sure they help the economy grow while keeping people happy.

#trending #latest #UAE #IndirectTaxes #EconomicGrowth #FinancialSustainability #GCC #TaxReform #CorporateTax #UAEFinance #IMF #EconomicDiversification #TaxSystem #UAEGovernment #MiddleEastEconomy #GulfCountries #FiscalPolicy #UAEBudget #headlines #topstories #globalUpdate #dxbnewsnetwork #dxbnews #dxbdnn #dxbnewsnetworkdnn #bestnewschanneldubai #bestnewschannelUAE #bestnewschannelabudhabi #bestnewschannelajman #bestnewschannelofdubai #popularnewschanneldubai

Rescue team gave lifesaving care before airlifting the injured to the hospital...Read More.

Sheikh Salem bin Abdulrahman Al Qasimi attended the launch of the 10th Sharjah International Cycling Tour, with the first stage covering 132.91 km from Al Majaz...Read More.