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VAT on Construction Services in UAE: Compliance Tips for Contractors

The UAE has implemented a 5% Value Added Tax (VAT) on most goods and services since January 2018. For the construction industry, VAT on construction services in the UAE significantly impacts large, costly, and long-term projects. Services like new builds, renovations, consultancy, subcontracted work, and repairs are typically subject to VAT, making it crucial for sector professionals to understand its application.

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