Explainer: Difference between VAT and corporate tax – The National

Explainer: Difference between VAT and corporate tax – The National

The UAE is taking a step forward on June 1 in expanding its revenue base when it introduces corporate tax next month.

The move will increase the country's taxation scope after the introduction of value added tax (VAT) in 2018. There are also duties applied to exports and imports on trade, which add to the government revenue.

The UAE government received Dh75 billion ($20.42 billion) in tax revenue in the fourth quarter of last year, up 29 per cent compared with the same period in the previous year, according to data issued by the Ministry of Finance in March.