Your Monthly Tax Update for the GCC region
As summer approaches in the Gulf region and temperatures begin to soar, tax professionals across the GCC are working hard to stay cool, both literally and professionally. With the regional tax landscape evolving rapidly, staying informed is more important than ever.
To support you in navigating these changes, we are pleased to bring you the May edition of Gulf Tax Insights. This issue highlights the latest tax developments across the Gulf Cooperation Council (GCC) member states, offering key updates and insights that matter to businesses and investors alike.
Saudi Arabia – Amendments to the White Land Levy
The White Land Levy Law imposes annual levies on undeveloped land in the Kingdom of Saudi Arabia (KSA) and intends to discourage land hoarding and promote urban development in the country. Amendments to the Law were officially published on 12 May 2025, and the changes entail an increase of the applicable rate to 10%, as well as an expanded scope of which properties may be subject to the White Land Levy.
UAE – Spotlight on the FTA’s Latest VAT Clarifications
In recent weeks, the Federal Tax Authority (FTA) has issued a series of important public clarifications addressing key VAT topics. These include recent amendments to the VAT Executive Regulations, the self-invoicing requirements for SWIFT-related services, the VAT treatment of barter transactions, the reverse charge mechanism for supplies of precious metals and stones, and documentary requirements for Concerned Services. In this edition, we take a closer look at the FTA’s latest guidance and what it means for businesses operating in the UAE.
Saudi Arabia – Amendments to the VAT Implementing Regulations
The Board of Directors the Zakat, Tax and Customs Authority (ZATCA) has approved amendments to the KSA's VAT Implementing Regulations. Ranging from changes affecting VAT groups, deemed supplies, transfers of economic activity, electronic market places and foreign VAT refunds, among others, many of the amendments will have effect from their official publication of 18 April 2025.
Double Tax Treaty Developments
Over the past month, we witnessed the continued strengthening of international business relations through the expansion and updating of DTT networks among GCC Member States. These developments aim to enhance the Gulf region’s attractiveness as a global business hub, facilitating smoother cross-border trade and investment activities.
