Value Added Tax (VAT)
In line with General Authority of Zakat and Tax announcement on Value Added Tax (VAT) Implementation effective 1st of July 2020 at the rate of 15%, Alistithmar Capital would like to announce to customers that VAT will be added to all applicable fees of services and products unless the services or product delivered is exempt from VAT or zero rated.
We would like to announce to customers that our system & documents will be updated in accordance with the VAT Law & Regulations and we will be issuing the VAT Invoice that will be sent to your registered email address, Regulations. For detail information about VAT application, please visit www.vat.gov.sa.
Please login and confirm your email address is up to date in order to receive your VAT invoice. If you have any questions or need further clarification, please do not hesitate to contact our Customer Service Representative on 800-124-8282.
Our Terms and Conditions
It is understood and agreed between the Parties that any amounts due under this (Agreement/contract/service/product/terms and conditions) are exclusive of any Value Added Tax (VAT). Hence VAT shall be added at the current applicable rate as amended from time to time, as per the VAT Rules and Regulations effective the 1st of July 2020”.
What is VAT?
The Value added Tax (VAT) is an indirect tax that applies to goods and services within the Kingdom of Saudi Arabia except for those goods and services which have been explicitly exempted from such tax or are zero rated.
Why did the government decide to implement VAT?
This reform will allow the government to diversify its sources of revenue, ensure financial sustainability and increase its revenues in the future.
Which government entity is responsible for VAT?
The General Authority of Zakat and Tax (GAZT)
When will the VAT be applied? And what is its percentage?
VAT was introduced in Saudi Arabia on January 1, 2018 , with a standard rate of 5% applied to qualified goods and services. The VAT standard percentage has been changed from 5% to 15% from 1st July 2020.
Will VAT be applied to all products and services?
VAT, as a General Consumption Tax (GCT), will be imposed on many transactions related to goods and services within the Kingdom, if such product or service has not been explicitly exempted or zero rated from the tax.
Will the tax include the Alistithmar Capital’s products and services?
VAT will be applied to some but not all of the Alistithmar Capital’s products and services.
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