Riyadh – Mubasher: Saudi Arabia's Almarai said that putting the value added tax (VAT) into effect will increase the prices of its products by 5%.
The Saudi Ministry of Finance (MoF) on Monday, 1 January, will start imposing the VAT according to the common VAT accrod across the GCC.
The Saudi MoF aims to raise VAT receipts of SAR 23 billion in 2018.
The VAT is a composite tax which is applied on the differential between cost and selling prices of products, it is deemed an indirect tax, and it is imposed on production’s cost.
