Riyadh – Mubasher: The value added tax (VAT) will be applied by 5% on water and sewage services in Saudi Arabia, effective 1 January 2018, said the Saudi National Water Company (NWC).
NWC explained the method of calculating the VAT on water and sewage service through its official Twitter account.
Saudi Arabia is set to start applying the VAT from January 2018.
VAT is a composite tax which is applied on the differential between cost and selling prices of products, it is considered indirect tax, also it is applied on production’s cost.
