Abu Dhabi – Mubasher: The UAE Cabinet has approved a law to apply the value-added tax (VAT) reversed charge mechanism for investors in gold, diamond, and precious metals.
The new law regulates investments in gold, diamond, and precious metals used in trade with a purity of 99% or more – including gold, silver, and platinum – according to international standards, Emirates News Agency reported.
Followed various initiatives by Emirati investors, the reversed charge mechanism law is aimed at easing precious metals trade and boosting this giant industry.
“The volume of gold trade in the UAE rose to AED 244.3 billion in 2016, with a growth rate of 13%. The value of UAE’s imports of gold amounted to AED 142.4 billion in the same year, while exports amounted to AED75.9 billion,” WAM stated.
