FTA issues Designated Zones guide & public clarification on VAT recovery of entertainment
The FTA has published a new VAT guide on Designated Zones. The guide provides much awaited clarification on the treatment of supplies to, from and within the Designated Zones.
In addition a public clarification has been issued regarding the VAT recovery on business entertainment. It provides further clarity on the types of supplies made by businesses to employees and clients which are blocked from input tax recovery under Article 53 of the UAE VAT Regulations.