UAE has implemented VAT in beginning of 2018. What does it mean for Education sector?
In general there is 5% VAT and zero % VAT. Depending on type of goods or services one of the rates might be relevant.
For education, there are several items which are zero-rated:
- nursery education
- pre-school education
- school education
- higher education provided by institutions owned by the government or getting more than 50% of their funding from government
- printed and digital reading material provided by the education institution
- school trips related to curriculum
There are also items subject to 5% VAT:
- school uniforms
- electronic equipment
- food and beverages on campus
- school trips for recreation
- extra-curricular activities
School transport is exempt from VAT.
If you need any clarifications or additional information, you can refer to FTA web-site. There are all laws and lots of additional documents available which will help to answer all questions.