Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesCopyBotsEarn
The UAE Exempts Crypto Transactions from VAT

The UAE Exempts Crypto Transactions from VAT

CoinjournalCoinjournal2024/10/07 14:42
By:Coinjournal
  • The UAE updated its tax laws to exempt crypto transactions from value-added tax.
  • The change will take effect on November 15 but retroactively apply to transactions from January 1, 2018.

The UAE government amended its regulations around value-added tax laws to exclude digital assets and transactions involving them.

The document published by the Federal Tax Authority (FTA) of the UAE also exempted the activities of investment funds that manage digital assets, and the transfer of ownership of assets and their conversion to or from fiat from value-added tax.

This development is part of a wider streamlining of digital asset regulations by various regulatory authorities within the UAE. For example, the Securities Commodities Authorities (SCA), UAE’s premier financial regulatory authority, partnered with Dubai’s authority, the Dubai Virtual Asset Regulatory Authority (VARA), to jointly oversee digital asset service providers operating within both nations.

A wider push for legitimacy

The UAE’s amendment to its crypto tax laws lends more legitimacy to digital assets within the region as the same VAT exemption is also applied to traditional financial firms and transactions.

According to PwC, virtual assets within the UAE are considered as a “representation of value that can be digitally traded or converted and can be used for investment purposes.”

0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Locked for new tokens.
APR up to 10%. Always on, always get airdrop.
Lock now!

You may also like

Terra (LUNA) Founder Do Kwon’s Fate Finally Certain – Here’s What Happens Next

The decision that will greatly affect Terra (LUNA) founder Do Kwon's future has finally been shared with the public.

Bitcoinsistemi2024/12/28 02:55