Value Added Tax (VAT) is a transaction based tax generally imposed on supply of most goods and services. Kuwait plans to introduce VAT at a rate of 5% by no later than 1 January 2019.

Given the VAT development in the region, businesses will need to spend time and efforts on realignment of operations including supply chain and logistics, pricing, procurements, accounting and Information Technology Systems.

BDO Kuwait has a specialized unit to assist businesses in getting ready for VAT. Our VAT team can assist businesses with the following:

• VAT impact assessment
• VAT implementation
• VAT consulting advice on specific transactions
• Review of systems
• VAT return preparation
• VAT mixed use apportionment calculations
• VAT health-check
• VAT training

BDO can also provide specialist advice on other indirect taxes, such as customs duty.