Goods and services subject to VAT

 

Food & Beverages

VAT rate
Food & Beverages

5%

 

Transportation

VAT rate

Domestic transportation

5%

International transportation (including intra-GCC)

0%

Transportation services for Goods or passengers outside the Kingdom

0%

Supply of a qualifying means of international transport (vehicle, vessel, aircraft) with special specification

0%

Supply of replacement parts, consumables, maintenance and repair services for qualified transport (with special terms)

0%

 

Click here for more information on transportation workshop

VAT Guideline for Transportation

 

Real estate

VAT rate
Commercial sale and rent

5%

Residential sale

5%

Sale of own / close relative’s dwelling

Out of scope
Hotels, inns, guest houses, motels and serviced accommodation rent 5%

Residential rent

Exempt
Rent of housing for students Exempt

 

Click here for more information on real estate workshop

VAT Guideline for Real Estate

 

Education

VAT rate

Private education

5%

Public education

Out of scope

 

Healthcare

VAT rate

Private healthcare

5%

Public healthcare

Out of scope

List of medicine and medical equipment issued by KSA Ministry of Health and SFDA

    - Zero-rated human drugs
    - Zero-rated vitamins
    - Zero-rated medical equipment
0%

 

Click here for more information on healthcare workshop

VAT Guideline for Healthcare

 

Oil, oil derivatives and gas sector (domestic)

VAT rate

Oil, oil derivatives and gas sector (domestic)

5%

 

Investment gold, silver, and platinum

VAT rate

≥99% pure and tradable in global markets

0%

<99% pure

5%

 

VAT Guideline for Investment Metals

 

Wired and wireless telecommunications and electronic services

VAT rate

Wired and wireless telecommunications and electronic services

5%

 

Click here for more information on Digital Economy workshop

VAT Guideline for Digital Economy is coming soon, stay tuned.

 

Financial services

VAT rate

Margin based products

Exempt

Operation of any current, deposit or savings account

Exempt

Explicit fee, commission or commercial discount 5%
Insurance products (including health insurance) 5%
Insurance services and life reinsurance Exempt
Interest or lending fees charged with an implicit margin for any form of lending (including loans and credit cards) Exempt
Interest or lending fees charged with an implicit margin for finance (including finance leasing) Exempt
Issue or transfer of a debt security or any other transferable monetary amount Exempt

 

You can find the financial services providers - products and services list on the following link

Click here for more information on financial services workshop

VAT Guideline for Financial Services is coming soon, stay tuned.

 

Government activities

VAT rate

Public services provided by government agencies which are not considered as an economic activity such as renewal of passport, driving license, etc.

Out of scope

 

 

VAT rate

Exports outside the GCC Territory

0%

Services provided to non-GCC residents and consumed outside of Council Territory

0%

Activity exercised by employees bound to an employer by contract

Out of scope

Supplies made by members of a single tax group

Out of scope