Saudi Arabia VAT Rate and Customs Duty Changes | Page 11

Advance invoice issued for services from 1 January 2020 until 31 December 2020 .

IMPACT – TRANSITIONAL ISSUES

Example

Advance invoice issued for services from 1 January 2020 until 31 December 2020 .

Invoice 1 Jan 2020

1 July 2020

Service terminates 31 December 2020

• VAT ( 5 %) was collected when the invoice was issued .

• No additional VAT – as the invoice was raised before 11 May 2020

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