Kuwait VAT launch April 2021
- Apr 24, 2019 | Richard Asquith
Kuwait news reports indicate that it plans to implement a 5% VAT regime from 1 April 2021.
The indirect tax is being introduced as the economy seeks to rebalance its reliance on oil revenues. Oil prices have fallen from over $125 to $75 per barrel in the past five years.
Kuwait is one of the six Arab Gulf states which committed to introducing a common VAT zone in 2017. So far, only Saudi Arabia, UAE and Bahrain have done so. It is expected that Oman will introduce VAT in October 2019.