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The standard rate of VAT (tatimi mbi vleren e shtuar; TVSH) is 20 percent. There is a reduced rate of 0 percent applicable to exports of goods, supply of services and goods connected to maritime commercial or industrial activities, and supplies related to international transport. The export of services and the supplies of certain goods and services are exempt from VAT, for example lease and sale of land (under certain conditions subject to 20 percent VAT), sale of real estate, financial services, and certain supplies in connection with oil exploration. The supply of drugs and medical services offered by private or public health institutions is subject to 10 percent VAT.
There is no VAT system in Angola at this time. However, there is a consumption tax which to some extent substitutes VAT. Consumption tax is levied on: importation of goods, local production of goods and a range of services (e.g. consultancy services, tourism services). The rate for goods varies from 2 percent to 30 percent with the general rate being 10 percent. The rate for services is either 5 percent or 10 percent.
The standard rate of VAT (impuesto al valor agregado; IVA) is 21 percent. There is a reduced rate of 10.5 percent for certain goods and services, including, sales or imports of cattle, sheep, camels, goats, and derivatives which are fresh or frozen under certain conditions, imports of certain capital goods included in the tariffs list of the Common Nomenclature of Mercosur (Southern Cone Common Market), certain supplies of services related to the soil (such as preparation) and farming activities (such as sowing and harvest), certain constructions related to dwelling houses, interest on loans from foreign banks located in a country where the central bank has adopted the international supervision standards of the base Banks Committee, the processing and manufacturing of movable goods in Argentina by a third party, even if the movable property is fixed to immovable property. Such supplies do not include tax-free services supplied through the delivery of movable goods representing simply the material support in relation to a supply, subject to certain restrictions, sales, hiring, and imports of live animals or their meat, fruits, vegetable, honey, grains, dried vegetable, common bread, bakery products, and wheat flour, provision of certain services including sowing, plantation, harvesting, use of chemicals to enrich the soil, building, installation, repairing, maintenance, and preservation of properties destined for housing, sales and imports of newspapers and periodicals, transport services supplied by taxis and other means of transport if the distance traveled is more than 100 km, medical services in specific cases, sales and services provided by certain cooperatives, sales, hiring, and imports of certain gases, and production and distribution of programs, films, and records of any type to be transmitted by radio or television. There is an increased rate of 27 percent for certain services if they are rendered outside properties exclusively used as a dwelling, entertainment, summer homes or vacant land and the beneficiary of the services is a registered or a small taxpayer, telecommunication services (except services rendered by the national telecommunications agency or news agencies), the supply of gas or electrical power (except public illumination), certain supplies of water, and sewage services. Exports of goods and services are zero-rated. Exempt goods include, among others,: imports and sales of books, retail distribution of newspapers, and periodicals, shares, bonds, and securities, stamps, gold and metallic currency, and airplanes constructed and destined for the transportation of passengers and/or freight and ships for the exclusive use in commercial activities or for defense and security. Exempt services include: services rendered by the state, provinces, municipalities, and institutions belonging thereto, specified medical services, transportation of persons and freight, including international transportation, financial placements and services in those cases listed in the law, services proper of directors, controllers and members of boards of stock corporations and those of managers and members of managing boards of other companies, the letting of immovable property relating to dwelling houses and to farming and the letting of immovable property with monthly rents less than ARG1,500.
The standard rate of VAT is 20 percent. There is also a 0 percent rate which applies to, for example, the export of goods from Armenia, the provision of services, the place of supply for which is outside Armenia, the maintenance of aircraft serving international flights, and the sale of goods in duty free shops in airports. Certain supplies of goods and services are exempt from VAT, for example the sale of magazines and newspapers, scientific research work, the provision of most types of financial services, insurance, and reinsurance activity.
The standard rate of turnover tax (Belasting op Bedrijfsomzetten; BBO) is 1.5 percent.
The standard rate of VAT is 20 percent. VAT reduced rates of 10 percent and 12 percent are applicable on some supplies.
No indirect taxes such as VAT, GST etc. are levied in the Bahamas. However, there are significant import duties and excise taxes on goods brought into the country. Such import duties and excise taxes range from 0 percent on certain essential items up to 85 percent on certain luxury vehicles.
There is no VAT or sales tax. Bahrain follows the GCC Unified Customs Duty law and imposes 5 percent on most imports.
The standard rate of VAT is 15 percent. There are reduced rates of 10 percent, 9 percent, 6 percent, 5.5 percent, 5 percent, 4 percent, 2.25 percent, 2 percent, 1.5 percent, and 0 percent which apply to, for example certain categories of airconditioned bus, and railway service (10 percent); restaurants (without AC), retailers of furniture (production stage) (6 percent); construction firm (5.5 percent); electricity distributor, own branded readymade garments retailers (5 percent); motor vehicles garage and workshop, producer of film or photo studio/shop, dockyard, carriers without petroleum, immigration advisers, English medium schools, and information Technology Enabled Services (ITES) (4.5 percent); supplies of goods and services through participation in a tender/quotation and buyers of auctioned goods (4 percent); pathological laboratory work, supplies of goods and services by hospitals and maintenance and cleaning of building floors/premises, dental medical centers, petroleum carriers (2.25 percent); goldsmith or silversmith (2 percent); land developer, construction of apartments (1.5 percent); VAT exemptions include, for example, certain food items (such as meat, fish, potatoes, vegetable, and fruits); raw jute; social welfare, culture, training, and rehabilitation services; and agricultural development.
The standard rate of VAT is 17.50 percent. There is a 8.75 percent rate which currently applies to the provision of hotel and condo-hotel accommodations. Zero-rated supplies include exports of goods and services, basic food items, printed matter, certain agricultural machinery, and international transport of passengers and freight, as well as importations by approved educational institutions and companies in the international financial services sector, among others. Exempt supplies include certain financial services, health and educational services, and specific supplies of real property. Companies in the international business sector are not required to register for VAT and any VAT which they suffer may be refunded on application to the VAT Division on the prescribed form.
The standard VAT rate is 20 percent. Reduced rates are 10 percent (applied to clothes for children and some social products, such as grain, milk, butter, fish, flesh and other products included in a list approved by the president), and 0 percent (export). Some goods and services are exempt from VAT application, such as medical equipment, medicines and other goods and services indicated in the Tax Code.
The standard rate of VAT (taxe sur la valeur ajoutée: TVA/belasting over de toegevoegde waarde: BTW) is 21 percent.There are reduced rates of 12 percent, 6 percent and 0 percent. The 12 percent rate applies to, for example social housing (as from 1 January 2007, 6 percent in certain circumstances), restaurant and catering services (not drinks), fytofarmacie, and margarine. Most food and drinks, books, pharmaceuticals, hotel and camping accommodations, passenger transportation, refurbishment works to private dwellings (under certain conditions) and agricultural services are charged at a 6 percent rate. Newspapers and periodicals published (under certain conditions) are charged with 0 percent. Supplies of certain goods and services are exempt from VAT, for example financial services, letting of immovable property, hospital services, medical care and cultural activities.
There is no indirect tax.
The standard rate of VAT (impuesto al valor agredado; IVA) is 13 percent of the total price of the service rendered for an effective rate of 14.943 percent. Exports of goods and services are zero-rated. Exempt services include: financing transactions generating interest income, purchase and sales of shares, debentures, securities and credit title transactions, sales or transfers resulting from companies' reorganizations, capital contributions, imports made by country-accredited diplomats. Recovery of VAT incurred on the purchase of gasoline or diesel oil in benzine stations is limited to 70 percent.
The standard rate of VAT is 8 percent. The standard rate applicable to services is reduced to 6 percent (1 October 2011). The supply/import of goods is 8 percent. For services related to insurances the rate is 7 percent (as of October 2011).
The standard rate of VAT (porez na dodanu vrijednost; PDV) is 17 percent. There is a reduced rate of 0 percent which applies to, for example, exports of goods and certain related services. Supplies of certain goods and services are exempt from VAT, for example, financial services, insurance and reinsurance services, education, health care, rent of residential property for a period longer than 60 days, certain supplies of immovable property, dealing in shares, management of investment funds and stamps.
The standard VAT rate is 12 percent. There is a reduced rate of 0 percent which applies to exports of goods and services, international transport services, disposal of businesses as going concerns, certain food products not mixed with other products, some pesticides, fertilizers, farming tractors, supplies to the head of state etc. Certain supplies of goods and services are exempt from VAT, for example prescription drugs, residential accommodations, education at approved institutions, public medical facilities and services, non-fee based financial services, and passenger transportation (excluding the transportation of tourists).
The standard VAt rate is 18 percent. There are two types of VAT in Brazil: a state sales tax (imposto sobre circulaçao de mercadorias e serviços; ICMS) and a federal excise tax (imposto sobre produtos industrializados; IPI). There are other taxes on supplies of goods or services: a services tax (imposto sobre serviços; ISS), a social contribution for social security financing (contribuiçao para o financiamentoda seguridade social; COFINS) and an employees' profit participation program (programa de integraçao social; PIS). The standard rate of ICMS is 17 percent (in Sao Paulo, Minas Gerais, and Paraná the standard rate is 18 percent and in Rio de Janeiro it is 19 percent). IPI is normally charged at an ad valorem (value) rate according to the classification of the product based upon the international Harmonized Commodity Description and Coding System, administered by the World Customs Organization in Brussels. Rates range from 0 percent to a maximum of 330 percent and average about 10 percent.The standard rate of ISS is ranges from 2 percent to 5 percent. The standard rates of PIS and COFINS under the so-called non-cumulative regime are 1.65 percent and 7.6 percent, respectively. There are reduced rates of 7 percent and 12 percent ICMS which apply to inter-state supplies within Brazil depending on the region into which goods are sold and to certain intra-state supplies, for example to diesel oil and hydrated ethyl alcohol fuel, motor vehicles and transport services (12 percent), products that are part of the basic food basket and product from the electronic data processing industry (7 percent). Certain supplies are exempt from ICMS, for example supplies of books, newspapers, periodicals, and the paper consumed in the printing of such products, sale of fixed assets, fruits, vegetables, and farm and garden produce and preservatives. Note: ICMS changes (started on 2013): The inter-state sale of imported goods (not submitted to any kind of industrialization), that are not similar to Brazil goods, are subject to the ICMS rate of 4 percent. Also, the inter-state sale of industrialized goods with imported content greater than 40 percent is also subject to the ICMS rate of 4 percent. Exemptions include goods industrialized under the Basic Production Process (PPB). The reduced IPI rate of 0 percent applies to, for example live animals and animal products, plant products, chemical products, textile products, and shoes. Certain supplies are exempt from IPI, for example supplies of vessels (except sporting or pleasure boats), exports, books, newspapers, periodicals, and paper consumed in the printing of such products, electric energy, petroleum products, fuel, and minerals belonging to the country. There are reduced rates of ISS which vary from one municipality to another. Certain supplies are exempt from ISS, for example exports of services, amounts intermediated in the bonds and securities market, the amount of bank deposits, the capital, interests, and default interests regarding credit operations performed by financial institutions.Reduced rates of 0.65 percent PIS and 3 percent COFINS apply under a so-called cumulative regime. Unlike the non-cumulative regime there is no recognition of any tax credits under the cumulative regime. Certain supplies are exempt from PIS and COFINS, for example the exportation of goods, the exportation of services with payment in convertible currency, sales of products to a commercial export company for export purpose specifically and sales of fixed assets. Note: Recent changes have been made to the Cofins on Importation rate (started on 2012): According to the new disposals brought by MP 563/2012, Cofins on Importation rate has now been increased to one percent, which will correspond to a total of 8.6 percent, regarding import operations with the products listed at the appendix to Law nº 12.546 of 2011, which includes plastics, rubber made products, leather, textiles, several mechanical instruments and appliances, boats and floating structures, electrical equipments, among others.
The standard rate of VAT is 20 percent. On 1 April 2011 the reduced rate of 7 percent was replaced by a reduced rate of 9 percent which has applied not only to hotel accommodation where part of a package tour but to any type of hotel accommodation. From January 2012, the 9 percent rate applied to accommodation in hotels, sheltered housing and other places for accommodation.
The standard VAT rate is 10 percent.
The standard rate of the federal GST is 5 percent. There is a reduced rate of 0 percent which applies to zero-rated supplies, for example exports of certain goods, prescription drugs, and basic groceries. Also, certain goods and services are exempt from GST, for example some supplies of residential property, financial services, educational services, and health care services. In addition, all provinces, except for Alberta, impose a value-added tax or a retail sales tax on the sales of taxable goods and services. The provinces of Ontario, British Columbia, New Brunswick, Nova Scotia, and Newfoundland and Labrador apply a harmonized value-added tax known as the harmonized sales tax (HST). The rates of the HST vary from 12 percent to 15 percent which include a federal component of 5 percent and a provincial component (7 percent to 10 percent). There is a reduced rate of 0 percent which applies to zero-rated supplies. The HST applies to the same base of goods and services as the GST. The province of Quebec applies its own value-added tax, the Québec sales tax (QST), at a rate of 9.975 percent or 0 percent to generally the same base of goods and services as the GST. The provinces of Saskatchewan, Manitoba, and Prince Edward Island levy retail sales taxes in their respective jurisdictions. The retail sales tax rates vary from 5 percent to 10 percent. British Columbia proposes to transition back to the 5 percent GST and a 7 percent PST effective 1 April 2013. Prince Edward Island proposes to harmonize its retail sales tax with the GST to create a new 14 percent HST effective 1 April 2013.
There is no VAT in the Cayman Islands.
The standard rate of VAT (impuesto al valor agregado; IVA) is 19 percent. Locally registered taxpayers can deduct Input VAT as a credit against output VAT. Exports of goods are zero-rated. However exporters can recover the input VAT in cash. Exempt supplies include capital goods imported by foreign investors or companies receiving foreign investment that have subscribed an investment agreement with state of Chile under Decree Law 600; international transportation of cargo or people; certain types of insurance premiums; payments for services provided by persons who are neither domiciled non-resident in Chile and who are subject to income withholding tax; interests on financial and credit transactions and instruments; services provided to persons neither domiciled nor resident in Chile and which are qualified as export services by the National Customs Service; educational establishments and universities on educational activities, among others. Consulting, advisory and professional services in general are not subject to VAT.
There are three types of indirect taxes in China: value-added tax, consumption tax, and business tax. The standard rate of VAT is 17 percent. . The rate applies to sale and importation of goods; the provision of repair, replacement and processing services in China; and the leasing of non-real estate assets. A 11 percent rate applies to transportation services and 6 percent rate for "modern services" which are subject to the VAT pilot program. Modern services includes research and development and technical services, information technology services, cultural and creative services, logistics and ancillary services and certification and consulting services. Reduced VAT rates of 13 percent and 0 percent apply to, for example, basic necessities, agricultural products, utility services (13 percent) and exports of goods and certain services (0 percent). Exports of various goods are not wholly zero-rated and all the associated input tax is not always refundable in full to exporters. Small scale taxpayers being those without sophisticated business, accounting and auditing systems, and whose turnover is below certain thresholds (ranging from RMB 500,000 to RMB 800,000 of annual turnover in the majority of provinces in China, and RMB 5,000,000 for businesses which are subject to the VAT pilot program pay VAT at the rate of 3 percent and are ineligible for input VAT credits on purchases. The VAT pilot program currently applies to the transportation and modern services industries in Shanghai (from 1 January 2012), Beijing (from 1 September 2012), Jiangsu and Anhui (from 1 October 2012), Fujian and Guangdong (from 1 November 2012) and Tianjin, Zhejiang and Hubei (from 1 December 2012). It is anticipated that the VAT pilot program will be expanded to other provinces and services during the course of 2013. The VAT pilot program seeks to replace business tax with VAT, eventually resulting in VAT applying to all goods and services in China.
The standard rate of VAT (impuesto sobre las ventas) is 16 percent. Effective 1 January 2013 the reduced rate of 5 percent applies to certain supplies of goods such as coffee, some cereals, sugar, pasta, flour, some engines and agricultural machinery, and certain supplies of services such as storage of agricultural products, fees related to trading of agricultural products traded, and agricultural insurance.Zero-rated supplies (referred to as exempt supplies in Colombia) include exports of goods and services or tourist services provided to non-residents.Effective 1 January 2013, a new consumption tax was introduced and applies on a range of supplies of goods and services, at the rates of 16 percent, 8 percent and 4 percent.
The indirect tax rate is 13 percent.
The standard rate of VAT (Porez na dodanu vrijednost; PDV) is 25 percent (since 1 March 2012).The reduced rates of 10 percent and 5 percent. The reduced rate of 10 percent applies to tourist accommodations; full or half board services and tourist agents' commission with regards to those services; daily and periodic newspapers and magazines; edible oils and fats; baby food; supply of water (except bottled or otherwise packaged drinking water); refined (white) sugar and, as of 1 January 2013, certain hospitality services. The reduced rate of 5 percent applies tob bread, milk, certain books, certain medicines, medical implants, and orthopaedic devices, public film projection services, scientific magazines, and temporarily imported vessels for sport and leisure purposes which are expected to be placed into free circulation by 31 May 2013.Certain supplies of goods and services are exempt from VAT, for example, financial and insurance services; health and welfare services; education services; deliveries by charitable organizations; deliveries by museums, libraries, theatres, orchestras and other cultural services; betting and gambling; rent of residential property, etc.
The standard rate of VAT is 6 percent.
The standard rate of VAT (Foros prostithemenis axias; FPA) is 18 percent (effective 14 January 2013). There are reduced rates of 8 percent, 5 percent and 0 percent. For example, since 1 January 2011, the 8 percent applies to passengers transportation services within Cyprus; hotel accommodation; restaurant and similar catering services including alcohol drinks. The 5 percent rate is applies to bottled and non-bottled water; books; newspapers, magazines and similar publications; gas; aid to disabled persons; animal feed; fertilizers and insecticides; waste treatment. Since 1 January 2011, the 5 percent rate also applies to drugs and medicines, and food items for human consumption. Export of goods is zero-rated. Supplies of certain goods and services are exempt from VAT, for example, financial services; postal services; education and health care and welfare services; and cultural services by public bodies of non-profit organizations. Effective from 13 January 2014, the standard VAT rate will be increased to 19 percent and the reduced rates to 8 percent to 9 percent.
The standard rate of VAT (dan z pridané hodnoty; DPH) is 21 percent (effective 1 January 2013). There is a reduced rate of 15 percent which applies to, for example, food products, books, brochures, newspapers and magazines, public transport services, social residential housing construction, and transfer of residential houses unless exempt. Exports and intra-community supplies of goods, international transport of goods relating to exports or imports of goods are zero-rated. Certain supplies of goods and services are exempt from VAT, for example insurance and financial services; postal services; education; health and welfare services; transfer of land including financial leasing of land; transfer and financial leasing of immovable property in certain conditions; and renting of land and immovable property.
The standard rate of VAT (merværdiafgift; MOMS) is 25 percent. There is a reduced rate of 0 percent which applies to, for example exports of goods, newspapers, sale and leasing of ships and sale and leasing of aircrafts used by airlines predominantly operating internationally. Supplies of certain goods and services are exempt from VAT, for example health and welfare services, education, certain sport and cultural activities, land, financial and insurance services, postal services by Post Denmark, passenger transport services (excluding transport of tourists by bus).
The standard rate of VAT (impuesto sobre transferencia de bienes industrializados y servicios; ITBIS) is 18 percent. Exports of goods and services are zero-rated. Exempt supplies include some basic consumption items, educational materials, medicines, services of health, utilities, non-conventional or renewable energy equipment and supply, and inland transport of persons and cargo.
The standard rates of VAT (impuesto al valor agregado – IVA) are 12 percent and 0 percent. The following items are charged with 0 percent of VAT: natural food such as: milk, bread, butter, sugar, salt, noodles, etc; seeds; bulbs; plants; live roots; fertilizers; insecticides; pesticides; herbicides; veterinarian products; tractors with tires up to 200 HP and other agricultural implements; medicines and drugs for human use; bond paper and books; exports; electric energy; aircraft, light aircraft and helicopters for commercial passenger transport, freight and services.The following services are charged with 0 percent of VAT: Local transportation: by land, sea transport of passengers and cargo; international transportation of cargo; national transportation of cargo from and to Galapagos province; transportation of oil and natural gas by pipeline; services of medicines manufacturing; lease of housing; utilities; exportation services; inbound tour packages; crop-dusting; services provided by craftsmen; insurance and life and health reinsurance, healthcare and medical assistance.
The standard rate of general sales tax (GST) is 10 percent. There are other rates that vary from 0 percent to 45 percent. The reduced rates apply to, for example: coffee; all products made of flour, soap, fertilizers, gypsum (5 percent), iron bars (8 percent); and exports of goods (0 percent). The increased rates apply to, for example, national and international telecommunication services using mobile phones; motor vehicles of a cylinder capacity less than 1600 cc (15 percent); some electrical appliances; perfumery (25 percent); motor vehicles of a cylinder capacity of 1600 cc up to 2000 cc; motor vehicles for the transport of goods and persons; jeep motor vehicles; camping trailers (30 percent); motor vehicles of a capacity of more than 2000 cc; and vehicles for trips and camping (45 percent).
The standard rate of VAT (käibemaks) is 20 percent.There are reduced rates of 9 percent and 0 percent which apply to, for example, books; certain printed periodicals; medicines; accommodations (9 percent); international and passenger transport; exports of goods; supply of aircraft and provision thereof used by air-carrier operating mostly on international routes; supply of sea-going vessels for navigation on high seas; services on board of such vessels or aircrafts; and goods placed in free zone, free warehouse, or VAT warehouse, (0 percent). Supplies of certain goods and services are exempt from VAT, for example immovable property, financial and insurance services, postal services, education, and health and welfare.
The standard rate of VAT is 13 percent. There are no applicable reduced rates. A zero rate is applicable on exports.
The indirect tax rate is 15 percent.
The standard rate of VAT (arvonlisävero (ALV)) is 23 percent.The reduced rate of 13 percent is applicable, for example to food and animal feed and restaurant and catering services. The reduced rate of 9 percent applies, for example to accommodations, books, pharmaceuticals, passenger transport, and cultural and sporting services. The rate of 0 percent applies to newspaper subscriptions and the sale and hire of certain vessels and exports of goods. On January 2012 newspaper and magazines sold by subscription became subject to 9 percent VAT rate.
The standard rate of VAT (taxe sur la valeur ajoutée (TVA)) is 19.6 percent. There are reduced rates of 7 percent, 5.5 percent, 2.1 percent, and 0 percent which apply to, for example food, water, passenger transportation, some pharmaceutical products, books, hotel accommodations (5.5 percent), newspapers, and medicines for human health when reimbursed by social security (2.1 percent), and exports of goods and intra-Community supplies (0 percent).The reduced rate of 7 percent was introduced in January 2012. The scope of the new reduced rate includes most of the goods/services currently covered by the 5.5 percent rate. However this rate remains applicable to some items. From 1 January 2013, books and live performance will be covered by this rate. Certain supplies of goods and services are exempt from VAT, for example certain medical supplies, postal services, education, certain financial transactions, and insurance services. Under a proposal submitted in November, the VAT rates would increase as follows effective 1 January 2014: from 19.6 percent to 20 percent (standard rate), from 7 to 10 percent (intermediate rate). The reduced VAT rate would decrease from 5.5 percent to 5 percent.
The standard rate of VAT is 18 percent which applies to all transactions except for:• exempted transactions with the right to offset input VAT (i.e. similar to zero rated transactions)• exempted transactions without the right to offset input VAT• transactions not carried out on the territory of Georgia.
The standard rate of VAT (Umsatzsteuer (USt)) is 19 percent.Reduced rates apply to certain items; 7 percent (e.g. food, plants, animals, books/newspapers, short term accommodation including certain connected services and short distance passenger transport) and 0 percent (e.g. cross-border air passenger transport, financial services to non-EU recipients, exports, and certain transactions involving ships and aircrafts). Special rates (5.5 percent and 10.7 percent) apply under the farmers' flat-rate scheme. VAT exempt transactions include financial services to EU recipients, insurance services, certain supplies of land, health, welfare, education, specific public postal services, and supplies within the Real Estate Acquisition Law.
There is no VAT in Gibraltar.
The standard rate of VAT is 23 percent (from 15 March until 30 June 2010 the standard VAT rate was 21 percent). There are reduced rates of 13 percent, 6.5 percent. For the Aegean islands all VAT rates are further reduced by 30 percent (i.e. from 23 percent to 16 percent, from 13 percent to 9 percent and from 6.5 percent to 5 percent) provided that certain conditions are cumulatively met. This reduction does not apply for supplies of tobacco products and means of transportation. VAT exemptions apply, inter alia, to (a) intracommunity supplies and exportations of goods, (b) the majority of services provided to foreign persons subject to VAT, (c) international transports, (d) supplies made in connection with qualifying vessels and aircraft and (e) services provided by the educational, medical, insurance and financial sectors.
The standard rate of VAT (Impuesto al Valor Agregado (IVA)) is 12 percent. Exports are zero-rated. Exempt supplies include certain imports, certain medicines, specified financial services, and specified supplies of real property.
Guernsey does not levy VAT or any similar indirect tax.
The standard rate of sales tax (impuesto sobre ventas (ISV)) is 12 percent. An increased rate of 15 percent applies to imports and national supplies of alcoholic beverages and tobacco products also the airplane tickets in first class and executive class are taxed with an 18 percent and the telecommunication services will be taxed with a 15 percent also in the excess consumption of 750 kw/h of electricity the tax establish is of a 12 percent. The goods and services exported abroad are subject to 0 percent. Exempt supplies include basic food items for human consumption; livestock and certain agricultural goods, and machinery; pharmaceutical products for humans and animals; books, magazines, newspapers, and school supplies; most financial services; educational services; the supply of water and electricity; professional and sports services; and terrestrial transportation of passengers.
There is no VAT or GST in Hong Kong.
The standard rate of VAT is 27 percent (since 1 January 2012).There are reduced rates of 18 percent, relating to hotels and basic food, such goods as milk, certain dairy products, bread and other bakery products, and 5 percent that relates mainly to products and services such as books and medicines and the supply of heating to households.
The standard rate of VAT (virdisaukaskattur (VSK)) is 25.5 percent. There are reduced rates of 7 percent and 0 percent. The 7 percent rate applies to, for example accommodations (effective September 2013, the accommodation will be subject to 14 percent VAT), books and periodicals, licenses to use radio and television broadcasting services, and certain food intended for human consumption. The 0 percent rate applies to, for example exports of goods and services; international transportation; fuel and equipment delivered for use in ships and aircraft engaged in international traffic; sales and rentals of ships and aircraft; and repairs and maintenance services rendered to ships and aircraft. Certain supplies of goods and services are exempt from VAT, for example real estate and parking space leases, health services, social services, educational and sport activities, passenger transport, postal services, financial services, and services of travel agencies.
The standard rate of VAT is 13 percent. India has a federal structure with both federal and state-specific indirect tax. Intra-state sale of goods is subject to VAT and sale of goods occasioning movement across states is subject to central sales tax (CST).The standard CAT slab rates across States ranges from 12.5 percent to 15 percent. There are reduced rates of 4 to 5 percent, 1 percent, and 0 percent which apply to, for example IT products, intangible goods (such as patents and copyrights), capital goods, chemical fertilizers, cotton, drugs and medicines, iron and steel, industrial inputs, sports goods, tractors (4 to 5 percent); gold, silver, precious stones (for example diamonds), articles or ornaments made of the aforementioned (1 percent); and exports of goods (zero rated).There are increased rates of 20 percent and above, applicable to petroleum products (such as diesel, petrol, lubricants, and aviation turbine fuel), natural and other gases used as fuel, liquor and beer. Certain supplies of goods are exempt from VAT, for example books, periodicals and journals, electric energy, milk, fresh plants, flowers, vegetables and fruits, meat, fish, prawn, rice, and wheat. CST is charged at the rate of 2 percent or alternatively at the VAT rate applicable in the originating state. In addition, there is another indirect tax on provision of services known as Service tax, which is ordinarily discharged by the service provider. Effective 1 April 2013, the standard rate of service tax will be 12.36 percent. In terms of the Service Tax Law, all services other than those mentioned under the Negative List of services or specifically exempted under a Notification, would be liable to Service tax of 12.36 percent. Any services exported out of India would be zero rated, while any services received in India from outside of India ('import') would be liable to Service Tax in the hands of the recipient of such service (under 'reverse charge mechanism'). Whether a service would qualify 'export'/ 'import' would be determined by the Place of Provision of Service Rules, 2012, which prescribe for specified rules for different type of services.
The standard rate of a VAT (pajak pertambahan Nilai (PPN)) is 10 percent. There are two types of indirect tax in Indonesia: a VAT (pajak pertambahan Nilai (PPN)) and a sales tax on luxury goods (pajak penjualan atas barang mewah (PPnBM)). The rates of PPnBM range from 10 percent to 200 percent. The reduced PPN and PPnBM rates of 0 percent apply to exports of goods. Certain supplies of goods and services are exempt from PPN, for example unprocessed minerals, agricultural products, basic necessities, banking and insurance services, finance leasing, hotel and restaurant activities, employment and manpower services, various social services, and the supply of electric power and potable water.
The standard rate of Irish VAT is 23 percent (since 1 January 2012). There are reduced rates of 13.5 percent, 9 percent, 4.8 percent, and 0 percent . The 13.5 percent reduced rate applies to, for example, immovable goods, building services and repair, and maintenance services. The 9 percent reduced rate (in place until 31 December 2013) applies to certain goods and services in the tourism sector such as hotels accommodation and restaurant meals. The 4.8 percent rate applies to the supply of livestock, live greyhounds, and hire of horses. The 0 percent rate applies to the export of goods, basic foodstuffs, oral medicines, medical equipment, and appliances. There is a special farmer's flat rate addition of 4.8 percent (5.2 percent prior to 1 January 2013) which applies to certain sales by unregistered farmers. In addition, supplies of certain goods and services are exempt from VAT, such as financial, insurance, passenger transport, education, and health and welfare services.
The rate of VAT follows that of the United Kingdom.
The standard rate of VAT is 17 percent effective 1 September 2012 (it was previously 16 percent). The historical VAT rates are as follows: From 1 March 2004 to 1 September 2005 – 17 percentFrom 1 September 2005 to 1 July 2006 – 16.5 percent From 1 July 2006 to 1 July 2009 – 15.5 percentFrom 1 July 2009 to 1 January 2010 – 16.5 percentFrom 1 January 2010 to 1 September 2012 –16 percent. From 1 September through to today – 17 percent
The standard VAT rate is 21 percent (as at 17 September 2011). Reduced rates of 4 percent and 10 percent are applicable on some supplies. The standard rate should increase to 22 percent on 1 July 2013.
The standard rate of VAT (general consumption tax) is 16.5 percent (reduced from 17.5 percent on 1 June 2012). The rate of 10 percent applies to certain tourism services and, up to 31 May 2012, to the supply of electricity to the public with certain restrictions. Effective 1 June 2012, the rate applicable to electricity services to the public (with certain restrictions) is 16.5 percent. The rate of 25 percent applies to the supply of telephone services and instruments. Commercial importers pay an advanced GCT payment of 5 percent on the importation of certain goods in addition to the standard GCT rate applicable on imports. Zero rated supplies include exports, certain agricultural equipment and material, certain books, certain health supplies and medications and goods purchased by or services rendered to government entities. Exempt supplies include certain medical supplies and equipment, certain books and educational supplies, energy-saving devices and miscellaneous services including construction, health, public utilities and financial services.
The standard rate of consumption tax is 5 percent. The rate will be raised to 8 percent on 1 April 2014 and to 10 percent on 1 October 2015. There is a reduced rate of 0 percent, which applies to, for example, sales or leasing of goods as export transactions; sales or leasing of foreign cargoes; international transportation services; and services provided to non-residents (except for transport or storage of assets in Japan; provision of accommodations and food in Japan; and provision of services of a similar nature in Japan). Supplies of certain goods and services are exempt from consumption tax, for example, sale leasing of land; rental of housing; sales of securities, and similar instruments; medical treatment under public medical insurance laws; social welfare activities; school tuition; and examination services.
The standard rate of GST is 5 percent. The rate increased from 3 percent to 5 percent on 1 June 2011.
The standard rate of VAT is 16 percent. Under the GST Law, a taxable person is one who imports or supplies taxable goods or services, or both. There is no registration threshold for importers; however, resident suppliers of goods and services are liable for GST if their taxable turnover exceeds the following thresholds: - JOD 10,000 for manufacturers subject to the special tax- JOD 30,000 for service industries- JOD 60,000 for manufacturers subject to the general tax- JOD 75,000 for traders.GST is charged on the supply of goods and/or services, unless such is non-taxable or tax-exempt; the importation of goods or services from places outside Jordan or from the free zones, cities and duty-free shops. Tax is computed by reference to the value of goods and services, as stated on the invoice and declared by the taxpayer. In the case of imported goods, the value is that which is generally used for the assessment of customs duties. The value of imported goods is the value for customs purposes at the time of release from customs, plus the customs duties and any other taxes, duties and levies thereon. General sales tax rates applicable are as follows: The standard rate is 16 percent and applies to products, merchandise and transactions that are not subject to the reduced rate.The 0 percent rate applies to certain basic foodstuffs listed in the law; certain pharmaceutical products; and fuel oil, diesel oil, propane gas and butane gas. Examples of goods exempted from sales tax are wheat, bread, olive oil, paper money, gold and jewelry, electric power, vehicles used locally, cellular devices, milk, coffee, tea, rice. Examples of goods liable to VAT at the reduced rate of 4 percent include certain items of food, phosphate, potash, pens and notebooks and lead school and university, heaters, certain agricultural equipment, ambulances, equipment and medical supplies, school uniforms and medicines.Goods liable to VAT at the reduced rate of 8 percent include construction steel. Companies which are not resident in Jordan and have no permanent establishment there, but which carry out taxable transactions in Jordan, are subject to GST. Generally, registration requirements for non-residents are the same as for residents. Hence, foreign companies must register for GST when they carry out taxable transactions in Jordan. Companies registered with GST are liable to file GST returns on bimonthly basis, and have 30 days following the filing deadline to pay the GST due. Failing to do so ,shall trigger late filing penalties JOD 100, in addition to late payment penalties of 0.4 percent on the amount of GST due per each week delay.
The standard VAT rate is 12 percent. A 0 percent VAT rate applies to exports of goods and international transportation of passengers, baggage, and goods into or out of Kazakhstan. Certain supplies of goods and services are exempt from VAT, including leases or sales of residential buildings; leases or sales of land plots; financial and insurance services by companies licensed in Kazakhstan; contributions to the charter capital of legal entities; medical and veterinary services; and sale of refined gold to National Bank.
The standard rate of VAT is 16 percent. There is a special rate of 12 percent which applies to diesel oil, residual fuel oils and electrical energy. A reduced rate of 0 percent applies to exports of goods and services, supply of taxable services in respect of goods in transit, transportation of passengers by air carriers on international flight, certain food products, medicines, computer and peripherals and special persons such as the Head of State and designated foreign aid funded capital investment projects amongst others. Examples of VAT exemptions include medical services, financial services, passenger transportation and rent on residential accommodations and mobile phones and aircrafts.
The standard rate of VAT is 10 percent. Each business person is entitled to credit input taxes paid, except for those in connection with entertainment expenses, non-business related expenses, input VAT paid before the entity is registered under the VAT Law, etc. against output taxes collected. Certain taxable transactions are subject to zero-rate VAT. The following categories of taxable transactions are zero-rated: (1) the export of goods and services, (2) services supplied outside of Korea, (3) the supply of international transportation services by vessel or aircraft, and (4) the supply of certain goods or services in Korea where the compensation is received in foreign, non-KRW currency. The supply of certain designated goods and services are non-taxable and therefore exempt from VAT. VAT is not collected by the supplier of these designated goods or services, so the supplier is in a position to charge their supply without VAT to the purchaser. In turn, the supplier should deduct their input VAT associated with such goods and services. The input tax is thus borne by the supplier as if they were the ultimate consumer. The following supplies of goods or services are treated as VAT exempt: unprocessed basic foodstuffs, medical and health services, educational services, passenger transport services, books, newspapers and magazines, postage stamps, land and banking/insurance services etc.
There are currently no indirect taxes in Kuwait. There is a customs duty that is charged at 5 percent of the value of the imported goods. The Kuwait Government plans to introduce Value Added Tax (VAT) in the next couple years. Further details on the implementation of VAT have not been announced by the Government.
The standard rate of VAT (pievienotas vertibas nodoklis (PVN)) is 21 percent. There are reduced rates of 12 percent and 0 percent which apply to, for example, pharmaceuticals, passenger transport, and heating for inhabitants (12 percent); supply, import, repair and maintenance of certain ships and aircraft, passenger transport by air or sea, financial transactions outside the EU and exports (0 percent). Supplies of certain goods and services are exempt from VAT, for example, land and used immovable property, financial and insurance services, education, and health and welfare services.
The standard rate of VAT (Mehrwertsteuer (MWST)/taxe sur la valeur ajoutée (TVA) / imposta sul valore aggiunto (IVA)) is 8 percent. There are reduced rates of 3.8 percent, 2.5 percent, and 0 percent which apply to, for example hotel accommodations (3.8 percent); water in conduits, medications, books, newspapers, food and non-alcoholic beverages (2.5 percent); and exports of goods (0 percent).Supplies of certain goods and services are exempt from VAT, for example official postal services, health and welfare, education, insurance, finance, and supply of certain immovable property.
The standard rate of VAT (Pride?tine?s verte?s mokestis (PVM)) is 21 percent. The reduced rate of 9 percent is applicable to certain periodicals (e.g. newspapers) and non-periodicals (e.g. books); certain regular passenger transportation and related baggage handling services; the supply of heating for dwellings and the supply of hot water (until 31 December 2013). A 5 percent reduced VAT rate is applicable to certain drugs and medicine (applicable until 31 December 2013); technical assistance devices to persons with disabilities and repair services of these devices. There is a compensational rate of 6 percent for supplies of goods and services under the farmer's flat rate scheme. Zero-rate applies to exports of goods outside the EU; intra-Community supplies and supply, modification, modernization, and hiring of seagoing ships and aircrafts. Supplies of certain goods and services are exempt from VAT, such as health and welfare, educational, cultural, sports, postal, financial, and insurance services; land (except for building purposes); sale of real estate (older than 24 months); and leasing of real estate.
The standard rate of VAT (taxe sur la valeur ajoutée (TVA)) is 15 percent. There are reduced rates of 12 percent, 6 percent, 3 percent, applicable for example to certain wines, safekeeping and management of securities, management of credit by persons not granting it (12 percent); electricity and gas (6 percent); food (except drinks containing alcohol), animal feed, books (including e-books from January 2012; infringement procedure initiated by European Commission, referred to the Court of Justice of the European Union in February 2013), newspapers and periodicals, passenger transport, hotel accommodations, certain sporting and cultural services, and certain pharmaceutical products (3 percent). Exports and intra-Community supplies of goods, supplies of goods and services used by airlines operating mainly on international routes, and services supplied for the needs of high-seagoing vessels and international passenger transport services are VAT exempt. Luxembourg also provides other exemptions for VAT, for example, banking and financial services, management of investments funds, SICAR, some pension funds and securitization vehicles, insurance and reinsurance operations, supply and letting of immovable property, postal services, education, and certain medical supplies.
There is no value-added tax or goods and services tax in Macau.
The standard rate of VAT (danok na dodadena vrednost (DDV)) is 18 percent. The reduced rate of 5 percent applies to some supplies such as supply of food products, publications, seeds and planting materials, agricultural machines, pharmaceutical and medical devices, computers, thermal sun systems, passenger transport, accommodation services provided by hotels, motels etc, software and supply of apartments used for residential purposes if performed within five years from construction (the preferential rate is deemed to apply until 31 December 2015, after which these supplies would be taxable under the general rate of 18 percent). Supplies of certain goods and services are exempt from VAT, for example financial and insurance services, education, health, and supplies and rental of buildings and apartments used for residential purposes, except for their first sale if performed within five years from their construction.
The standard rate of VAT (general consumption tax) is 16.5 percent. Exempt supplies include the supply of live animals and animal products (meat and edible meat offals in raw form, fish and crustaceans molluses and other acquatic invertebrates, vegetable products in raw state, water, residuals and waste from the food industries); petroleum products; miscellaneous chemical products (fungicides and herbicides); fuel wood; printed matter (books); coin; mechanical appliances (whether or not hand-operated) for projecting, dispensing or spraying liquids or powders; medical equipment; education services; banking and life insurance services; postal services; funeral services; medical services; transport of exports; rentals and sale of properties used for residential purposes; ordinary bread; vehicle or motorcycle ambulances. Zero–rated supplies include exports; fertilisers; sheath contraceptives (condoms); exercise books; laundry soap; salt; agricultural, horticultural, and forestry machinery e.g. ploughs, harrows, manure spreaders and harvesting machinery e.g. lawn mowers, egg grading machinery, combine harvesters, haymaking machinery; goods for use in tourism industry; military equipment; syringes with or without needles; furnishing articles; pharmaceutical products; and sand flynet.
VAT or GST has been proposed but the implementation has been postponed. In its place, Malaysia has sales tax and service tax. Sales tax is imposed on taxable goods manufactured locally/imported, unless exempted. The standard rate of sales tax is 10 percent. A reduced sales tax rate of 5 percent is applicable to certain items such as foodstuffs, alcoholic beverages, and tobacco products. Service tax is charged on specific types of services (taxable services) provided by taxable persons. The rate of service tax is 6 percent (effective 1 January 2011). Prior to that, the rate was 5 percent. In addition, certain taxable services provided within a group and services relating to goods or matters outside Malaysia are not subject to service tax.
The standard rate of VAT (taxxa fuq il-valur miz?jud) is 18 percent. There are reduced rates of 7 percent, 5 percent and 0 percent which apply to, for example, the supply of electricity, medical accessories, printed matter, and items or the exclusive use of disabled persons (5 percent); and exports of goods, international transport and ancillary services, supplies of certain qualifying vessels and aircraft, the chartering thereof and certain services provided thereto, food, and pharmaceutical goods (0 percent). Furthermore, with effect from 2011, there is a special reduced VAT rate for the letting or provision of hotel and private accommodation (including related services up to full board basis) of 7 percent (formerly 5 percent). Supplies of certain goods and services are exempt from VAT, for example immovable property (with some exceptions); insurance services; credit, banking, and other related services; cultural, sporting and religious services; postal services; education; and health and welfare.
The standard rate of VAT is 15 percent. There is a reduced rate of 0 percent which applies to, for example exports of goods other than exempt goods, sugar, sugar cane, wheat flour, books, booklets, brochures of specific customs headings, the supply of electricity, water, international transport of passengers and goods, certain pharmaceutical products and supplies of services to non-residents. Supplies of certain goods and services are exempt from VAT, for example rice, wheat, bread, butter, milk and cream, medical, hospital and dental services other than cosmetic surgery services, certain medical and dental equipment, educational and training services, postal services, cargo handling, and certain residential buildings.
The indirect tax rate is 16 percent.
The standard rate of VAT (porez na dodatu vrijednost; PDV) is 17 percent. There are reduced rates which apply to, for example basic foodstuffs, medicines not listed on the Health Fund list, textbooks and teaching aids, books and serial publications, daily and periodic press (with some exceptions), hotel and other accommodations, public transportation of passengers and their personal baggage (7 percent); exports of goods, transport, and other services in relation to export, goods and services used in international air and maritime traffic, and medicines and medical devices listed on Health Insurance Fund list (0 percent). Supplies of certain goods and services are exempt from VAT, for example financial and banking services, insurance and reinsurance services, the supply of immovable property (except the first transfer), health and social security services, cultural, sport, and religious services.
The standard rate of VAT (imposto sobre o valor acrescentado (IVA)) is 17 percent. There is a reduced rate of 0 percent which applies to, for example, exports of goods, services linked to exports of goods, international passenger transportation, and some basic foodstuffs. Supplies of certain goods and services are exempt from VAT, for example medical and health services, goods and services linked to welfare and social security, education (with some exceptions), banking and financial transactions, insurance and reinsurance transactions, leasing of immovable property for residence or commercial and industry in rural zones, goods and services related to agricultural, forestry, livestock and fishing activities, and importation of certain goods approved for mining and industrial free-zone operations.
Namibia has two rates for VAT: 0 percent and 15 percent. For imports, VAT is charged at 16.5 percent, unless the service or goods imported is considered an exempt or zero rated activity, if supplied by a Namibian supplier.
The standard rate of VAT (omzetbelasting (BTW)) is 21 percent (as of 1 Oct 2012). There are reduced rates of 6 percent and 0 percent. The reduced rate of 6 percent applies to, for example, the supply of foods, drinks (excluding alcoholic beverages), medicines, books, daily newspapers and magazines, passenger transport, some labor intensive services , sports events and since 1 July 2012, performing arts. The zero rate applies to for example export of goods, intra-Community supplies, services regarding goods not yet imported and supplies of sea-going vessels or aircrafts. Supplies of certain goods and services are exempt from VAT, for example immovable property (with some major exceptions), financial and insurance services, education, and health and welfare.
The standard rate of GST is 15 percent. The rate is reduced to 0 percent in certain situations such as the export of goods and services, the supply of a business as a going concern, the supply of land on or after 1 April 2011, and the supply of financial services under the "business-to-business" regime. Supplies of certain goods and services are exempt from GST unless the supplies can be zero-rated. Exempt supplies include the supply of financial services, the supply by non-profit bodies of donated goods and services, the supply of residential accommodation, and the supply of fine metals. New Zealand also operates a GST reverse charge for imported services.
The indirect tax rate is 5 percent.
The standard rate of VAT (merverdiavgift (MVA)) is 25 percent. There are reduced rates of 15 percent, 8 percent, and 0 percent which apply to, for example food (15 percent); hotel accommodations, passenger transportation, communication of such services, the right to attend museums, cinemas etc. (8 percent); and exports of goods, supplies relating to ships and aircrafts, as well as books, magazines and newspapers on paper (0 percent). Supplies of certain goods and services are exempt from VAT, for example financial services, real estate (with some major exceptions), education, health services, and social services.
Currently there is no VAT or GST in Oman.
The standard level of sales tax is 16 percent on supply of taxable goods and specified services. Indirect taxes in Pakistan include sales tax, federal excise duty (FED) and provincial sales tax. Zero-percent sales tax is applicable on all exports from Pakistan, whereas local supply of major export sectors is subject to levy of sales tax at 5 percent.Certain supplies of goods and services are exempt from sales tax, for example agricultural products, unprocessed food items, animals and their meat, fisheries, dairy products, construction materials, computer software, ships, navigation equipments, and the sale to hospitals and educational non-profit organizations. FED applies to the import and manufacturing of specified goods and provision of specified services at different rates. The rate of FED or Provincial sales tax on specified services is generally applicable at standard rate of 16 percent, however on franchise services and telecommunication services, the rates are 10 percent and 19.5 percent respectively.
The standard rate of VAT (impuestos sobre la transferencia de bienes corporales muebles y la prestación de servicios (ITBMS)) is 7 percent. A special increased rate of 10 percent applies to the import, wholesale, the retail of alcoholic beverages, and hotel accommodation services. A special increased rate of 15 percent applies to the import, wholesale, and retail of all kinds of cigarettes, cigars and other tobacco products. Zero-rate supplies include exports and re-exports of goods and the sales of pharmaceutical and food products when certain conditions are met (that is, the taxable person is engaged exclusively in such activities and its total output is sold within Panamanian territory). Exempt supplies include (among others) the sale of food; sales of oil fuel and similar products; newspapers; magazines, educative magnetic media, notebooks, pencils, and other items for school purposes; medicines and pharmaceutical products; and interest payments (other than commissions or fees) arising from financial services and financial leasing contracts defined by law.
The standard rate of GST is 10 percent. There is a reduced rate of 0 percent which applies to, for example exports of goods and services, medical supplies, supplies of goods and services to prescribed foreign aid providers, supplies of goods, and services to a non-profit body, supplies of goods and services to resource companies. Supplies of certain goods and services are exempt from GST, for example financial, medical, and educational services, public road transport, postage stamps, and the retail supply of newspapers.
The standard rate of VAT (impuesto al valor agregado (IVA)) is 10 percent. The 5 percent rate applies to transfers of real state, transfers of the right to use goods, certain basic food items (cesta básica), loans and financial interests, commissions and surcharges, and supplies of pharmaceutical products. Exports are zero-rated. Exempt supplies include certain diplomatic and investment imports; farm products in their natural state; foreign currencies; governmental or private securities including shares of stock; goods received through inheritance; transfer of credits; books, magazines, and others of scientific, educational, and general interest media; interest on public or private shares and securities; deposits in financial entities authorized by the Central Bank of Paraguay; services of cooperatives; home savings; and loans under the Sistema de Ahorro y Préstamo para la Vivienda.
The standard rate of VAT (impuesto general a las ventas(IGV)) is 16 percent (since 1 March 2011). The municipal promotion tax (impuesto de promoción municipal (IPM)) of 2 percent is also added to the value of goods or services used to determine the IGV, which results in a 18 percent sales tax overall.
The indirect tax rate is 12 percent.
The standard VAT rates are: 23 percent, 8 percent, 5 percent and 0 percent. The rates were increased on 1 January 2011. Some of the goods (mostly food products) formerly taxed with 7 percent VAT rate are now taxed at a 5 percent VAT rate in order to minimize the impact of the increase of VAT rates on the poorest. The new increased rates are introduced for a period of three years, till the end of 2013. Certain supplies of goods and services are exempt from VAT, for example: financial services, healthcare or education services.
In mainland Portugal the standard rate of VAT is 23 percent.There are reduced rates of 13 percent and 6 percent. Meanwhile, Madeira has a standard VAT rate of 22 percent with reduced rates of 12 percent and 5 percent. Azores islands has a standard VAT rate of 16 percent with reduced rates of 4 percent and 9 percent.
No indirect tax regime exists in Qatar. However, Qatar does apply a customs duty rate of 5 percent on most imports to Qatar.
The standard rate of VAT is 24 percent. VAT reduced rates of 5 percent and 9 percent are applicable on some supplies.
The standard rate of VAT (nalog na dabavlennuyu stoimosty (NDS)) is 18 percent. There are reduced rates of 10 percent and 0 percent which apply to, for example, the sale of cetrtain food products, specific goods intended for children, books and periodicals, pharmaceutical and other medical products (10 percent); and exports of goods, rendering of international transportation and certain types of relates services, services related to transit of goods through Russia, international passenger transportation, and fuel for ships and aircraft (0 percent). Supplies of certain goods and services are exempt from VAT, for example lease of premises to foreign companies accredited in Russia, rendering of certain types of medical services, the sale of certain medical products, rendering of educational services, public transportation, the sale of securities, rendering of certain types of banking services, insurance services, the rent of home accomodation, and the sale of residential property. There is a specific rate of 15.25 percent (effectively it is a computed rate 18/118) which is applicable to the sale of the whole enterprise (plant). There are also computed VAT rates (18/118 and 10/110) for specific cases when VAT is applicable to the VAT inclusive amount of revenue (e.g. receipt of advance payments and other payments connected with settlements for suppliers).
The indirect tax rate is 6 percent. The tax rate for the rendering of services is 4 percent (as of October 2011) and for the supply/import of goods is 6 percent. The tax rate for services related to insurances is 5 [ercent (as of October 2011).
The standard rate of VAT is 15 percent. This rate applies to ordinary businesses, trade and professionals, public authorities, non profit bodies, clubs, societies and associations. There is a reduced rate of 0 percent ('zero-rated') for exported goods and certain exported services, duty free goods, goods not in Samoa at the time of supply and educational services provided by approved institutions. Medical goods and services supplied by the hospital and water supply provided by the Samoa Water Authority are also zero-rated. Those supplies exempt from VAT are locally produced raw and unprocessed food, financial services, donated goods and services sold by non-profit bodies, bus and taxi fares, electricity and inter-island passenger fares in Samoa.
There is no indirect tax regime in Saudi Arabia.
The standard rate of VAT (porez na dodatu vrednost (PDV)) is 20 percent (effective 1 October 2012).There are reduced rates of 8 percent and 0 percent which apply to, for example basic foodstuffs, medicines, textbooks and daily newspapers, hotel services, public utility services, gas, and first transfer of ownership on residential buildings (8 percent); and exports of goods, transport and other services in relation to export, supply, repair, maintenance, charter and lease of aircraft and river vessels predominantly operating in international traffic, and international air and river transport of passengers under a reciprocity rule (0 percent). Supplies of certain goods and services are exempt from VAT, for example financial and banking services, insurance and reinsurance services, supplies and renting of land, transfer of shares and securities, transfer of immovable property (except first transfer), medical and welfare services, education and professional retraining, cultural, scientific, sport, and religious services.
The standard rate of GST is 7 percent. There is a reduced rate of 0 percent which generally applies to export of goods and international services. Supplies of certain financial services and sale or lease of residential properties are exempt from GST.
The standard rate of VAT (dan z pridanej hodnoty (DPH)) is 20 percent. There is a reduced rate of 10 percent which applies to medicaments; certain other medical and pharmaceutical products; contact and spectacle lenses; certain hygienic products; books and other printed products where advertisement does not exceed 50 percent of the content. International passenger transportation, exports of goods, intra-community supply of goods, supply, rental, repair, and maintenance of sea craft and aircraft and some other supplies are VAT exempt with the entitlement for input VAT deduction. Supplies of certain goods and services are exempt from VAT with no entitlement for input VAT deduction, for example postal services; financial and insurance services; education and training; health and welfare; cultural services, supply and rental of immovable property (under certain
The standard rate of VAT is 20 percent. VAT reduced rate of 8.5 percent is applicable on some supplies.
The indirect tax rate is 14 percent.
The standard rate of VAT is 21 percent (effective 1 September 2012). The reduced rates are 8 percent and 4 percent. Examples of reduced rates – 10 percent: Food and drink used for human or animal consumption (excluding tobacco and alcoholic beverages), animals, substances to be ordinarily used in agricultural activities, pharmaceutical products for animals, prescription glasses, contact lenses, aid implements, material and equipment for prevention, flowers, etc. On November 2010 the European Commission made an official request to Spain considering that according to the Directive the medical equipment, aids and any other appliances are not entitled to a reduced VAT rate, unless they are for the exclusive and personal use of handicapped people. Reduced rate of 4 percent applies to newspapers, magazines and books that do not contain mainly advertisements, ordinary bread, flour, milk, eggs, cheese, vegetables and fruit, medicines and pharmaceutical products (excluding products for hygiene purposes), etc.
The standard rate of VAT is 12 percent (effective 1 January 2011). The reduced rate of 0 percent remains unchanged. The luxury rate of 20 percent has been removed, thus the Sri Lankan VAT system consists only two rates of 0 percent and 12 percent.
Standard rate applicable to services is 4 percent. The tax rate for the rendering of services is 4 percent (as of October 2011) and for the supply/import of goods is 6 percent. The tax rate for services related to insurances is 5 percent (as of October 2011).
The standard rate of turnover tax (Belasting op Bedrijfsomzetten; BBO) is 5 percent (as of 11 February 2011).
The standard rate of VAT is 15 percent. This rate applies for all services and commodities except for telecommunication services, which is 20 percent.
The standard rate of VAT (mervärdesskatt (MOMS) is 25 percent. There are reduced rates of 12 percent, 6 percent, and 0 percent which apply to, for example, restaurant services (from 1 January 2012), food and hotel accommodations (12 percent); domestic passenger transportation including ski lifts, books and newspapers, certain sporting and cultural events (6 percent); and exports of goods, fuel to aircrafts, ships and aircrafts for commercial transport and related services and prescription pharmaceuticals (0 percent). Supplies of certain goods and services are exempt from VAT, for example health and welfare; education, financial, and insurance services; and the sale and letting of real property.
The standard rate of VAT (Mehrwertsteuer (MWST)/taxe sur la valeur ajoutée (TVA)/imposta sul valore aggiunto (IVA)) is 8 percent. There are reduced rates of 3.8 percent, 2.5 percent, and 0 percent which apply to, for example hotel accommodations (3.8 percent); water in conduits, medications, books, newspapers, food and non-alcoholic beverages (2.5 percent); and exports of goods (0 percent). Supplies of certain goods and services are exempt from VAT, for example official postal services, health and welfare, education, insurance, finance, and the supply of certain immovable property.
Syria currently has no VAT.
The standard rate of VAT is 5 percent. Under the Taiwan value-added and non-value-added business tax act, there are two systems, one being a VAT system and the other being the gross business receipts tax (GBRT) system. There is a reduced rate of 0 percent which applies to, for example the export of goods; services rendered which relate to the export of goods; vessels and aircraft used for international transportation; and goods and repair services supplied to ships or aircraft used in international transactions or ocean-going fishing boats. Supplies of certain goods and services are exempt from VAT, for example the sale of land, supplies of medical services, medicine, education services, newspapers and magazines, insurance policies, financial derivative products, corporate bonds, currency call loans, and foreign exchange call loans. GBRT applies mainly to financial institutions in banking, insurance, trust and investment, securities, futures, and short-term commercial papers industries. The GBRT rate is generally 2 percent applicable in respect of revenues generated from core business. The GBRT rate for revenue generated from non-core business is 5 percent.
The standard rate of VAT is 18 percent. Some supplies may be zero-rated or completely exempt. Other indirect taxes include stamp duty (1 percent to 4 percent) and levies such as skills and development levy (6 percent of payroll cost per month) and city service levy (0.3 percent of turnover).
The standard rate of VAT is 7 percent. The reduction of the VAT rates from 10 percent to 7 percent is extended for a two-year period starting 1 October 2012.
The standard rate of VAT is 18 percent. There are reduced rates of 12 percent and 6 percent. The 12 percent rate is mainly applicable to supply of services for example services rendered by hotels; services rendered by lawyers, notaries, legal and tax counsels, and other experts; catering and IT services. The 6 percent rate applies to such services carried out by doctors, nurses, masseurs, veterinarians, and analytical laboratories; the transport of persons and agricultural products; the import, production, and sale of fertilizers; supplies of livestock concentrate food; soy beans; fish meal; and products and articles for the pharmaceutical industry (6 percent).Supplies of certain goods and services are exempt from VAT, for example school education; imports; the production and sale of aircrafts for public transport; services rendered by maritime transport and ship agencies; aircraft transport services; leasing of vessels and aircrafts for international maritime and air transport; the production and sale of flower, bread, pasta (normal quality), olive oil, soy and soy oil and the production, refining, and conditioning of vegetable oil.
The standard rate of VAT (katma deger vergisi (KDV)) is 18 percent. There are reduced rates of 8 percent (e.g. on textile, food, education services, accommodation (in hotel, motels, holiday villages, and similar accommodation facilities) and 1 percent on basic food products and magazines.
The standard rate of VAT is 18 percent. There is however, a reduced rate of 0 percent which applies to supply of goods or services where the goods or services are exported from Uganda as part of the supply; supply of international transport of goods or passengers and tickets for their transport; certain food products produced in Uganda; supply of drugs and medicines; supply of seeds, fertilizers, pesticides and farm implements; the supply of aircraft, parts thereof and maintenance equipment; and the supply of some hygiene products. There is another category of supplies called exempt supplies which covers the supply of unprocessed agricultural products, postage stamps, insurance and financial services, unimproved land, supply by way of leasing immovable property, supply of education services and other specified supplies. Any supply that is neither exempt or zero rated is automatically considered standard rated.
The standard rate of VAT (podatok na dodanu vartist (PDV)) is 20 percent. A reduced VAT rate of 0 percent applies to, among other things, exports of goods and related services, servicing or processing of goods temporarily imported to Ukraine (including goods temporarily imported to Ukraine pursuant to international tolling arrangements), supplies for airplanes and ships used in international traffic, international transportation of passengers and their luggage, and servicing of airplanes engaged in international traffic. The Tax Code became effective 1 January 2011 and had a major impact on the VAT regime in Ukraine. In practice, most previously VAT-exempt supplies of goods and services retained the VAT-exempt status. These include, for example, supplies of certain financial services, insurance services, royalty and dividend payments, transactions with securities and corporate rights, subscriptions to and delivery of local newspapers, magazines and books, prescribed pharmaceuticals, certain transfers of immovable residential property and land, charitable donations, local passenger transportation (except for taxis), education, and prescribed health and welfare. Supplies of grain and industrial crops (except for the first supply transactions by the agricultural producers) have also been exempted from the VAT. A sale of business as a going concern is no longer a VAT-exempt transaction. A special VAT regime is available for the designated agricultural producers. Effective 3 August 2012, a law came into effect which envisages that for the period from 1 January 2013 to 1 January 2023, transactions on supply of software products will be VAT-exempt.
There is no VAT or GST in the United Arab Emirates.
The standard rate of VAT is 20 percent (effective 4 January 2011). There are reduced rates of 5 percent and 0 percent which apply to, for example children's car seats, certain contraceptive products, domestic fuel and power, and renovations/conversions of residential properties (5 percent); and food and animal feed, books and newspapers, prescription drugs and medicines, children's clothes, passenger transport, and exports of goods (0 percent). Supplies of certain goods and services are exempt from VAT, for example financial and insurance services; education services supplied by eligible bodies; certain cultural services; betting, gaming, and lotteries; subscriptions; and health and welfare.
While the US does not impose a national VAT, most states, and some local governments impose transactional based taxes commonly referred to as sales and use taxes. Forty five states and the District of Columbia impose a state level tax on the sale or use of goods and some services. Local governments in 34 states are authorized to impose local sales taxes. There are about 7,600 jurisdictions across the country that have chosen to impose a local sales tax. The state and local tax sales tax rate in the US may range from 4 percent to 11 percent. As an example, the combined state and local sales tax rate in Seattle, Washington is 9.5 percent and that is made of a 6.5 percent state sales tax, a 1.2 percent county sales tax, and a 1.8 percent special purpose district tax. Those goods and services that are subject to tax, along with the applicable tax rates, vary according to the jurisdiction. All states and some localities with sales and use tax regimes possess broad powers to determine whether goods and services are fully taxable, taxable at a special rate, or are fully exempt.
The standard rate of VAT (impuesto al valor agregado (IVA)) is 22 percent. The reduced rate of 10 percent applies to specific consumer goods, lodging services, and medicines. Moreover, the standard rate is reduced to 20 percent when the consumer pays by debit or credit card. Exports are zero-rated as well as purchases where the consumer pays with the special aid card granted by the government to low-income taxpayers. Exempt supplies include certain agricultural goods and machinery, specified fuels, commissions, interests on specific financial transactions, and transport services.
The rate applies to any entity with a turnover of at least VT$4 million that carries on a taxable activity. There is reduced rate of 0 percent (zero-rated) which applies to goods which are exported, those not situated in Vanuatu at the time of supply, those sold as going concerns to registered persons and those internationally transported. Services supplied outside Vanuatu, to approved educational institutions and aid donors are also zero-rated. The supplies exempt from VAT include financial services, education supplied by an approved educational institution, donated goods and services sold by non-profit organizations, residential rental accommodation, the sale of a property which has been used for as such for at least five years and the activity of any company registered under the International Companies Act No.32 of 1992.
The standard rate of VAT (impuesto al valor agregado (IVA)) is 12 percent. The increased rate of 19 percent (which results from adding 10 percent to the standard rate) applies to luxury goods. Certain goods and services (such as red meat, animal oil, or local plane tickets) have a temporary rate of 8 percent. Exports are zero-rated. Exempt supplies include basic food items, medicine, fertilizer, fuel, newspapers, books and magazines, education, intangible assets, loans, banks, and financial institutions operations except by leasing, insurance services, payroll, operations performed in specified duty free and tourist areas, national electricity, water, and natural gas.
The standard rate of VAT (gia tri gia tang (GTGT)) is 10 percent. There are reduced rates of 5 percent and 0 percent which apply to, for example, medical equipment and instruments, fresh foodstuffs, scientific and technical services, manufacturing equipment and machinery for agriculture (5 percent); and the exports of goods and services (0 percent). Please note that export services are subject to a VAT registration and permanent establishment tests of the recipient and strict requirements. Supplies of certain goods and services are exempt from VAT, for example life insurance, financial services (other than fees for services), transfer of land use rights, health care services, computer software, printing, publishing and distribution of newspapers, magazines, and certain books.
The standard indirect tax rate is 5 percent.Special rates apply to a few categories of goods and services.
The standard rate of VAT is 16 percent. There is a reduced rate of 0 percent which applies to export of goods, supplies to privileged persons, books, medical and building supplies, agricultural equipment and accessories etc. Exempt goods and services include water supply, educational services, transport services, financial services, conveyance of real property among other products and services. With effect from 1 January 2011, VAT will apply on all non life insurance products. Previously, all insurance services were exempt from VAT. Hotel accommodation in Livingstone, which was zero rated in 2010 and prior will now, be standard rated.
The standard rate of indirect tax is 15 percent.
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