Understanding Tax Exemptions for Residential Properties in the UAE
Residential properties in the United Arab Emirates (UAE) have also been subject to Value Added Tax (VAT). Yet there are exemptions and deductions for homeowners and property investors. This article aims to provide its readers with a complete notion of the tax exemptions applied to residential properties in the UAE. Tax exemptions for residential properties VAT however applies to UAE residential property but there are some exemptions to primary and secondary market transactions. Definitions for Residential Properties According to the Federal Tax Authority (FTA), the following types of buildings are considered residential: Not serviced villas, townhouses, apartments. Student and laborers…