GAZT to apply VAT on white lands, internet, power bills

The white lands will be subject to the value-added tax (VAT) at 5 percent of the land selling value, Makkah newspaper has reported, citing Yahya Mohammed, spokesman of the General Authority of Zakat and Tax (GAZT).

VAT will also be applied on mobile bills, post-paid cards, as well as data cards, and will be deducted at the point of sales (POS).

Water and electricity bills as well as invoices of selling or buying used cars will be also subject to the VAT.

However, in case of returning the commodity, consumers may have the right to redeem the VAT value.

GAZT will start implementing VAT as of January 1, 2018, data compiled by Argaam showed.