Now, VAT for UAE ads on Facebook. Facebook announced a 5 per cent value added tax (VAT) for UAE advertisers

Dubai: Social media giant Facebook has announced all advertisements on its platform in the UAE will now be subject to a value added tax (VAT).

This means any individual or entity looking to advertise on Facebook will have to factor in an additional five per cent VAT on its services.

The move by Facebook follows the larger implementation of VAT in the UAE since January 1 2019.

Meanwhile, Facebook Business issued UAE users a notice to this effect.

“Due to an implementation of a value-added tax (VAT) in the United Arab Emirates, Facebook is now required to charge VAT on the sale of ads in UAE. All advertisers with a 'sold to' of United Arab Emirates that have not provided a tax registration number will be charged VAT at 5% on advertising services.

If you haven't already, here is how to update your account:

1. Go to Account settings
2. Add or confirm your state
3. Add your 15-digit tax registration number
4. It is important that you provide a valid tax registration number. We are legally required to verify this number with the UAE tax authority. Invalid tax registration numbers will be disregarded and as a result, you will be charged a 5% VAT on the purchase of ads.

For additional information, you can visit Facebook's 'help content'.

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