Gold and jewellery shoppers in the UAE will not experience any additional costs due to the new VAT regulations issued by the Ministry of Finance last week. Customers will continue to pay the existing 5% VAT on their purchases, a rate that has been in effect since early 2018. This means that the recent changes will not impact the prices paid by consumers at retail outlets throughout the country.

Additionally, tourists visiting the UAE will not be subject to this 5% VAT on their gold purchases, as they have the option to reclaim the tax upon exiting the country. This policy aims to encourage tourism and boost sales in the precious metals sector, maintaining the UAE’s competitive edge in the global market for gold and jewellery.

The VAT rules are specifically designed for businesses operating in the precious stones trade, ensuring that the regulations streamline tax compliance while not burdening consumers. The Ministry of Finance continues to focus on supporting the growth of the gold and jewellery market while balancing revenue generation through tax policies.