What is the VAT on hotel apartments?
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Hotel apartments are under the category of commercial property.
Off plan property sales developers collect the 5% VAT on property price from the buyer and the same will be paid to Federal Tax Authority (FTA) on the buyer’s behalf.
Secondary market deals are 5% VAT applicable upon purchasing the property and payment receipts issued by FTA must be submitted to trustee’s office upon property transfer.
Still not sure how it applies to you?
Every deal has a detail the general answer does not cover. Put yours to a broker who closes them weekly.