The Federal Decree-Law No. 18 of 2022 on the Amendment of Certain Provisions of the Federal Decree-Law No. 8 of 2017 on VAT was just announced by the Ministry of Finance (the Amendment Law).

The Federal Decree-Law No. 8 of 2017 on VAT, which shall take effect on January 1, 2023, is modified in several ways by the Amendment Law.

Among the significant changes are the following:

• Registered persons may request for an exemption from VAT registration if they solely produce zero-rated supplies and don't make (or no longer make) standard-rated supplies.
• Setting a 14-day window for the issuance of a Tax Credit Note to pay output tax aligns it with the same window for the issuance of Tax Invoices.
• The Federal Tax Authority (FTA) may forcefully deregister registered persons if it is deemed necessary.