The General Authority for Zakat and Income Tax (GAZT) has denied the recent circulation of a value-added tax on salaries, confirming in a tweet on Twitter that the tax is calculated on goods and services only.

The General Authority for Zakat and Income Tax (GAZT) explained on its account <“VAT is an indirect tax that is not levied on salaries, but on goods and services,” the authority explained via its account. VAT is an indirect tax imposed on all goods and services bought and sold by establishments, with some exceptions, and will be implemented from January 1, 2018.

VAT is an indirect tax imposed on all goods and services bought and sold by establishments, with some exceptions, and will be implemented from January 1, 2018.