When we are being VAT-rified

Welcoming the year 2018 in Dubai, had a whole mixed set of perspectives. We were being immersed into the world of taxation, which we have commonly heard and even been a part of  in our home countries. But enjoying the tax free luxuries of this country and letting go off that blessing was quite difficult for most of us.

U.A.E has provided with so much to most of us, that the decision of the Government to take back a small portion from us, did not cause too much of a stir in the society. We all knew it had to be coming some time soon.

But the issue does not lie in paying back to the Government but when the consumers have to pay double the amount of tax. The prices of many commodities has suddenly shot up which they attribute to the introduction  of VAT. And we end up paying the extra price plus the VAT to buy something which is almost a 20 percent increase in the price of the product compared to the 5 % which the Government has imposed.

The other day i took my kids to a play area which used to charge 20 dhs. But now they have increased the price to 25dhs with the sign VAT included. Well according to the rule, its a 5% increase not a 5 dhs escalation. Many companies and services are trying to misuse the situation and add an extra amount to their products.

When we are out to shop in a supermarket, it is quite understood that we wont spend our time comparing the old prices with the newer ones . So many retailers are taking advantage of this situation. Also many services are misusing this situation by increasing the prices around 25 percent extra. This creates a financial crunch on the society. People are finding it hard to do basic shopping.

The increase in prices above the stipulated percentage should be regulated by the government.  I am sure this will come into force very soon as the entire implementation of taxes is new to the economy. But till then the situation has become difficult for many. We would love to give back to benefit the growth of the economy of this beautiful country but not to the exploiters and misusers.

Photo by rawpixel.com on Unsplash


Sana Reiaz- Jotting down my passion for writing in addition to juggling a highly energetic set of 3 boys and setting aright a madhouse .

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