Value Added Tax
Introduction
As you may be aware, the Kingdom of Saudi Arabia (“KSA”) will implement value added tax (“VAT”) with effect from 1 January 2018 (“effective date”). VAT will apply at the standard rate of 5% to most supplies of goods and services.
KSA has already published its VAT law and the implementing regulations. The VAT law and implementing regulations can be accessed here www.vat.gov.sa
Application to our services
From 1 January 2018, VAT will apply to all Emirates NBD products and services that are provided to you in KSA for an explicit fee or commission.
VAT is a consumption tax that should be borne by the customers and Emirates NBD is required by law to collect this tax on behalf of the General Authority of Zakat and Tax.
Accordingly, we are amending our existing terms and conditions applicable to our products and services. This will allow us to charge an additional amount in respect of any VAT, if due, on the supply of our products and services to you after the effective date. It is important to note that if the products or services are provided after 1 January 2018 VAT may still apply even if the contract was entered into and the payments were made before the effective date.
Acceptance of the amendment to our terms and conditions
The amendment to our existing terms and conditions will take effect on 1 January 2018 except that the amendment will apply to any contracts entered into before this date where the products and services are provided after 1 January 2018 even if the payment was received or the invoice was issued by Emirates NBD before the effective date.
With the exception of the amendment highlighted in the addendum below, our existing terms and conditions shall continue in full force and effect in all respects.
Your continued dealing with Emirates NBD Branch – Saudi Arabia is your acceptance of the amendment to our existing terms and conditions.
We appreciate your continuing loyalty and look forward to working together in the future. Please do not hesitate to contact us on
8007547777 if you would like further information.
For and on behalf of
Emirates NBD Branch – Saudi Arabia
KSA
