Saudi Arabia Tax Agency Issues Circular on VAT Reverse Charge Mechanism, in English

The Saudi General Authority of Zakat and Tax June 17 issued Circular No. 2106001, in English, explaining the application of the VAT reverse charge mechanism. The circular explains that: 1) the mechanism applies to goods or services received by a VAT-registered taxpayer from a nonresident supplier; 2) VAT is due on the date of supply of the goods or services, the date of issuance of the invoice, or upon partial or full receipt of the consideration, whichever is earliest; 3) VAT must be reported by the recipient during the taxable period in which the date of supply falls; 4) input ...