Ahead of Oman’s plans to implement 5 percent Value Added Tax (VAT) next month, the Consumer Protection Authority (CPA) has intensified the monitoring of prices of basic goods across the markets in the country.

Basic food items, supplies for persons with special needs, healthcare, education, and financial services are exempted from the VAT that will be imposed on April 16. Speaking to The Arabian Stories, a top official at CPA said the authority has already intensified monitoring the price of goods in the markets. “We are closely monitoring the prices of all goods currently being sold in the markets and we will also follow up after the implementation of the VAT law,” he said. 

According to Saud bin Nasser Al Shukaili, Head of the TAX Authority, VAT is expected to raise about OMR 400 million annually and will generate approximately 1.4 percent of the value of GDP. 

“All the necessary preparations and requirements for the implementation of VAT which will be implemented on April 16 have been completed in terms of issuing legislation related to tax, operating the tax computer system, and electronic linking with the authorities concerned with the application and strengthening the human cadre in the agency,” Al Shukaili added.

SOURCE: THEARABIANSTORIES