Oman exempts 500 food products from VAT

Dubai: Close to 500 food products commonly used in Oman will be exempt from Value Added Tax once it comes into effect, local media reported.

VAT is expected to come into effect across the country on April 16. Under the scheme, the number of basic food commodities charged a zero rate VAT will be increased to 488 from 93.

Furthermore, all VAT charges related to electricity consumption for citizens who have up to two residential category subscriptions will be paid by the government. This includes families that were previously eligible for government support for the two connections.

The amount of subsidised fuel that people who have signed up for Fuel Support Cards can buy at reduced prices has also been increased from 200 litres to 400 litres per month.