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VAT in the UAE - The Ugly Truth

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UAE will implement VAT at the rate of 5% on 1 January 2018. VAT is a consumer-based tax on the supply of both goods and services. When VAT is imposed, the ultimate consumer bears the burden. The official title is Federal Decree-Law No.(8) of 2017, on Value Added Tax. An English version is available on the UAE Ministry of Finance website (www.mof.gov.ae). As per Gulf News - While about 300,000-350,000 companies in the UAE will be impacted, the whole population of the country will be subject to the new tax system. VAT being a consumption tax, tax burden is expected to reflect on the prices and consumption. In Europe, VAT rates range from 15% in Luxembourg to 25% in Croatia. Japan has a consumption tax of 5% and Singapore has a GST of 7%. Canada has 5%. Hong Kong still remains tax free for all consumption. Now though UAE Media claims that VAT will not impact people much or that VAT in the UAE will have impact on very few areas - my gut feeling states that VAT in UAE will have major consequences and almost everything will have a massive spike increase in the cost. Here is me sharing with you my views on VAT in the UAE and its impact on all sectors. ------------------------------- TO SUPPORT MY CHANNEL - Please send money via paypal to [email protected] QUORA PROFILE - https://www.quora.com/profile/Loy-Machedo MENTORING SERVICES: http://thinkpersonalbranding.com/ MY BLOG: https://loymachedo.com WHO AM I?: http://whoisloymachedo.com MORE ABOUT ME? Google My Name "Loy Machedo"
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Text Comments (175)
MrDanchoNakov (4 hours ago)
كريم رجال الصحراء هو العلاج الفعال للتخلص من المشاكل الجنسية المتعلقة ب قضيب صغير و ضعف الانتصاب و القذف السريع للاستفادة من المنتج يرجى التواصل مع الطبيب المالكي مصطفى على الواتساب00212689611487 كريم رجال الصحراء هو منتج طبيعي وكل أعشابه طبيعيه ١٠٠٪ ولا يتسبب أي أثار جانيه امن تماما. كريم رجال الصحراء هو المنتج الرائد في دول العالم عامة وفي الشرق الأوسط خاصة بسبب لنجاحه مع كل العملاء اللذين استعملوه خلطت رجال الصحراء منتج مرخص من هيئة الغذاء والدواء نتائج كريم رجال الصحراء 1-يعمل على تكبير القضيب 2-مفيد لي تأخير القذف 3-يقوي على لانتصاب لا تترددوا وغيروا حياتكم للأفضل... نحن نرسل المنتج لجميع دول الخليج و دول العالم
Jack Jarome (29 days ago)
They even charge vat for items ordered through eBay. I mean on free shipping items. What's is worst is the charges vary when the same items are ordered twice
Yuni Helmi (1 month ago)
Evryone can go and leave, this is life. Iam indonesian. In my country many people try to make you scare, in the past we using gun for stop human stepp,in the modern era, so many ways, they like attack brain and how human think, make you scare and believe, 4 man walk in the jungle they hear sound of tiger, they run, in other side one man eat alone and lough, he fools tht 4 man, no need weapon My suggest is wish tht uae goverment receive all critism, and for the employee you more know wht do you must do, want go back to your homeland or keep fighting or mybe go to other place, world have hard population . Evryone have different character, have different destiny, when you believe rabbit is tiger , then become tiger, if you believe tiger just a rabit so it just a rabbit
غانم (1 month ago)
hahaha they are building another tower that will not able for that project and they will the big sister to pay but has no money because wars in world she making
Mohamed Ihsan (1 month ago)
This guys an idiot Dubai can easily be compared to new York and Dubai where they have all types of sales tax and income tax please use accurate statements rather than speculation
غانم (1 month ago)
when you hear uae just run away!
Usman Saleem (1 month ago)
Ok there are a lot of problems in dubai,what is your major reason to hate dubai
Masquerade 51 (1 month ago)
Bro ur words will be very pain full for some people but every word that u say is on point i hope no 1 will ban ur channel out of jealousy and pain.. u better know the proper alternative before ur channel go down..
Nusrath Begum (2 months ago)
Nice video Great job
zak4u (2 months ago)
And there is no tax in kerala.
A. S. (3 months ago)
So true, VAT is on everything here.
Asma Aamer (3 months ago)
Your analysis is so wrong.. you are speaking mind of ppl who tried their luck in dubai and failed ... pakistani ..indian start up salaried in middle tier is not 1500 dollars ..its much better than that Im a housewife buy groceries myself ..5 percent tax is not alot compares to wht you and i pay back home in our countries...its still very small amount of tax...dubai will continue to see downfall in few years but its same like other countries where boom and slowdown comes in cycles ..your views and comments in comment section are like grapes are sour. But not for every one. Lived here 10 years happily and still counting.
RoniiNN A. (3 months ago)
Sounds like they are in a tight spot
Bitchy Yahya (3 months ago)
It’s RACISM
henryhelvis kagwa (3 months ago)
Whoever hate what you say is blind
henryhelvis kagwa (3 months ago)
Bro100% you have experience
dolly birij (3 months ago)
dude you are absolutly right, i spend prime of my life in dubai, and its the biggest mistake i ever commited
crosser person (1 month ago)
dolly birij for me its the same mistake to spend 6 ficking yrs
Low Tim (3 months ago)
In Malaysia . Every road is toll and we too have gst .
Thomas Elisseou (4 months ago)
I left Dubai back in 2013 and it does not take a rocket scientist or an accountant to see the situation...Back then I predicted Dubai would be finished by the year 2020 and my prediction is happening now....I agree with you 100% ...
GMJ (4 months ago)
Alcohol just had 30% tax added last month...I tell people at home a Corona is $13 minimum in a bar and they don't believe me. I stopped going out here years ago. I save for holiday outside the country.
muhammadawais akbar (4 months ago)
Dear pls make any vedio in hindi urdu .
muhammadawais akbar (4 months ago)
This time small compnes are daying becaus mostly main contractor not paing to sub contrators .and if any body give you cheq and it bons you can not do any thing .if you proceed to court pay court fee .and come back with empty pocket
muhammadawais akbar (4 months ago)
100000 time True
MrAkarock (4 months ago)
UAE is the most racist country in the world. I was born in Dubai and didn't got job in Dubai after graduating from Pakistan. I'm fed up with these nationality based salaries. True gem u are
Eagle Hydraulics (1 month ago)
Bro , dubai is like child before Saudi arabian racism !
MrAkarock (3 months ago)
Saif Mz it's not about Arabic. U must have driving license plus 3 years uae experience and good nationality. Also they don't give jobs to Pakistani as much.
Saif Mz (3 months ago)
MrAkarock u born there u should speak arabic then ur chances r possible that u get better job
SOFIA NARKISSA (4 months ago)
for us who live here is horrible. They added the vat on already increased prices priot to vat implementation then they added the vat+ increase . Im paying vat to my country as expat also i cant manage my life expenses even like this
pempa lhamu (4 months ago)
Ur absolutely right
Jeivek K (4 months ago)
Oman has bans all the company from keeping the employees​ passport
Raxaweyn Royalty (4 months ago)
How can I trust them with my passport 😳
Ab Cd (5 months ago)
"purchasing paaar" goes down !! and he is mocking about how Apple is pronounced!
Abdu Rehman (5 months ago)
Hahaha you were in sharjah indian school
جواد احمد خان (5 months ago)
Excellent approach and knowledge.
Sunny Boy (5 months ago)
Here’s the reality 6 months into implementation of VAT: you were wrong on all accounts except the one which apply universally about excise taxes around the whole world. Get over the fact that you failed here...nothing to do with race or being non Arab
dawoodwaris (5 months ago)
UAE didn't learn the lesson from the recession in 2008. Greed and conspicuous consumption rampant in Dubai and neighboring states.
Shrikant Dutt (5 months ago)
You are 100% correct, every word you said is true. Thanx for the great info.
Hi5 (6 months ago)
How did u lost weight?
Hi5 (6 months ago)
F..k....U lost so much weight. Thumps Up
Robin GS (6 months ago)
Dubai like hot tea and we like biscuit so p your biscuit in and pull it back before its meat down in tea cup ha ha ha ha
Majid Ali (6 months ago)
Great saying bro
Assasin Gamer (6 months ago)
You literally speak the truth it's just a different language to Dubai
anonymous (6 months ago)
So true
Loy Machedo (6 months ago)
Thanks.
Word Truth (6 months ago)
I was in Dubai for 2 years.hated it. Very racist culture. Went back to US. Your video is very realistic.
Jack Jarome (29 days ago)
So true
Loy Machedo (6 months ago)
Thanks for sharing :)
Inayatullah Shaikh (6 months ago)
True facts explain in simple way. Great Buddy.
Loy Machedo (6 months ago)
Thanks buddy :)
Farrukh Bhatti (6 months ago)
I hate Dubai, where there is no equality.... I wish Dubai soon become like Beirut..
Loy Machedo (6 months ago)
I guess its the problem with all GCC countries....
Tarun Mavely (6 months ago)
While I agree that VAT will have an impact. You are exaggerating the impact by saying prices will go up 50%. Thats illogical. VAT is only 5% , one of the lowest in the planet.
Honestly Co Sauce Blends (5 months ago)
With a 15% municipality tax on top
Loy Machedo (6 months ago)
Well - then nothing to worry about.
gaston Kdd (6 months ago)
genius.having a lot of facts .
Loy Machedo (6 months ago)
Thanks you
Jhun Viloria (6 months ago)
you say that because you are not an emirati or local arab...so why you and your family stay for so long for 50years in uae? be thankful because for sure you and your family benifited a lot in terms of luxurious and financial aspect...why don't you also ask your own country if did what the uae for 50years give to you? now you say that non sense arguments because maybe it is not benificial to you now...now that the uae facing a crisis you criticise them...be thankful brother
Loy Machedo (6 months ago)
Dear Jhun, I am not ungrateful to the UAE. I consider UAE as my motherland. And I have nothing but respect and regards for it. However, if something is wrong - it is wrong. If you check my videos - I speak against India where Rape of women & children is concerned, I speak against religion where extremism is concerned and in the same way I speak against UAE (and the Gulf states) where Racism is concerned. Just because the country has been nice to me does it mean I accept Racism, Extremism or Pedophilia?
Sultan Ahmed (6 months ago)
Perfectly said & analyzed tacts !!! By the way which year were you in left SIC?
Loy Machedo (6 months ago)
I left SIS in 1995.
cash back cash back (6 months ago)
Eighty per cent of the rich you talk about are of your gender from the Indian community. Second, you talked about companies that keep workers' passports! It seems to me that during your work and living for more than thirty years it seems to me that you do not have time to get to know your principals who are mainly Indian communities that own most private schools, including but not limited to Sony Farki, Jashanmal, Bhatia and many others who have done a lot And the sons of a lot of projects during their success in the UAE and do not forget that, I mean that the state does not interfere in the affairs of the private sector, which I talked about, and who goes and works for most of the beautification of Indian or Asian, as well as for the graduates who Ikerkthm which is not true At all, where there are more than ten thousand F-citizen can not get a job in the private sector does not exceed the salary of the ten thousand graduates in return there are Asians and foreigners from Western countries and Arab reach their salaries to more than sixty thousand dirhams in addition to bonuses, allowances and other !! And this means that we do not differentiate between one but it is a livelihood and everyone who takes his livelihood and not as you mentioned or trying to say in your interview, which seems to me to say that the UAE did not give you anything and bad words that does not mean that you could not save or get millions that The country is not successful >> I hope you change your talk to another topic about the tattoos on your face and why you try to change or hide your face ?? Instead of going into my country and you do not link you to it does not link the uterus, blood and offspring >>> Please talk to me why I lived thirty-six years in the UAE? Why did your family live in the UAE?
Sunil Janki (4 months ago)
More like incoherent babbling
Khalifa Ahmed (4 months ago)
Loy Machedo to much to read the truth hah ?
Loy Machedo (6 months ago)
Too much to read buddy. No time. Sorry.
Aaliyah Aaliyah (6 months ago)
What you are comparing Emaratis with others like Indian's, Pakistanis or else? How they are living, ehow much they are earnings the locals Emaratis, IT'S NOT YOUR BUSINESS! !! Speak about your self. Anyway, let me tell something, no where even in Europe they go to employ people full of tattoo. Even in Europe the foreigners who are not in they original country of residence, they get paid less. So , please, stop talking, criticism of UAE. If people don't like here, can everybody leave, go...
Loy Machedo (6 months ago)
And let me guess - its yours?
sandeep haridasan (7 months ago)
Would disagree on ur apple comment... u said most of them r from south, South Indians teachers r preferred everywwhere, just because they’ve mother tongue influence while speaking a foreign language doesn’t make them bad, having said that it’s true that quality of education is a bit low in the uae
Loy Machedo (7 months ago)
Well - lets agree to disagree.
Dg Nanu (7 months ago)
How about making video on the positive side of the country. There must be quite some in the 40 year stay.
Loy Machedo (7 months ago)
I have.
The Citizen (7 months ago)
each and everything is true which you said...I was in uae fro 3 years and I understood that I am at a wrong place...I being an experienced engineer I was paid aed.6000 where I need to pay my rent, SEWA, my internet ,my food, send money to home,my car loan..at the end of a month I am left with few bucks...if with the same experience was a brit or an american they would have paid him 50 times more with all the benifits including accommodation and family visas....
Loy Machedo (7 months ago)
This is reality in the UAE.... and all Gulf countries....
ibkissful (7 months ago)
Its very easy to highlight the TRUE FACTS , BUT what to do to solve it .. There's a pit if you stay in UAE and there's fire if you go back to your home-countries ... and we're not so welcome in most of the countries in the west !!! SO NO SOLUTION ,JUST WAIT !
Abdullah Sadir (7 months ago)
Man once i was at the patrol pump and i took my nose pump becuz i have some issues with my nose and i spit on side of patrol pump becuz of the taste of the nose pump .. and then the man came up to me and gave me a fine of 500 dhm 😂😂😂 thats how they make money .. i wish they will learn their lesson soon
Abdullah Sadir (7 months ago)
Loy Machedo 😂😂😂😂 omg nooooo i was putting patrol in car and naisal spray in nose becuz of some nose problems .... WTF i was not getting high on patrol 😂😂😂😂
Loy Machedo (7 months ago)
What the fuck is a "nose pump"? And why would you seriously put Petrol to your nose? Are you getting high on Petrol or what?
Ravee Nair (7 months ago)
Truth is bitter however much you sugar-coat it. Your words are bang on.
Terry-Penn Dee (7 months ago)
FREEDOM OF EXPRESSION AND MEDIA IS CONTROLLED BY THOSE ASSHOLES IN POWER....FOR FUKK SAKE EVEN GUY FAWKES MASKS ARE BANNED....AND THEY TRYING TO COMPLETE WITH THE WEST..
sijin sijin (7 months ago)
U r a 🐺spat everything 👌
Ashish Kumar (7 months ago)
Are u mallu ??
Sneha Stephen (6 months ago)
His father is from kerala and mother from manglore
Bibin varghese (7 months ago)
Ashish Kumar allada
Imran Khan (7 months ago)
You're showing future of expats in UAE
Loy Machedo (7 months ago)
They better learn or else they will repent!
S teddy (7 months ago)
your face tattoos re so scary, only option is either he's self employed or homeless, no one is gonna hire a ghost ...yuck
Sarath Vavachan (7 months ago)
I loved that response.
Loy Machedo (7 months ago)
Boo!
K-MTB (7 months ago)
damn i just discovered your channel, everything you say its soo true i withness this while i was on Holiday in Dubai!
Loy Machedo (7 months ago)
Better late than never!
Exodus Management (8 months ago)
Brilliant analysis but i guess Indian, Pakistani or even Bangladeshi College or University Degrees are more acceptable in the world wide rather than the UAE educational degrees. i wonder how the locals manage their life when the expats leave the UAE.
Loy Machedo (8 months ago)
Fantastic statement! Loved what you had to say in the end.
Mine Gamer (8 months ago)
You all need to respect the country you are in you must thank God that you live in peaceful country like this if you don't like the uae alot of other people like it.
Loy Machedo (8 months ago)
I do respect the country I am in and yes, I am glad I live in a peaceful country.
gita sridhar (9 months ago)
Thanks for this information, excellent analysis .
Loy Machedo (9 months ago)
Pleasure buddy :)
siner me (9 months ago)
Every single word you have said is based on honesty. U.A.E is vampire, the minute you enter the country airport immigration officer looks at you with the expression "Hmm.. Another meat ball to suck blood from"
Loy Machedo (9 months ago)
LOL...Powerful example!
DDS (9 months ago)
Now thats the freakin truth 👍🏻 all in our minds, but this guy throws all out 👍🏻
Loy Machedo (9 months ago)
That's reality mate!
Muhammad Tariq (9 months ago)
You r 110 % right and it's time to leave
Fucking President (9 months ago)
You spoke absolute truth. UAE is an artificial bubble waiting to burst any moment.
Fucking President (9 months ago)
You think so? The expenses are rising and take home revenue is dropping so I think there will come a time when people will realize that its not worth it.
Loy Machedo (9 months ago)
But UAE will continue as people will constantly want to come to this bubble...
Fucking President (9 months ago)
Bro you were living in UAE looking like that? You are brave bro!
Fucking President (9 months ago)
My dad is there for the last 48 years and he doesn't want to leave since he still thinks there is money to be made there.
Loy Machedo (9 months ago)
I was mate.... Left it a year ago....
KingsWorld2015 (9 months ago)
All the Arab countries will run out of oil within 100 years, then the world will be reversed! they will all be poor countries and the others with be richer.. Why? ... because the other countries have more brains than money!
Sid (6 months ago)
50 years
Loy Machedo (9 months ago)
Neither you nor I will be alive in 100 years mate.....So who cares?
KingsWorld2015 (9 months ago)
Are those tats real? man you look incredible! - cool video, truth told as it is! thumbs up from me mate.
Loy Machedo (9 months ago)
The tats are real buddy :)
abdul gafar (9 months ago)
well said , but the consequences will be bad...sinking in the pool of debts ..sending family back home...perhaps 'divorcerate' also arises in among expatriate couples...dipression..addiction...oh my god I am feeling something very bad...
Loy Machedo (9 months ago)
Lets hope you are safe.
saif tariq (9 months ago)
Feeling the impact already !!
Loy Machedo (9 months ago)
Worrisome.....
TheMightyHarihar (9 months ago)
You should interview Sheikh Maktoum and tell him as it is (outside the UAE ofcourse, haha).
Loy Machedo (9 months ago)
Whatever said and done - He is a great leader and the reason why Dubai, UAE is great today.
Shah Jahan (10 months ago)
U erned a sub and a lot of respect for speaking the truth. But plz get this tatoo off. U r limiting ur god gifted face beauty with it :) THANK YOU
Loy Machedo (9 months ago)
Its cool my man :)
Shah Jahan (10 months ago)
I didnt know how much it costs to remove tattoos. But u got me wrong. I just gave my opinion as a fan i didnt force u and neither does anyone have a right to do so :)
Loy Machedo (10 months ago)
Thanks mate. About the Tattoo being removed - well, I'm too old now and the last thing I want to do is invest $100,000 getting my tattoo removed over the next 3 years. It is part of my brand. Its more like me asking you to change your religion because I am not comfortable with it ~ Make sense?
Abdul Aziz (10 months ago)
Total total agree bro
Loy Machedo (9 months ago)
Thanks brother :)
Abdul Aziz (10 months ago)
Total total agree bro
mike mumi (10 months ago)
Soon there will be no middle class in Dubai.to survive there u will either be very rich or very poor.the next Monaco
Loy Machedo (10 months ago)
Very well stated my man. Loved your comment.
Rim Oo (10 months ago)
some points u mentioned are true and common facts yet others are utter nonsense based on narrow view of this country, like the education here, not all the schools are based on what u explained ....my point is that dont encompass the whole spectrum but state that some fall in the range and some dont. And its true the prices are high and its horrible . You should have enough money to live here.
Loy Machedo (10 months ago)
Yes of course. I may not be 100% right as there are new schools coming up all the time! Thank you for sharing your thoughts and please do share more!
Jessie Robert (10 months ago)
Wow so true every bit of it is so true . Middle East is not what it used to be .
Ali Baqi (6 months ago)
I don't now you but I think you work for Iran government u dog.......
Ali Baqi (6 months ago)
You are dog
Fluieras Oana Alina (7 months ago)
Agree with u Loy,so true
Loy Machedo (10 months ago)
It is sad. Seriously. It is.
SUD S (10 months ago)
very true bro!! The UAE government poses a rosy picture that the daily expenses will not change much and they think we expats are all gullible to believe it. I am sure a lot of expats who actually work sincerely will be on their way out of UAE to better places. If they want to tax so much then they must provide citizenship to expats on certain criteria. Otherwise an expat is duped all along the years he is in UAE feeding the government and he gets nothing at all in return. Most of other countries who have VAT do have criteria for expats to acquire citizenship or a permanent residence visa.
Loy Machedo (10 months ago)
Agree with you on the Citizenship aspect. Doesn't make sense being in a country where you pay taxes and no citizenship is offered.
Xing Chan (10 months ago)
Great stuff and to the point. BTW Loy, you sound different as your videos progress. What's happening to your voice?
Loy Machedo (10 months ago)
I will be purchasing my new microphone shortly :) In another 3 weeks you will get to hear it soon :)
sabykhanevents (10 months ago)
Raise the TAXES to fund Wars in Yemen, Bribe the corrupt Pakistani Government so they dont Develop Gwadar Port, and pay back the Israeli controlled IMF with the massive loans taken out to finance 2020...?????
Kutty Moonji (4 months ago)
sabykhanevents Even dubai under the debt trap of IMF? Gr8 to know.. I thought western mafia is developing infra to them instead of paying the money for Crude... It's a double looting..
saleem suliman (6 months ago)
If Gwadar needs to succeed. Its people needs to know one thing. Nawaz and Zardari are the biggest theif of the century.
sabykhanevents (10 months ago)
Thank you sir, keep up the great work for exposing the truth :)
Loy Machedo (10 months ago)
Smart & Intelligent Comment! Loved what you had to say.
Ben Chandran (10 months ago)
u north Indians just Hate south Indians...don't you??? Glad n lucky we poor south Indians have you guys to represent the country with your neutralized crystal clear accent....I am being sarcastic here...ok
Peta Byte (9 months ago)
Ben, mentality of U people divide the country and others take benefit out of it. I believe after hindu n Muslim issue get fixed, it will be north n south India. My request; Pls, don't teach ur kids to hate others.
Ankur chaudhary (9 months ago)
Noone hate you bro . Some stupid don't represent north or south indian .
Tarun Pratap (10 months ago)
This guy is a Keralite i think.
Loy Machedo (10 months ago)
Yes Sir!
aamr (11 months ago)
What about if u have savings in bank? Will it be also
Loy Machedo (10 months ago)
I believe UAE will implement tax on everything. Because end of the day - its all about making money.
Awesomely said
Loy Machedo (11 months ago)
Thanks mate :)
Syed Hussain (11 months ago)
Boy you talked reality. The facts..... Much Appreciation for this video
Saif Mz (3 months ago)
Abdullah Sadir why and how he blackmail u mention that?
Ivy Mike (7 months ago)
+ Abdullah Sadir - where did u live in RAK?
Abdullah Sadir (7 months ago)
Ivy Mike yes bro it was every nic their but now OMG its very hard to live their . I was borm their and lived for 18 years . But we have to move to pak becuz of the expences
Ivy Mike (7 months ago)
Abdullah Sadir - May i know where in RAK you lived because i used to live there too? I lived in RAK for almost 18 years. In the year 2000 it was all over. But that was long ago, i don't know how much UAE has changed since then. All i know is that UAE was very good in 80s and little bit in 90s.
Abdullah Sadir (7 months ago)
Ivy Mike yess i was in ras al khaima and that was also the same ..
Sameer Nisar (11 months ago)
bro you r absolutely right
Loy Machedo (11 months ago)
Thanks my man :) Appreciate the love.
Priyo (11 months ago)
I understand all these but what can the UAE govt do to pay off the huge debt they have taken to build UAE into global brand ?
LetsTry This (11 months ago)
loy, its very informative video. I appreciate. At present I live in Alain,Abu dhabi. Iam planing to move to Oman or Qatar. What do you think?
Ivy Mike (7 months ago)
+ amna omar So does it mean that after few years it will be useless to live in Oman too?
Abdul Aziz (10 months ago)
Move from dubai
amna omar (10 months ago)
Marina waterr Oman will implement the same tax in 2019 and prices are much higher in Qatar because of the blockade.
Loy Machedo (11 months ago)
Take this suggestion - go there, meet people whom you know or can interact on a trust worthy basis. They would be able to guide you. Remember - always the middle class will tell you the truth.

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