- The Government of Oman has approved the Oman VAT law, and it is expected that the final Decree VAT law would be released at the earliest for likely implementation with effect from 1 April 2020.
- Considering the limited time in hand, it would be imperative for all stakeholders having business in Oman or liable for paying VAT in Oman, to have a thorough understanding of upcoming VAT law and the implications arising therefrom.
- It would also be imperative for businesses to evaluate their readiness for implementing VAT and assess their preparedness from various aspects such as accounting impact, tax team structure, ERP and systems to be in place. The businesses need to revisit commercial clauses under ongoing contractual obligations with suppliers and buyers etc.
As the saying goes “A stitch in time saves nine” – it is essential for the businesses to evaluate their operations to ensure a smooth transition towards the VAT regime.