As clarified by the FTA, leased commercial properties in the UAE are not considered a supply during its sale; therefore, it will not be taxable. As mentioned by the governmental entity, VAT has a limited impact on UAE’s real estate, with the majority of the transactions either not being subject to or exempt from VAT. VAT impact on residential properties is limited, but there is a direct impact on commercial properties. The sales of vacant commercial properties and commercial property leases are subject to taxation. Real estate businesses will be able to recover taxes paid via the tax system by registering with FTA. On the other hand, landlords who rent their properties for residential purposes are not required to register with the FTA, if all supplies made by the owner are exempt from tax. Our experts have advised and helped the largest companies in the region get ready. Our approach is comprehensive and covers finance, IT, and overall company training. Our professionals are all senior tax professionals with decades of experience. For VAT support, consultations, and inquiries contact us on email@example.com.