Currencies Calculator
  • Make your visitors' entry a pleasant experience - smooth and speedy via the automatic visitors' entry system – tagomat. To process click here
  • Instead of wasting precious time on the phone, in line and filling in forms, request a buyer's badge via the website. To process a buyer's badge, Click here
  • In accordance with the security rules, anyone entering the building must wear their badge visibly at all times in the complex. This raises the level of security and will therefore be strictly enforced.
  • Note that you can contact any of the Exchange Committees or the Chairman of a Committee via the Exchange website. Go to "Committees" on the home page menu bar, select the required committee and then select the "contact" option.
  • According to the instructions of the Security Department of the exchange, all people in the bourse must wear their entry tags in a clearly visible way while they are in the exchange buildings.Doing so enables a higher level of security in the exchange.

Planned New 5% VAT on Loose Diamonds Worries Dubai

Planned New 5% VAT on Loose Diamonds Worries Dubai
Dubai Diamond Exchange Chairman Peter Meeus spoke out strongly against a proposed 5% value added tax

Dubai Diamond Exchange Chairman Peter Meeus spoke out strongly against a proposed 5% value added tax (VAT) on loose diamonds in the United Arab Emirates (UAE), saying it would threaten Dubai’s diamond trade.

Meeus said on the first day of the Dubai Diamond Conference earlier this week: “The possible cost implications of a VAT introduction for UAE traders are huge. In a business where profit margins are very thin, every quarter of a percent is important for traders handling billions of dollars to decide where to ship the goods.”

The comments were widely reported in the local press.

The UAE government aims to bring in a 5% VAT rate on rough and polished diamonds traded in the UAE as of January 1. Given that the country has marketed its diamond and jewelry industry for more than a decade on a zero tax policy, as well as other tax advantages as compared to other major diamond centers such as Antwerp, the proposal signifies a big change in policy.

“Our trading roots are based on the principles of a tax-free environment for import and re-export and a mind-set that industry drives government, not that government drives industry,” said Ahmed Bin Sulayem, chairman of the Dubai Multi Commodities Centre (DMCC).

Meeus said that diamond trading in the UAE had a value of $26 billion in 2016 – a huge increase on a figure of just $300 million in 2002 when the DMCC was established.

Meeus claimed that if the tax was imposed, the UAE would suffer and other centers such as Hong Kong, Panama and Singapore would benefit.

The subject of the proposed tax was discussed at one of the panel debates at the Dubai Diamond Conference where panelists discussed the ramifications.

Panelists, who included prominent retail jewelry heads, mostly agreed that the tax rise would have a negative impact, however some said the increase would not be dramatic.

BackPrintSend to a friend