GTL Summary:

Article 20 of the GCC Common VAT Agreement outlines a special provision for determining the place of supply for specific service categories. It stipulates that for both wired and wireless telecommunication services and for electronically supplied services, the place of supply is considered the location where these services are actually used or enjoyed by the recipient. This rule ensures that VAT is applied based on the principle of consumption, meaning tax is due in the jurisdiction where the customer benefits from the service, irrespective of the supplier's or customer's primary location. This is a key exception to the general place of supply rules.