GTL Summary:

Article 32 of the GCC Common VAT Agreement specifies the VAT treatment for key transportation services, stipulating that they are subject to a zero-rate. This treatment applies to two main categories of supply. Firstly, it covers the transport of goods and passengers from one Member State to another within the GCC, including any directly related services. Secondly, it extends to international transport of both goods and passengers that either originates from or is destined for the GCC Territory, along with associated transport-related services. The application of the zero-rate ensures these services are taxable supplies, allowing suppliers to recover related input tax.