The default and basic rule for determining the place of supply of services in VAT – the place of supply will be the place of residence of the supplies.
This basic rule always applies unless overridden by a special rule such as below:
If the supplier is a non-UAE resident who provides service to a VAT-registered resident in the UAE, then the place of supply is the UAE
The place of supply for installation services is where the installation is done.
- Real estate-related services
This type of service includes:
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- Real estate experts and agent services
- Granting the right to possess or use real estate
- The place of supply for real estate services is where the real estate is located.
- Hotel and restaurant service
For restaurants, hotels, and catering services, the place of supply is where the services are performed.
- Telecommunication and electronically-supplied services
The place of supply for wired and wireless telecommunication services and electronically supplied services will be the location where the services are used or received.
For cultural, art, sports, educational, or similar services, the place of supply is where the services are performed.
- Passenger transportation services
The place of supply for passenger-related transportation services is the location where the transportation begins.
Source: Federal Tax Authority – Consumer Business
