The UAE Federal Tax Authority (FTA) has issued guidance on the use of exchange rates for value added tax (VAT) purposes. The guidance includes that where a tax invoice was issued prior to 17 May 2018 in a currency other than UAE Dirham, the tax invoice should have been converted to UAE Dirham using an exchange rate from a reliable source. Reliable sources include, but are not limited to:
- Thomson Reuters;
- Oanda; and
- The exchange rate published by a UAE bank.
Where a tax invoice is issued …