Date: ……………………..
The Manager,
Seller company,
Address.
Dear Sir,
Subject: Declaration on usage of goods sold to us against Purchase Order ……….. dated :
As per Article 51 of Executive Regulations of the Federal Decree Law No. 8 of 2017, the goods transferred within Designated Zone are treated as Out of Scope of VAT, when the purchased goods are:
- incorporated into, attached to or otherwise form part of another good located in the same Designated Zone and that other good is not consumed; or
- used in the production of another good located in the same Designated Zone and that other good is not consumed.
As per above we declare that the goods mentioned in our Purchase Order …… dated……. are being used for further supply of goods and will fall under the above mentioned criteria. Hence, the transaction will be treated as out of scope under VAT Law. Kindly do not charge VAT on the invoice raised by you for the subject Purchase Order.
For…………….
name
Designation
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Disclaimer: The primary responsibility to comply with UAE VAT Law is with the seller and buyer of the goods. This document will be part of additional documentation and it doesn’t relive or overwrite the applicability of the law.