Article 8 of the Saudi Value Added Tax Law
المادة 8 من نظام ضريبة القيمة المضافة · الفصل الثالث: توريدات السلع والخدمات
The article refers to the Regulations to identify the transactions in which the supply of goods and services is outside the scope of value added tax.
Official text (Arabic)
This article has not been amended since the law was issued.
تحدد اللائحة المعاملات التي يكون فيها توريد السلع والخدمات خارج نطاق الضريبة.
This is the official Arabic wording, the only legally binding version. We do not translate the law itself; the explanation below is ours. Official source: Bureau of Experts at the Council of Ministers
Article 8 explained in plain English
This article indicates that there are transactions in which goods or services are supplied but the supply falls outside the scope of the tax, so the existence of a supply is not enough to say it is taxable in every case.
What does the article provide?
- The article does not list these transactions itself; it leaves their identification to the Regulations.
- This article alone therefore cannot be relied on to say that a particular transaction is not subject to the tax; the Regulations must be consulted to see whether that transaction is among those they specify.
What the article does not specify: it gives no examples of these transactions and no criteria for distinguishing them from other supplies; all of that is left to the Regulations. The terms "supply" and "goods and services" are not defined in Article 1, so their meaning is taken from the Agreement under paragraph (2) of that article.
The article comes among the provisions on supplies of goods and services, alongside Article 7 on transferring assets between the Kingdom and a member state and Article 9 on supplies made on behalf of others.
If a business has a transaction whose liability to the tax is in doubt, it is better to check the text of the Regulations or consult a lawyer specializing in tax before refraining from charging the tax on it.
Translated from our Arabic explanation with machine assistance. For guidance only; it does not replace advice from a lawyer on your situation.
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Frequently asked questions about Article 8 of the Saudi Value Added Tax Law
Which transactions are outside the scope of VAT?
The article does not specify them itself. It refers to the Regulations to identify the transactions in which the supply of goods and services is outside the scope of the tax.
Does the article give examples of out-of-scope transactions?
No. The article gives no examples and leaves the identification of all these transactions to the Regulations.
More articles on Exempt and Zero-Rated Supplies
- Article 2Amended by A/638
The article imposes value added tax on the import and supply of goods and services at a basic rate of 15%, unless an exemption or zero rate applies.
1- دون إخلال بما ورد في الفقرة (2) من هذه المادة، تفرض الضريبة على استيراد وتوريد السلع والخدمات، وفقاً للأحكام المنصوص عليها في الاتفاقية والنظام واللائحة. 2-
- Article 6
The article refers to the Regulations to set the conditions and controls for applying the deemed supply provisions in the GCC Agreement.
تحدد اللائحة الشروط والضوابط اللازمة لتطبيق الأحكام ذات الصلة بالتوريد المفترض التي تنص عليها الاتفاقية.
- Article 7
The article refers to the Regulations to set the conditions and controls for a taxable person transferring goods from its assets between the Kingdom and any member state.
تحدد اللائحة الشروط والضوابط المتعلقة بنقل الخاضع للضريبة سلعاً تشكل جزءاً من أصوله من المملكة إلى أي دولة عضو أو العكس.
- Article 9
The article treats a taxable person who supplies or receives goods or services in its own name on behalf of another as if it had supplied or received them for itself.
في حال قيام الخاضع للضريبة ـ باسمه الخاص ـ بتوريد أو تلقي سلع أو خدمات نيابةً عن شخص آخر، فإنه يعامل - لأغراض تطبيق النظام واللائحة - باعتباره قد قام بتوريد أو
- Article 10
The article refers to the Regulations to identify exempt supplies and zero-rated supplies, and the conditions and controls for them.
تحدد اللائحة التوريدات المعفاة من الضريبة، والتوريدات الخاضعة للضريبة بنسبة الصفر في المائة، والشروط والضوابط اللازمة لذلك.
- Article 13
The article refers to the Regulations the conditions and controls for determining the place of supply of goods and services, in accordance with the GCC Agreement.
تحدد اللائحة الشروط والضوابط اللازمة لتعيين مكان توريد السلع والخدمات، وفقاً لأحكام الاتفاقية.
The texts are reproduced from the official website of the Bureau of Experts at the Council of Ministers for reference; where they differ, the officially published Arabic text prevails. This content is not legal advice.