Federal Tax Authority

Cabinet Decision No. 153 of 2025 on the Application of the Reverse Charge Mechanism on Metal Scrap

Extends the domestic VAT reverse-charge mechanism to supplies of metal scrap between VAT-registered businesses, shifting output VAT accounting to the registered recipient to reduce fraud risk in the scrap-metal supply chain. Issued 4 November 2025; published 21 December 2025.

What firms should do

Yes — businesses trading metal scrap must apply reverse-charge accounting on qualifying domestic supplies

Regulator: Federal Tax Authority
Type: Cabinet Decision
Status: Final/In Force
Published: 21 Dec 2025
Reference: Cabinet Decision No. 153 of 2025
Topic: VAT
Impact: Medium

Read it on the regulator's website

Found automatically on the regulator's website and summarised by AI by Arakan Lexara. Not legal advice; check the official source before relying on it.

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Cabinet Decision No. 153 of 2025 on the Application of the Reverse Charge Mechanism on Metal Scrap

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