The Zakat, Tax and Customs Authority in Saudi Arabia revealed a mechanism for applying the state’s charge of the value-added tax due on private educational services provided to citizens.
The authority stated that the state bears the value-added tax due on private educational services Provided to citizens in private and international schools approved by the Ministry of Education. The services included include the value of tuition fees, and the value of textbook fees sold from private and international schools that are subject to tax and approved by the Ministry of Education.
She added that the state bears the educational services provided by private universities (for bachelors), which fall under the supervision of the Ministry of Education, which is the value of tuition fees and the value of textbook fees that are sold directly from the university.
The tax burden by the state includes educational and training programs supervised by the General Organization for Technical and Vocational Training, which are equivalent to the corresponding and similar educational certificates with the Ministry of Education, and for a period of more than two training years, for the value of tuition fees and the value of fees for textbooks sold by approved educational authorities as part from the tutorial.
The authority explained that this comes in implementation of the royal order that the state bears the value-added tax for citizens benefiting from the private private education sector.
The authority explained that the mechanism for applying the state’s tax bearing agreed upon between the authorities concerned with implementing the aforementioned royal order stipulates that the tax is not collected for the educational services covered by the citizens who benefit from it, after the taxable educational authorities verify that the beneficiary is the citizen included in the royal order, and that The citizen’s data shall be included in the tax invoice issued by him to the citizen, including the national identity number and his contact details, with the educational authority declaring the value of the supply covered within the scope of the application of the royal order within the field designated for it in the tax return without paying the tax due on that supply.
The Zakat, Tax and Customs Authority called on the public, when detecting any violations in this regard, to report it via its website or through the application of value-added tax.
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