Everything about VAT for Exports in Saudi Arabia - FAQs

Are my exports taxable?

Tax applied on the export of goods or services depends on the location of the supply:

• Supplies within the KSA are taxable at 5%.
• Supplies outside KSA but within the GCC are zero-rated.
• Supplies outside GCC are zero-rated.

Is transport taxable?

Domestic transport (within the KSA) is taxed at the standard VAT rate. International transport (outside the KSA) is zero-rated.

Taxable at 5%:

• Transport of passengers and goods within KSA.
• Vehicles and equipment for domestic transport.
• Services related to domestic transport.

Zero-rated:

• Transport of passengers and goods outside of KSA.
• Vehicles and equipment for international transport.
• Services related to international transport.

Does VAT apply to medicines or medical equipment?

The Ministry of Health (MOH) issues a list of qualified medicines and medical goods.

• Medicines and medical goods qualified by MOH are zero-rated.
• Medicines and medical goods not qualified by MOH are taxed at the standard rate of 5%. 

Are investment metals taxable?

Qualifying investment metals (gold, silver and platinum with a purity of at least 99%) are zero-rated.

Investment metals sold with a purity level less than 99% are taxable at 5%.

Are supplies made by non-taxable people subject to VAT?

These supplies are out of the scope of VAT in the KSA.