Page 393 - Ministry of Economy - December 2017

12/25/2017 FNC member asks government to place cap on rising car prices ahead of VAT - The National

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FNC member asks government to place

cap on rising car prices ahead of VAT

Move comes ahead of 5 per cent sales tax from January 1

Haneen Dajani
December 5, 2017
Updated: December 5, 2017 08:46 PM

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Concerns were raised over the cost of buying a new car. Jaime Puebla / The
National

The government has been asked to place a cap the
rising cost of buying a car ahead of the introduction of

VAT next month - when vehicles with be hit with a 5 per
cent price hike.

Federal National Council member Saeed Al Remeithi

raised the issue with the Minister of Economy on
Tuesday, during a packed session that touched on the

cost of living, insurance and medical treatment.

The youngest member of the chamber referred to an
unspecified report that he said found the UAE has the

steepest car prices in the Gulf.

He said a cap, like that set out to ensure rental prices

could only rise by a certain amount and no more,
would be fair for consumers.

“Today there is a lot of talk that the UAE has the

highest prices in the Gulf, and with Value Added Tax...
there is a fear of inflation," he said.

"This is a trend that will have many affects on society."

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Read more on tax in the UAE:

https://www.thenational.ae/uae/fnc-member-asks-government-to-place-cap-on-rising-car-prices-ahead-of-vat-1.681764 1/4