Article 41 establishes the reverse charge mechanism, shifting the VAT payment obligation from the supplier to the customer under specific cross-border conditions. This mechanism applies when a non-resident supplier provides goods or services where the place of supply is within a GCC Member State. In such cases, the resident Taxable Customer in that Member State is legally obligated to account for and pay the VAT due. The article further clarifies that the settlement of this tax liability must be executed either through the customer's tax return or independently, in accordance with the procedures determined by each individual Member State.
Chapter 8 - Persons who are Obligated to Pay Tax
Article 41 - Customer Obligated to Pay Tax According to the Reverse Charge Mechanism
If the place of supply for Goods or Services is in a Member State where the Supplier is not a resident, then the Taxable Customer residing in that Member State shall be obligated to pay the Tax Due.
Tax Due under subsection 1 of this Article shall be paid pursuant to a tax return or independently as determined by each Member State.
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