United Arab Emirates Tax Information

Value Added Tax (VAT)

As of 1 January 2018, the United Arab Emirates, which forms part of the Cooperation Council for the Arab Gulf States (GCC), introduced a Value Added Tax (VAT) at a rate of 5%. The UAE coordinates VAT implementation with other GCC countries because of the connection with them through the economic agreement between the GCC states and the GCC Customs Union. The VAT is levied on the import and supply of goods and services at each stage of production and distribution, and includes the services provided by DigitalOcean in the United Arab Emirates.

On 1 May 2019, DigitalOcean began charging this VAT for users with a tax location of United Arab Emirates. The change doesn’t affect business-to-business sales. In these cases, the reverse charge mechanism will be in effect.

Tax FAQ

How is my tax location determined?

Tax location is determined by the origin of the last credit card added. This is the location returned by DigitalOcean’s credit card processor for the given card (not the user entered location).

For PayPal users, tax location is determined by the location returned by PayPal for the last payment.

How can I change my tax location?

You can change your tax location by adding a payment card with a different location origin or by making a PayPal payment with an updated location.

You may also contact support.

Why is my invoice in USD? Can I get an invoice in another currency?

Because USD is currently the only currency we can accept for payments, all invoices are in USD. We cannot provide invoices in other currencies.