With the date for the introduction of value-added tax (VAT) in the Gulf just over 11 weeks away, tax specialists in the region are seeing a healthy rise in salaries, on the back of predictions by industry experts that the new taxation system will lead to the creation of thousands of new jobs.
“Candidates who are VAT specialists can expect to be paid well given the demand for their skill set and the shortage of qualified candidates with it,” Andy Georgeson, senior consultant at Michael Page Finance, told Arab News.
At present salaries for VAT managers in the United Arab Emirates range from between 30,000 to 40,000 dirhams ($8,185-$10,890) per month, but these are set to rise as competition for candidates increases, the report said.
Last week, Paul Drum, head of policy at CPA Australia and an expert in taxation laws, told a Dubai tax workshop that “VAT brings good news to current finance and accounting students and graduates as this form of taxation will create ample employment opportunities.”
He predicted that around 5,000 finance and accounting jobs would be created in the run-up to VAT.
However, earlier this year Trefor Murphy, CEO of Dubai-based recruitment firm Cooper Fitch, said the figure of 5,000 was a on the conservative side.
“I would now suggest that is a significant understatement,” he told Zawya in an interview in April.
“The UAE government is talking about 400 [government tax] hires. Oman, Bahrain, Qatar and Kuwait something similar, while Saudi is about twice that,” he added.
Many of the ‘Big 4’ international accountancy firms – including PwC, Deloitte, EY and KPMG – began hiring last year, he said, in a bid to be able to start offering consultancy services as soon as possible.
At a meeting in Riyadh in June last year finance ministers from the six members of the Gulf Cooperation Council (GCC) formally agreed to introduce tax across the bloc from January 1, 2018, with the UAE and Saudi Arabia set to lead the pack.
Further reading:
© ZAWYA 2017
“Candidates who are VAT specialists can expect to be paid well given the demand for their skill set and the shortage of qualified candidates with it,” Andy Georgeson, senior consultant at Michael Page Finance, told Arab News.
At present salaries for VAT managers in the United Arab Emirates range from between 30,000 to 40,000 dirhams ($8,185-$10,890) per month, but these are set to rise as competition for candidates increases, the report said.
Last week, Paul Drum, head of policy at CPA Australia and an expert in taxation laws, told a Dubai tax workshop that “VAT brings good news to current finance and accounting students and graduates as this form of taxation will create ample employment opportunities.”
He predicted that around 5,000 finance and accounting jobs would be created in the run-up to VAT.
However, earlier this year Trefor Murphy, CEO of Dubai-based recruitment firm Cooper Fitch, said the figure of 5,000 was a on the conservative side.
“I would now suggest that is a significant understatement,” he told Zawya in an interview in April.
“The UAE government is talking about 400 [government tax] hires. Oman, Bahrain, Qatar and Kuwait something similar, while Saudi is about twice that,” he added.
Many of the ‘Big 4’ international accountancy firms – including PwC, Deloitte, EY and KPMG – began hiring last year, he said, in a bid to be able to start offering consultancy services as soon as possible.
At a meeting in Riyadh in June last year finance ministers from the six members of the Gulf Cooperation Council (GCC) formally agreed to introduce tax across the bloc from January 1, 2018, with the UAE and Saudi Arabia set to lead the pack.
Further reading:
- Zawya Special Coverage on the introduction of VAT in the GCC
- Tax accountant salaries surge as Gulf VAT day approaches
- VAT to create 5,000 new tax jobs: That's an 'understatement' say recruitment experts
- VAT grouping: some key considerations
- Online registration for VAT in the UAE now open
© ZAWYA 2017
