Calculate the VAT on your amount quickly with the default **17%** VAT rate in Sudan.
The **Value Added Tax (VAT)** is a consumption-based tax introduced by the Sudanese government. VAT is applied to most goods and services, excluding those that are specifically exempt or zero-rated. VAT in Sudan is a **17% tax**, meaning that for every taxable product or service, an additional 17% is added to its price.
The introduction of VAT was part of Sudan’s efforts to generate more revenue for the government and reduce reliance on oil revenues. The funds raised through VAT help support public services such as infrastructure, education, healthcare, and social programs, benefiting Sudanese citizens and residents.
VAT is a **tax on consumption**, which means that it is paid by the end consumer. Businesses charge VAT on the goods and services they sell, and the tax is collected on behalf of the government. However, businesses can recover the VAT they pay on their own business-related purchases, making VAT a tax ultimately passed on to the final consumer.
For example: - If a retailer buys goods for **SDG 100**, they pay **SDG 17** as VAT (17%). - When they sell those goods to a customer for **SDG 200**, they charge the customer **SDG 34** as VAT. - The retailer will pay the government **SDG 17** (the difference between the VAT charged to the customer and the VAT paid on the goods they bought).
Not every business in Sudan is required to register for VAT. The government has set thresholds based on annual revenue. Businesses with taxable supplies exceeding **SDG 10,000,000** per year are required to register for VAT.
Businesses with taxable supplies between **SDG 5,000,000** and **SDG 10,000,000** can opt for **voluntary registration**. This allows small businesses to recover the VAT they pay on their own expenses, even if they are not strictly required to register.
Additionally, businesses that provide VAT-exempt services or whose supplies fall outside the scope of VAT are not required to register.
VAT offers several benefits to Sudan’s economy. The most significant advantage is **economic diversification**. By introducing VAT, Sudan is able to generate non-oil revenue, which helps reduce the country’s reliance on oil exports. This has contributed to stabilizing the government’s finances and funding long-term growth projects.
VAT also brings **transparency** to the economy. With a clear tax system in place, businesses and consumers are more aware of the costs and taxes associated with goods and services. This improves record-keeping, promotes fairness in business, and fosters a competitive environment.
The Sudanese government has exempted certain goods and services from VAT. These exemptions include: - **Healthcare**: Medical services and medications are exempt from VAT. - **Education**: School fees, university tuition, and training services are exempt. - **Financial Services**: Certain financial transactions such as loan interest and savings accounts are exempt.
Additionally, there are **zero-rated** goods and services, which means that VAT is applied at a 0% rate, allowing businesses to reclaim VAT on inputs. Some examples include: - **Exports**: Goods and services exported outside Sudan are zero-rated. - **International Air Travel**: Flights departing from Sudan are zero-rated. - **Basic Food Products**: Certain essential food items such as fruits, vegetables, and grains are zero-rated.
The VAT calculation is straightforward. The formula is:
VAT = Amount * VAT Rate
To calculate the VAT on a given amount, multiply the price of the goods or services by the VAT rate (17% in Sudan).
**Example**:
If you are purchasing a product worth **SDG 500**, the VAT would be:
500 * 17% = SDG 85
So, the total cost for the product will be **SDG 585**.
To simplify the calculation process, many businesses and individuals in Sudan use **online VAT calculators**. These tools help automatically compute VAT based on the entered price, saving time and reducing errors.
A: You can use our **Sudan VAT Calculator** to quickly calculate VAT on any product or service in Sudan. Simply enter the amount and the default VAT rate of 17%, and the tool will show you the VAT amount and the total cost after VAT.
A: The current VAT rate in Sudan is **17%**, which was introduced as part of Sudan's broader strategy to improve government revenue and reduce dependency on oil revenues.
A: To calculate VAT, multiply the price of the product by the VAT rate (17%). For example, for a product priced at **SDG 100**, the VAT would be **100 * 17% = SDG 17**. The total price after VAT would be **SDG 117**.
A: Yes! The Sudan VAT calculator allows you to calculate VAT for multiple items by entering each item’s price and applying the VAT rate to each one separately, or adding them together for a cumulative VAT calculation.
A: The default VAT rate in Sudan is **17%**, but the calculator can be adjusted to different VAT rates if necessary (e.g., for future changes or special VAT rates in specific regions or for certain goods). You can manually change the VAT rate in the calculator to suit your needs.
A: VAT is a consumption tax applied to most goods and services in Sudan. It was introduced as part of the government’s strategy to diversify revenue sources, reduce reliance on oil exports, and fund essential public services such as healthcare, education, and infrastructure.
A: VAT is applicable to most goods and services in Sudan, but certain items are exempt or zero-rated. For example, basic food items, healthcare, education, and some financial services are either exempt or subject to a 0% VAT rate.
A: If you are a business in Sudan, you are required to charge VAT on the goods and services you sell. You can recover the VAT you paid on business-related purchases and expenses through input VAT credits. Be sure to file your VAT returns regularly with the **Sudanese Tax Authority**.
A: **eInvoicing** is a digital invoicing requirement for businesses in Sudan, introduced to improve VAT compliance and transparency. It ensures that invoices are issued electronically, with appropriate tax details, making the tax process more efficient and reducing tax evasion.
