VAT rises from 10 to 11 percent
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by Manal Abdel Samad Najd April 3, 2018

written by Manal Abdel Samad Najd April 3, 2018

Since at least 2011, the IMF has urged the Lebanese government to increase its VAT rate and to broaden the tax’s base by lowering exemptions. After this year’s increase of the VAT standard rate by 1 percent, from 10 to 11 percent, Lebanon’s VAT rate is still the second-lowest in the region after Djibouti, and there remains room for increasing it without hindering its efficiency, according to the IMF’s 2017 report on Lebanon. Lebanon’s VAT standard rate is even less than the average rate of 15.7 percent for its peers in upper-middle income developing countries, according to a 2011 IMF report. Lebanon’s VAT increased by 1 percent on January 1; however, it is expected to contribute no more than an additional 0.7 percent to tax revenues (assuming all other factors remain constant). The impact of this raise is alleviated by the wide range of exempt goods and services, such as

Manal Abdel Samad Najd

With over 27 years in taxation, financial policy, and public administration, she has specialized in tax policy and international tax agreements, contributing to major tax reforms in the Middle East and GCC. As a Senior Tax Advisor for a Big Four firm, she played a key role in regional Giga projects. She served as the Lebanese Minister of Information, leading during crises like the COVID-19 pandemic and the Beirut explosion. She is a recognized academic, speaker, and advocate for women's empowerment and human rights, honored by the International Human Rights Commission

1 comment

Alexandra HS Zanattini April 15, 2018 - 1:46 PM

“and there remains room for increasing it without hindering its efficiency, according to the IMF’s 2017 report on Lebanon.” Really IMF?

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VAT rises from 10 to 11 percentENAR

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VAT rises from 10 to 11 percent
EN AR