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Are products purchased/sold at auctions subject to VAT (e.g., second-hand/amortized machines or cars)?

It depends on the nature of the sale. If the seller carries out an economic activity, VAT applies. If an individual sells a personal car, then it is not subject to VAT. If an intermediary manages the auction and charges a commission without owning the goods, then it is a service and the commission expense is subject to a VAT fixed rate.
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Last Update: 02 Dec 2025 01:16 PM Saudi Arabia Time

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