Article (1) — Definitions

Words and phrases mentioned in these Regulations shall have the same meanings as mentioned in the Value Added Tax Law issued by Decree-Law No. (48) for the year 2018. The following words and phrases shall have the meanings as ascribed to each of them unless the context requires otherwise: 1. Bad Debts: the amounts due to a creditor that are unlikely to be paid to him. 2. Means of Transport: any vehicle, ship or aircraft requiring a driver, pilot or crew, depending on the circumstances, which is intended for the transport of at least ten Persons or for carrying Goods on a commercial basis, where its main purpose is to carry out international transport, excluding any Means of Transport converted or used for recreational or personal purposes. 3. Finance Lease Agreement: A contract for the lease of assets under which the lessor transfers substantially all the risks and rewards relating to the ownership of an asset to the lessee. 4. Operating Lease Agreement: A contract for the lease of assets whereby the lessee benefits from the use of the asset for a specified period of time where, at the end of the lease period, the asset is returned to the lessor and the lessee does not bear any risk related to the ownership of the asset. 5. Telecommunications Services: Services relating to the transport, transmission, conversion or reception of signals used for the dissemination of words, images, audio or information by any kind of wire, radio and telephone Services, visual telephone Services, Voice over Internet Protocol (VoIP), voice mail, call waiting and other call management Services, internet access and roaming data, including related transmission Services or granting the right to use the ability to convert, transmit, receive or other similar means. 6. Electronic Services: Services provided over the internet or any electronic platform, and which operate in an automated manner with limited human intervention and which are impossible to complete without the use of information technology. 7. Healthcare Services: All preventative and basic medical Services a patient receives in hospitals, health centres, medical clinics and other medical facilities, but excluding Services provided by these bodies which are of a commercial or investment nature. 8. Education Services: Education Services provided by educational institutions licensed by the Ministry of Education or under its supervision, and which are provided directly to students through kindergartens, pre-primary, primary, secondary and higher education institutions. 9. Tourist: Any natural person who is not a resident of any of the Implementing States, and who is not a crew member of a flight or aircraft leaving the Kingdom. 10. Law: The Value Added Tax Law issued by Decree-Law No. (48) for the year 2018. scope and rate