Abu Dhabi
Value Added Tax (VAT) has been introduced in the United Arab Emirates for the first time, the BBC News reported on Monday.
The 5% levy is being applied to the majority of goods and services.
The Gulf state has long attracted foreign workers with the promise of tax-free living, but the government wants to increase revenue in the face of lower oil prices.
It estimates that in the first year, VAT income will be around 12 billion dirhams (£2.4bn; $3).