Which of the following is a zero-rated supply under the VAT Act?
ABasic food items
BNon-oil exportsCORRECT
CMedical services
DTuition relating to nursery education
ICANTaxationValue Added Tax2023
AI
Toaster Teacher
Why the answer is B, and why the others tempt you.
Non-oil exports are zero-rated, so no output VAT is charged but input VAT remains recoverable. Basic food, medical services and educational tuition are exempt, which means input VAT on them is not recoverable.
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