This UAE VAT Public Clarification VATP047 clarifies the scope and application of Cabinet Decision No. 153 of 2025, which introduced the reverse charge mechanism on supplies of Metal Scrap between Registrants with effect from 14 January 2026. Metal Scrap means ferrous or non-ferrous metal waste with commercial value that is useable following Processing; other scrap materials follow normal VAT rules. The Recipient accounts for the Due Tax where it intends to resell or process the scrap, provided written declarations are given and the supplier verifies registration. Direct and Indirect Exports are excluded, and failure to meet the conditions denies Input Tax recovery.