This Public Clarification outlines the UAE VAT treatment for barter transactions where goods or services are exchanged as non-monetary consideration. It confirms that barter involves at least two separate supplies, each subject to standard VAT rules. The clarification details the special valuation rules stipulated in Article 34 of the VAT Decree-Law, establishing that the value of the supply is the market value of the non-monetary consideration received. It also references Article 25 of the Executive Regulation for determining market value and confirms that both parties must issue tax invoices for their respective taxable supplies.