How to Apply for VAT Registration in UAE

How to Apply for VAT Registration in UAE

Applying for VAT registration involves two simple steps. In the first step, you need to create an e-Services account. In the next and last step, you login to your new e-Service Account and complete the VAT registration process.

1. Creation of e-Service Account
2. VAT Registration Process

Here’s a step by step guide to help the new taxpayers with successful completion of the VAT registration process:

Creation of e-Service Account

An FTA approved e-Service account is the prerequisite for online VAT registration. FTA authorized e-Service account are as easy to set up as other online accounts like Gmail, Yahoo, Facebook. For opening an e-Service account visit ‘https://eservices.tax.gov.ae’ and follow the steps below:

  • Click on Sign up and carefully fill in the details such as e-mail Id, password, security code and security question in the form on your device’s screen.
  • After completing and submitting the form, an automatic email will be sent to your registered email id.
  • Log in to your account with your credentials (User Name and password)

VAT Registration Process

The VAt registration process starts once you login to yours.The step by step details on how to complete the VAT registration process in UAE is as follows: Read More

UAE Tax Authorities Introduced VAT Roadshow

UAE Tax Authorities Introduced VAT Roadshow

The Federal Tax Authority (FTA), UAE has introduced a roadshow in order to assist business who are not registered yet under the ambit of value-added tax (VAT) and render a profit of the exemption provided by the FTA up to April 30.

These new initiatives will start in all seven emirates with the help of economic departments and municipalities until April 24, as mentioned by the FTA.

Click here to know about the Vat Registration

During the roadshow, FTA tax analysts, representatives and experts in regard of tax registration will run workshops and seminars in order to aware taxable businesses about the three-stage registration procedure, which hardly takes up to 20 minutes to complete the process. Read More

Who Should Register Under VAT?

Who Should Register Under VAT?

The value-added tax (VAT) is a consumption-based tax system which was introduced in the UAE and Saudi Arabia. The UAE VAT is applicable on certain goods and products at the standard rate of 5 per cent. VAT is paid by businesses while making a taxable supply and it is ultimately borne by the end consumer.

The UAE businesses, which cross the VAT threshold (mandatory or voluntary), need to acquire VAT registration with the FTA (Federal Tax Authority) before the deadline of April 30, 2018. Continue reading to know more about the types of VAT UAE registration, threshold, deadline, eligibility and more. Read More

Federal Tax Authority (FTA) to Get Tough on VAT Evaders in UAE

Federal Tax Authority (FTA) to Get Tough on VAT Evaders in UAE

As on the 100th day of VAT launch, around 275,000 companies and people were registered under VAT, which is about 98.8 per cent of the companies which were obliged to get VAT registration. This effectively puts UAE VAT at number one in the world in terms of VAT compliance ratio.

The 100 days of VAT were quite satisfactory. Out of the total registration applications received, 14,402 companies were asked to re-apply while 2,160 applications are still needed to be reviewed by the tax authority. As for the tax agent exam, 77 tax agents cleared it while 56 are currently working on fulfilling registration requirements. 21 tax agents are currently registered for the UAE.

In terms of customer support, more than 100,000 phone calls were answered and over 70,000 emails were replied during the first 100 days. Read More

UAE Government May Soon Limit VAT only to making charges of Jewellery

UAE Government May Soon Limit VAT only to making charges of Jewellery

At present, the 5% VAT is applicable to the entire jewellery piece, including the cost of labour and the cost of item itself. The gold and jewellery industry leaders are in talks with the UAE government to limit the applicability of value-added tax (VAT) only to the making charges in order to reduce the product cost. The newly launched tax regime has reportedly decreased the market value as well as the demand for gold jewellery.

The group which included some of the reputed industry seniors, including Chandu Siroya, vice-chairman, Dubai Gold and Jewellery Group (DGJG), approached the government with the issue. Siroya said that the group has requested that the government levy VAT only on the labour component and exempt the actual material cost.

“We are talking to different sources in the government and we are very hopeful about the positive outcome of it. The government will find some solution for us… And we will go back to become a preferred choice,” said Siroya.

Since VAT is a value-added tax, it should be levied only on the value-addition (through making) of the jewellery. If that happens, sales of gold jewellery may again spurt in the UAE market. An increase in the demand for gold jewellery was recorded just before the VAT implementation, which was to avoid paying the increased cost.

“What is important for us is to remain competitive as an industry globally. Even though the underlying value of metal is quite significant, the actual margins are very small. So even 5 per cent VAT can make a big difference. So we and DGJG have made representation on how VAT regime could work and these discussions are ongoing at the moment,” said Gautam Sashittal, CEO, Dubai MultiCommodities Centre (DMCC). Read More

Key Points to Know About VAT Registration in UAE

Key Points to Know About VAT Registration in UAE

The VAT (value added tax) has been successfully launched in UAE with the last date for registration extended up to April 30, 2018. All eligible businesses in the country must ensure that they are registered for the VAT and follow the regulations. The FTA (Federal Tax Authority) has also recommended that all businesses get equipped with the key facts on registering for VAT. This article shares all the things a UAE business/person needs to know about VAT registration.

The information and complete guidelines along with revised laws and regulations are also available on the FTA website. The guideline intends to educate businesses in the country with the process of calculating the VAT, outline the obligations of various parties and explain the registration steps and procedures.

VAT Registration – Things You Should Know

Businesses with annual turnover less than Dh375,000 are not mandatory to register for tax

It is mandatory for UAE businesses to register for VAT only if their taxable supplies over the last 12 months exceed Dh375,000. The voluntary registration threshold is Dh187,5000. Businesses with turnover less than this cannot register for VAT and do not have to get a tax registration number (TRN). Read More