The UAE’s Federal Tax Authority (FTA) in an attempt to smoothen operations of the newly implemented value-added tax (VAT) regime, has introduced a number of advanced UAE VAT compliance tools.
Some of them are…
- TRN Verification Service: The service was launched on the official website of the FTA. This would help businesses to cross-check authenticity of merchants and service providers as well as tax invoices issued by them.
- VAT Calculator: Individuals, as well as business firms, can now instantly calculate the VAT due on their purchases of goods or services.
VAT in UAE – Advanced Compliance Tools by the FTA
Moreover, this is just the beginning of a whole range of innovative and smart diverse electronic services that the FTA plans to start in upcoming months to make the functioning of the new tax regime smooth and simple.
The FTA in order to increase awareness for the new VAT rules held a seminar for individuals from sectors like customs and logistics. The seminar was a third of its kind and attended by almost 670 experts and stakeholders.
A detailed presentation by the FTA’s team highlighted the core mechanisms and structure of the newly implemented VAT regime. The seminar also stressed at the need for good cooperation and great coordination between the Authority and its strategic partners from the public and private sectors. The FTA aims at increasing voluntary compliance through such events and seminars.
Further, In an attempt to reduce administrative burden, the FTA announced that private firms and individuals require only TRN number for conducting business or commercial activities.
Counterparty’s Tax Certificates need not be presented for verification. Their TRN number is good enough to conduct business. Business firms with provisional TRN will not receive tax certificate until and unless they have received a final TRN.