Whether you own a small, medium, or established large business, you need to get registered for VAT in UAE under the Emirati VAT law. Registering your business under the UAE VAT law denotes that your business is recognized by the Government. VAT registration in UAE for your business entity will depend on the income generated from your business. CDA Accounting and Bookkeeping Services LLC is one of the leading consultancies in UAE, which offers outstanding VAT registration services in Dubai addition to VAT deregistration, VAT accounting, VAT return filing, etc.
If you are a business owner in UAE you need to get your business registered under the VAT law that has come on effect from 1st January 2018. Once a company is registered for VAT in Dubai, it must file VAT returns on a regular basis or as set by the authority.
VAT Registration is mandatory for companies and individuals doing businesses in the UAE if the annual turnover is more than AED 375,000/-.
The VAT registration processes in Dubai involve:
Basically, a business can opt for any of the two types of VAT registration in UAE:
It is mandatory that a business must register for VAT:
The threshold for mandatory registration of a business is AED 375,000. But this threshold is not applicable to foreign organizations.
A company may opt for Voluntary Registration:
The threshold for voluntary registration of a company is AED 187,500.
As per the Federal Decree-Law No. (8) of 2017 on Value Added Tax, to determine whether a person has exceeded the Mandatory Registration Threshold and the Voluntary Registration Threshold, the following details will be considered:
Two or more persons running businesses may apply for Tax Registration as a Tax group in UAE based on the following conditions: -
The following categories of supplies will be exempt from VAT:
The registration for VAT in UAE is an online process that can be done through the VAT registration portal available on the website of www.tax.gov.ae.
Once the application is submitted, the FTA will review the information and documents submitted and approve the application if everything has met the requirements, and it will allow a Tax Registration Number (TRN).
Once the VAT registration process is over, the Ministry of Finance will issue a VAT certificate which is an official confirmation from the authority that the business is registered under the VAT Law in the UAE.
Any company that fails to finish the VAT registration process under the deadline set by the Federal Tax Authority or if the company fails to submit registration after crossing the manual threshold limit is liable to pay a fine of AED 20,000.
Experts observe that the introduction of VAT in UAE will bring long-term benefits to the country's economy and business owners. The significant reasons why VAT registration in Dubai is considered important include:
CDA has been playing a significant role in dealing with the accounting and taxation services for business entities regardless of its size. The CDA experts are chosen because they are perceptive of the procedures of the VAT. They know the right decorum to be followed for the UAE VAT registration. That is why CDA is the first choice to be considered by the companies with regard to VAT Registration in the UAE. CDA not only provides VAT registration services in Dubai but also provides all kinds of VAT related services to help small, medium, and large-sized businesses grabbing maximum profit.
We recognize the importance and need for VAT Services for every business entity in the UAE, and deliver a wide range of VAT services, which include: -
CDA provides a wide range of business services that include CFO Services, Auditing Services, Accounting & Bookkeeping Services, Accounting Software services, Due Diligence Services and Tax filing Services.
If you have any queries regarding VAT Registration in UAE or about your current business, feel good to discuss with us. CDA is there for your assistance!
Our expert will give you one-hour Free Consultation to keep your reservations away!
The above-mentioned person will have to register for VAT if supplies of Goods/Services are made and no other person is obliged to pay the due tax in the UAE on these supplies.
In case of Mandatory Registration, the person must apply for tax registration within 30 days of being required to register.
More than one TRN is not allowed for a business conducted in UAE.
Yes, it is possible for those taxable persons whose supplies are zero-rated. The request for the same should be submitted to the authority.
If the capital asset belongs to the person, the supply of the asset is not liable for any registration threshold.
Yes. The following cases could be the reasons for refusal:
Sale of the asset by a VAT registrant would be treated as a taxable supply and hence subject to standard rate VAT, excluding assets that are exempt. But, if the assets or business is sold to a taxable person as a going concern, it is not eligible for VAT.
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