VAT Services in Dubai, UAE

VAT Registration Dubai – UAE

VAT registration is necessary for businesses in Dubai, UAE, whose taxable supplies and imports exceed AED 375,000 per annum. Businesses can also voluntarily register for VAT if their taxable supplies and imports exceed AED 187,500 per annum. Our VAT registration services help businesses manage the registration process and ensure assent with the UAE’s VAT laws. Our VAT registration services include:

• Thorough understanding of basis: Wondering if your business meets the necessary VAT registration limit? We’ll help you determine your eligibility, making sure you fulfill all requirements and avoid fines.
• Comprehensive documentation assistance: Our experts provide personalized support in preparing the necessary documentation for VAT registration, assuring accuracy and completeness.
• Seamless application submission: Save time and effort as we handle your VAT registration application process keenly, following the instructions provided by the Federal Tax Authority (FTA).
• Ongoing support: Our commitment doesn’t end with registration. We provide constant support, making sure you have a clear understanding of your VAT charge and offering advice whenever needed.

VAT Deregistration In UAE

VAT Deregistration is an important process for companies and individuals in the UAE who wish to cancel their VAT registration and suspend their Tax Registration Number (TRN). The Federal Tax Authority (FTA) manages the online procedure for VAT deregistration, our VAT deregistration services can help.

It is crucial to note that only businesses and individuals registered under the FTA can initiate the process of VAT deregistration. Failure to comply with the timely deregistration requirements can result in a penalty from the authority.

There are specific circumstances under which a business or individual must apply for VAT deregistration in the UAE:

• If the entity or individual ceases to make taxable supplies and does not anticipate any taxable supplies within the upcoming 12-month period, they are obligated to apply for VAT deregistration.
• If the entity or individual is still engaged in making taxable supplies, but the value of those supplies in the preceding 12 calendar months falls below the Voluntary Registration Threshold (AED 187,500), VAT deregistration must be pursued.
• In cases where the entity or individual is still involved in taxable supplies, but the value of those supplies in the previous 12 months is below the Mandatory Registration Threshold (AED 375,000) and 12 months have passed since the date of voluntary registration, VAT deregistration can be sought.
• It is important to note that individuals who have voluntarily registered for VAT cannot apply for deregistration within 12 months from the date of registration. Non-compliance with this requirement incurs a late VAT deregistration penalty from the authority.

VAT Return Filing in Dubai – UAE

VAT return filing is a critical aspect of VAT compliance for businesses in Dubai, UAE. Our VAT return filing services help businesses prepare and submit VAT returns at the end of each tax period. We ensure accurate analysis of supplies, purchases, and VAT liabilities, helping businesses fulfill their reporting obligations to the Federal Tax Authority (FTA). Our VAT Return Filing services include:

• Submission of Required Information: The necessary information is gathered and submitted for the VAT return filing process.
• Document Examination: Our team thoroughly examines the supporting documents to ensure they meet the required standards and guidelines.
• Evaluation of Any Discrepancies: If any discrepancies or errors are identified during the examination, we assess them and provide recommendations for remedial actions.
• Review for Remedial Actions: We review the recommended actions and implement them promptly to address any identified concerns or vulnerabilities in your control procedures and systems.
• The VAT Return Has Been Filed: After completing the necessary steps, we file the VAT return on your behalf, ensuring its accuracy and timely submission.
• Regular Follow-ups: We conduct regular follow-ups to ensure compliance and address any additional needs or queries that may arise.

The Importance of VAT Returns Filing in the UAE:

VAT return filing holds significant importance for registered firms in the UAE. It serves as the official tax statement submitted to the Federal Tax Authority before the due date. Filing VAT returns regularly not only confirms your business’s operations but also offers legal certainty and benefits during the tax payment process. It helps prevent revenue loss and ensures assent with tax laws.

Penalties for Failure to Submit and Pay VAT Returns in the UAE:

Non-compliance with VAT return submission and payment deadlines can result in penalties. These penalties include a first-time delay penalty of AED 1000, a repetitive noncompliance penalty of AED 2000 within 24 months, and an immediate 2% penalty on the next day after the payment deadline for any unpaid tax. The tax authorities impose a monthly penalty of 4% until the tax is paid. Outstanding amounts beyond one calendar month are subject to a penalty of up to 300 percent.

VAT201 – VAT Return:

Taxpayers in the UAE perform VAT return filing online through the FTA’s website. Presently, offline filing is not permitted. Qualified businesses utilize the VAT 201 form for filing returns. After entering the FTA site, VAT registrants must verify the VAT 201 form. Certified tax agents in Dubai can also file tax returns on behalf of taxable individuals, ensuring compliance with the VAT laws.

VAT Refund Dubai

If your input VAT exceeds the output VAT during the VAT return submission, you may be eligible to request an FTA VAT refund. Input VAT refers to the tax paid on purchases of goods and services by a business or taxable person in the UAE. A business or taxable person collects output VAT as the tax on sales made. If your business is paying more tax than it is collecting from clients, you have the opportunity to claim an FTA VAT refund in the UAE.

VAT Refund in the UAE:

When it comes to handling excess input VAT, commonly referred to as a VAT refund, taxpayers have two options:

• Requesting a VAT Refund: If you choose this option, you can apply for a refund of the excess input VAT amount. Our team can assist you in navigating the process and ensuring a smooth and successful VAT refund application.
• Carrying Forward Excess Recoverable Tax: If you decide not to request an immediate refund, you can carry forward the excess recoverable tax to subsequent tax periods. You can then use this amount to offset against payable tax and/or fines. Additionally, you can apply for a refund at any point in the future if desired.