Tuesday 18 December 2018

Registration for VAT continues says UAE authority

ABU DHABI, January 7, 2018

The UAE Federal Tax Authority (FTA) has urged the business sector to complete the registration requirements for Value Added Tax (VAT) purposes, commending the commitment and high turnout in the registration process.
The FTA confirmed that the registration process is continuing and businesses that had not registered to date should register immediately to avoid fines and legal proceedings, a Wam news agency report said.
It also urged natural and legal persons doing business in the UAE with taxable supplies and imports of goods and services that exceeded Dh375,000 over the previous 12 months or coming 30 days to register for VAT.
Taxable supplies are identified as all supplies of goods and services made that are not exempt, as well as imports of goods and services.
The authority stressed the importance of completing all registration requirements, and obtaining a tax registration number, TRN, as well as to carefully review it and ensure its flawlessness before submitting, as faulty data could lead to the rejection of the application.
Businesses are required to validate their entitlement to request for an exception from VAT registration, which means that all their supplies must be zero rated, if not, the application will be sent back to registrant for amendments, which might delay the process of receiving a TRN, the report said.
Registration is available 24/7 through the Federal Tax Authority’s website. Businesses are required to visit the official website, select the e-Services portal, sign up and create an account.
Meanwhile, the UAE Ministry of Economy (MoE) and FTA have launched an integrated programme to facilitate the implementation of VAT to protect consumers’ rights and prevent profiteering.
The announcement was made at a meeting held at the ministry’s headquarters attended by Mohammed Ahmed bin Abdul Aziz Al Shehhi, Under-Secretary of the Ministry of Economy; Khalid Al Bustani, Director-General of the FTA; and representatives of the economic development departments and other entities responsible for protecting consumer rights in the country.
Preventing businesses from taking advantage of the introduction of the VAT to increase prices was the main subject on the agenda. The meeting concluded with the adoption of an integrated programme that will allow FTA and the ministry to cooperate with other authorities to detect tax violations and take the required measures against violators, as well as to educate consumers about their rights.
The framework includes joint awareness campaigns on taxable and exempt products, as well as requirements for invoices issued by shops and outlets offering taxable services.
Meanwhile, a cooperation agreement between the FTA and economic departments was signed during the meeting to monitor markets and allow inspectors in these agencies to verify the authenticity of TRN printed on invoices and coordinate regarding violations to take the necessary actions.

Tags: UAE | tax | VAT |

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