UAE Taxation
UAE Taxation
- What is VAT?
Value Added Tax (VAT) is an indirect tax levied on the consumption of goods and services at each stage of the supply chain. In the UAE, VAT was introduced at a standard rate of 5% on January 1, 2018. Businesses meeting the required revenue threshold must register for VAT and comply with Federal Tax Authority (FTA) regulations.
At TaxAkounting, we provide a complete range of VAT services, ensuring businesses and individuals comply with UAE tax laws while optimizing their financial efficiency.
Our VAT Services
- 1. VAT Registration. AED 99/-
Why is VAT registration important?
Businesses earning over AED 375,000 annually must register for VAT, while those earning between AED 187,500 and AED 375,000 can voluntarily register. Non-compliance can lead to penalties.
Our Service Includes:
- Assessing VAT eligibility
- Preparing and submitting the VAT registration application
- Guidance on VAT laws and compliance requirements
- Assistance with Tax Registration Number (TRN) issuance
Required Documents:
- Trade license copy
- Passport & Emirates ID of owner(s)
- Memorandum of Association (if applicable)
- Bank account details
- Last 12 months’ turnover records
- 2. VAT Consultancy
Why choose VAT consultancy?
VAT laws are complex and require professional expertise to avoid penalties. Our VAT consultancy service provides tailored tax strategies to help businesses comply with regulations and optimize VAT liabilities.
Our Service Includes:
- VAT compliance guidance
- Business impact analysis
- Tax planning and risk assessment
- Industry-specific VAT solutions
Required Documents:
- Business financial records
- Previous VAT returns (if applicable)
- Company registration details
- 3. VAT Tax Return Filing
Why is VAT filing necessary?
Registered businesses must file periodic VAT returns to the FTA, detailing taxable supplies, VAT collected, and input tax claims. Incorrect filings may result in heavy fines.
Our Service Includes:
- Preparing VAT returns as per FTA regulations
- Ensuring accurate input and output tax calculations
- Submitting VAT returns on time
- Guidance on tax payments and refunds
Required Documents:
- Sales and purchase invoices
- VAT invoices and receipts
- Tax credit notes (if any)
- Bank statements
- Last 12 months’ turnover records
- 4. VAT De-Registration
Who needs VAT de-registration?
Businesses that cease operations or fall below the VAT threshold may apply for VAT de-registration. Failure to deregister on time can lead to fines.
Our Service Includes:
- Evaluating VAT de-registration eligibility
- Preparing and submitting de-registration applications
- Ensuring final VAT settlements are completed
- Liaising with the FTA for approvals
Required Documents:
- VAT registration certificate
- Business closure documents (if applicable)
- Latest VAT returns and tax liability records
- 5. VAT Audit
Why is VAT audit important?
FTA audits are conducted to ensure VAT compliance. A VAT audit can help businesses identify risks, avoid penalties, and maintain accurate financial records.
Our Service Includes:
- Internal VAT audits to ensure compliance
- Identifying errors in VAT records and filings
- Preparing for FTA audits
- Risk assessment and tax efficiency improvements
Required Documents:
- Company VAT records and financial statements
- Tax invoices and receipts
- Previous audit reports (if applicable)
- 6. VAT Refund
Who is eligible for a VAT refund?
Businesses that pay excess VAT or have input tax credits may be eligible for refunds. Special refunds are available for tourists, foreign businesses, and certain industries.
Our Service Includes:
- Assessing VAT refund eligibility
- Preparing and submitting VAT refund claims
- Ensuring compliance with FTA refund policies
- Following up on refund status
Required Documents:
- VAT registration certificate
- Proof of VAT-paid expenses
- Tax invoices and refund application form
- 7. VAT Clearance Certificate
What is a VAT Clearance Certificate?
A VAT Clearance Certificate is issued by the FTA to confirm that a business has no outstanding VAT liabilities. It is often required for business closures, ownership transfers, or government transactions.
Our Service Includes:
- Reviewing tax compliance history
- Preparing and submitting VAT clearance requests
- Ensuring outstanding tax dues are settled
- Obtaining the certificate from the FTA
Required Documents:
- VAT registration and tax records
- Business closure or transfer documents
- Latest tax return filing details