How VAT and Designated Zones are related ?
Designated Zones are areas where VAT is not applicable. These zones are recognized as excluded from the state of UAE for the purposes of VAT. Conditions for designated zone > It must be a specific fenced geographical area. > Entry and exit of movement of goods and individuals to and from must be under […]
All you need to know about Tax Invoices- VAT in UAE
As a VAT registered person, it is required to issue a Tax Invoice, which states the details of all taxable supplies that has been made. In order to dictate the date of supply and determine the tax period in which the output tax should be accounted for, a tax invoice must be issued. What […]
Keep your records safe FTA might call out a Tax Audit
The Federal Tax Authority can examine the records required to be preserved by a taxable person to verify a person’s VAT liability, known as the Tax Audit. FTA will give notification before the Tax Audit. Tax Audit is done in order to ensure that, the correct declaration has been made by the taxable person on […]
How Can I Claim VAT Refund for New Residence
If you are planning to own a home, then it is important to know about the requirements set by the Federal Tax Authority to process a VAT refund for a new residence. What are the criteria for claiming a VAT refund for a new residence? You must be a UAE national The capital under […]
Be aware of record keeping in VAT and avoid troubles
Even though UAE businesses have maintained records and accounts in the past for internal references after the introduction of VAT record keeping is made mandatory. The law says that every VAT registrant must maintain accounts and records for a specific period of time so as to avoid penalties. It is required to maintain the records […]
Get an idea about taxable supplies in UAE
The VAT legislation in UAE has defined taxable supplies as “supply of goods or services for a consideration by a person conducting business in the UAE, and does not include exempt supplyâ€. Thus taxable supplies will be either subjected to the standard rate or zero rates of VAT. If it is an exempt supply then […]
Want a VAT refund? Read this:
Who can claim a VAT refund As per the federal tax authority, it is required that every taxable person must file a VAT return which summarizes the VAT due for the tax period. In cases where the input tax is greater than the output tax on a VAT return, then the taxable person can claim […]
What are the penalties related to VAT?
Are you worried about the penalties related to VAT for errors such as late filing of returns and incorrect collection of taxes from your customers? Such worries are quite natural and the authorities are making all efforts to ease your difficulties in adjusting to the new system. If you have doubts, it is always […]
Have a single VAT registration by forming a “TAX GROUPâ€
The government of UAE has given provision for businesses to register under a single tax group if each members are related to the other to a sufficient extent. This tax group will be treated as a single taxable person by the FTA. In order to form a tax group : Each member must be […]
Are you aware of Reverse Charge Mechanism in UAE VAT?
If you import goods or services from outside the GCC countries Reverse Charge Mechanism is applicable in UAE. As a registered supplier making a taxable supply, you need to charge VAT and pay the same to the government. But, in the case of Reverse Charge Mechanism, the responsibility of paying taxes is shifted from the […]