Abu Dhabi, January 7, 2018:The Federal Tax Authority (FTA) has urged all business sectors to complete their registration 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 that other businesses who did not register to date should register immediately to avoid fines and legal proceedings. As per the FTA, all natural and legal persons having businesses in the UAE, with taxable supplies and imports of goods/services exceeding AED 375,000 over the previous 12 months or coming 30 days, must register for VAT. Taxable supplies are defined as all supplies of goods/services made that are not exempt, as well as imports of goods and services.
The FTA also 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 incorrect/incomplete data could lead to the rejection of the application.
Businesses are also 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 the registrant for amendments, which might delay the process of receiving a TRN.
Registration is available 24/7 through the FTA’s website. Businesses are required to visit the website www.tax.gov.ae, select the e-Services portal, sign up, and create an account. Once the email has been verified, they can log in and register.
The FTA has called on businesses to provide accurate information, and make sure they enter it properly into the application form. To complete the registration process, scanned documents must be attached, including the business or trade license, passport/Emirates ID (for UAE residents) of the manager or owner of the business, and the authorized signatory (if the signatory is not the manager him/herself), as well as proof of authorization for the manager or signatory (e.g. articles of association, power of attorney attested by notary, etc.).
More information can be found in the Legislation and Guides sections, on the FTA website.