VAT Registration

DO YOUR BUSINESS NEED A VAT REGISTRATION ?

VAT Registration is mandatory for companies and individuals doing businesses in the UAE, having an annual turnover of more than AED 375,000/-. VAT is implemented in the UAE from 1st January 2018 and companies / individuals coming under above threshold limit of AED 187,500 can apply for voluntary registration as per by VAT law. The business activity conducted regularly or on an ongoing basis, e.g. industrial, commercial, professional, trade, etc. needs to be registered in order to pay and claim back any VAT.

We would like to inform you that the Federal Tax Authority (FTA) has opened the link for registration under the VAT law. VAT registration will need to be done through the FTA Online Portal via link below. Before proceeding for VAT registration, the applicant should consider weather to register as a Tax Group or a single entity etc. To proceed with VAT Registration please click https://eservices.tax.gov.ae/en-us/

HOW YOUR COMPANY GET A TAX REGISTRATION NUMBER (TRN)?

A Tax Registration Number (TRN) is a government-issued identifier that only applies to companies that pay or claim VAT. If you conduct business within a country that requires registration, then you should get a Tax registration number. You may also have to charge VAT to your customers. The Tax Registration Number has to be requested from the FTA in UAE. Once a company is registered for VAT in UAE, it will have to file VAT returns on a regular basis or as set by authority. This can be a complicated procedure and often has to be in the local language, So it should be done through experienced VAT consultants or VAT advisors.

Steps for VAT registration in UAE

Before applying for VAT Registration, below mentioned documents are required in soft copy to proceed with the VAT registration process

  •  Authorized signatory or company owner identity documents e.g. passport copy, Emirates ID, Visa page
  • Trade license with certificate of incorporation, article of association  
  • Power of attorney (notarized by UAE courts).
  • Description of business activities
  • Turnover for the last 12 months in AED
  • Supporting document for 12-month sales
  • Expected turnover in next 30 days
  • Estimated value of imports for one year 
  • Custom registration number if registered 
  • Estimated value of exports for one year
  • Supporting documents for customs registration in each Emirates if applicable.
  • Details of Bank Account

VAT registration means

  • Register for VAT in the  country where the business activity takes place.
  • Assess (charge) VAT on the invoices issued to the customers.
  • Reclaim VAT incurred from the UAE vendors
  • Declare the VAT to the Federal tax authorities through a VAT filing, and pay the difference of the collected and paid VAT.

Before applying for VAT Registration, below mentioned documents are required in soft copy to proceed with the VAT registration process