How to update VAT registration information that has expired?
VAT has now been in place for almost a year and therefore most registered companies will have renewed their trade license since they first registered for VAT. The FTA requires information uploaded at the time of registration to be updated each year as it expires. This includes the trade licence and the passports and Emirates IDs of the company owners.
To start the amendment, click on the link on your FTA dashboard. Once you start an amendment you are prompted to re-enter your Emirates ID and passport even if the documents uploaded at registration are still valid. Then work your way through the amendment pages which follow the format of the initial VAT registration.
While the portal does not force you to update the annual turnover or upload your most recent year-to-date financial statements, several VAT experts suggest doing this as you need to certify on the last page that the information you are submitting is correct. Note the FTA request that the amendment is filed within five working days to avoid difficulties.
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Can I take on new orders without a TRN Number?
Once you have submitted your voluntary tax application on the FTA’s online portal you have to wait until they have reviewed the uploaded information and the registration is accepted before you can submit invoices with VAT included. Until that point, raise invoices that do not mention the words VAT or TAX and do not add VAT to the amount invoiced. Including VAT in the invoice is against the Decree Law and would result in fines and penalties if later identified during an FTA audit.
Between applying for your VAT registration and receiving your TRN, you should not lose customers, you just have to invoice them without VAT. However, as you don’t yet know the date you will received your TRN and the effective date of registration the FTA will give you, I suggest advising customers in advance that your invoice may or may not include VAT. If your customers are VAT registered, they should be indifferent to this as they can reclaim any VAT charged. Non-VAT registered customers will be most affected as they may get an invoice without VAT or pay 5 per cent more if you need to invoice them with the tax applied. What you want to avoid is raising invoices without VAT and the FTA backdating your registration to the start of the month. If that happens, you would have to account for the tax on the revenues already invoiced even though you have not charged it to your customers.
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What is GIBAN shown on my FTA tax page?
The GIBAN is a special bank account number created for every taxpayer by FTA to facilitate the payment of VAT via any UAE bank. You can add FTA as a beneficiary and use the GIBAN assigned to you as their IBAN (Account number). Now when you make a payment using this GIBAN to FTA, it will be credited to your account.
It is advisable that you check on the FTA site after 24 hours to ensure that the payment is reflected against your account. This can be viewed under Transaction History tab.
Who are the registered tax agents for UAE?
As of March 18, 2018, the FTA website lists the following tax agents. This list is subject to revision hence please visit the link below to view the updated list: https://www.tax.gov.ae/registered-tax-agents.aspx
Registered Tax Agents
|Tax Agent Name||Registered Date||Tax Agency||TAAN||TAN|
|Asad Zuhair Sado Abbas||13-02-2018||Asad Abbas & Co. (Chartered Accountants)||20029690||30003776|
|Yaser Yasin Darwish||15-02-2018||Da Gate Hub Management Consultancies||20010898||30002554|
|Younis Ali Almulla||15-02-2018||Almulla For Accounting & Tax Services||20019121||30001572|
|Jadd Shalak||15-02-2018||Averyx Management Consultancies||20038519||30004899|
|Majid Abdulrahman Alshaikh||15-02-2018||Majid Alshaikh Consultancy||20040937||30000970|
|Hamdan Zakaria Awda||20/02/2018||Hamdan Awda Chartered Accountants||20024600||30001481|
|Yasser Atiyyeh||22/02/2018||XB4 Solutions(Dubai Branch)||20013751||30000657|
|Hamad Abdulla Alshamsi||22/02/2018||Prestige Auditing L.L.C||20013249||30003271|
|Mohamed Mostafa Kamel Yousef El Agha||26/02/2018||Osol Al Khebra Accounting & Bookkeeping LLC||20044764||30001200|
|Anssar Mohammed Ahmed Siddiq||26/02/2018||Verify Accounting & Consulting||20031027||30003537|
|Muhanned Anbari||27/02/2018||Becker for Financial Solutions LLC||20038642||30004279|
|Fuad Ibrahim Muflih Alomari||27/02/2018||Al Khaleej Tax Consultancy L.L.C||20009221||30004766|
|Ahmed Maher Mohamed Hassanien||28/02/2018||Ahmed Hassanien and Co Auditing of Accounts||20013090||30003727|
|Ratheesh Mekkat||28/02/2018||Al Mithaq Tax Consultancy||20008090||30001259|
|Abdel Hameed Zaitoun||8/3/2018||Genome Consulting||20032520||30000640|
|Ahmad Wafi Kanafani||8/3/2018||Kanafani Tax Services||20001749||30000863|
|Ghassan S. M. Jamoos||11/3/2018||Al Zarooni Tureva Auditing||20036596||30000343|
Do business selling across the GCC register in each country?
A business selling across the GCC will only be required/entitled to register for VAT in another member state if the nature of its supplies of goods and services requires it to be (e.g. the place of supply is in another GCC member state and the reverse charge mechanism cannot be used).
Will there be group registration for companies in the GCC?
Based on the GCC Agreement, member states do have the discretion to implement VAT groups. The UAE and KSA laws indicate that grouping will be available for groups of legal persons established in these respective countries, depending on control requirements being met.
If only residents can be VAT registered, does this mean that offshore companies cannot be VAT registered?
There is a requirement for non-residents to register for VAT in the GCC, in the event that they need to pay VAT on supplies made by them in a GCC member state (e.g. the place of supply is in the GCC and the customer is not able to self-account for the VAT due under the reverse charge mechanism).
What do we know about the establishment VAT registration requirement?
If an entity has a Permanent Establishment (PE) for corporate tax purposes in a member state, then it is very likely to also have an establishment for VAT purposes in that country. The bar for a PE is arguably higher than that for having an establishment for VAT purposes. Where it is unclear which establishment of a legal entity (i.e. the head office or the PE) has made the supply then an analysis would be required as to the establishment most closely connected with the supply. Where such a PE is considered to be making taxable supplies, a VAT registration would be required.
What is the method of registration for VAT?
VAT registration is expected to be largely online. Additional documentation may be requested offline (likely to vary by GCC member state).
When to use your VAT number?
A customer VAT number will be needed to enable a supplier of goods and services to a recipient in another GCC country to invoice without VAT. In the long run, a portal to enable the checking of VAT numbers is expected to be made available.