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Guide on How to Apply for VAT in the UAE
With the introduction of Value Added Tax (VAT) in the UAE in 2018, the business compliance landscape has significantly changed. Applying and managing VAT is a vital component of running a successful business in the region. However, dealing with tax matters can often be complex and time-consuming. That’s where Choose UAE comes in. Our dedicated team of tax professionals will guide you through the entire process of how to apply VAT in UAE, ensuring you are fully compliant with the UAE’s tax regulations.
How to Apply for VAT in the UAE
Step 1: Assess Your Need for VAT Registration:
At Choose UAE, our first step is to help you understand whether VAT registration is necessary for your business. As of my last knowledge update in September 2021, businesses in the UAE must register for VAT if their annual turnover exceeds AED 375,000. However, businesses with a turnover below AED 375,000 and above AED 187,500 can voluntarily register for VAT.
Step 2: Gather Required Documents:
The VAT registration process requires a specific set of documents, including trade licenses, copies of Emirates ID and passports of all partners, memorandum and articles of association, bank account details, an income statement for the last 12 months, details of business activities, and information about any GCC activities. At Choose UAE, we help streamline this process, assisting in collecting, verifying, and preparing all necessary documents.
Step 3: Establish an e-Services Account on the FTA Website:
Registration for VAT starts with creating an account on the Federal Tax Authority’s (FTA) e-Services portal. This portal is where you submit your VAT application. At Choose UAE, we handle this process for you, creating your account and ensuring you have access to the necessary services.
Step 4: Fill Out the VAT Registration Form:
Within the FTA e-Services account, we’ll complete the VAT registration form on your behalf. The form is comprehensive and requires careful attention to detail, with sections ranging from the applicant’s details to business relationships and banking details. Our team of experts meticulously fills out this form, ensuring complete and accurate data.
Step 5: Review and Submit the VAT Registration Form:
Once we’ve filled out the form, we thoroughly review it to avoid any errors that could lead to delays in the application process. Choose UAE will make sure that all the information is correct and complete before submitting the form on your behalf.
Step 6: Follow Up with the FTA:
After the VAT registration form is submitted, the FTA takes approximately 20 working days to process the application. During this period, Choose UAE stays in contact with the FTA, handling any additional queries they may have and keeping you updated about the status of your application.
How Can Choose UAE Help
Applying for VAT in the UAE can be a daunting task. But, with Choose UAE, it doesn’t have to be. Our goal is to ensure your VAT application process is smooth, efficient, and stress-free. By entrusting your VAT application process to Choose UAE, you’ll have more time to focus on what you do best – running your business.