VAT Registration in Dubai

VAT Registration Services in Dubai, offered by Vista Corporate Group, streamline the process for businesses navigating the intricate landscape of Value Added Tax (VAT). Our expert team ensures seamless compliance with the UAE's VAT regulations, guiding businesses through the registration process efficiently and accurately.

Vista Corporate Group offers expert VAT Registration Services in Dubai, ensuring businesses seamlessly comply with the UAE’s VAT regulations. Our dedicated team simplifies the registration process, guiding clients through eligibility assessments, document compilation, and submission procedures. With meticulous attention to detail and in-depth knowledge of local requirements, we streamline the VAT registration journey, allowing businesses to navigate regulatory complexities confidently.

Documents Required for VAT Registration in Dubai

  • Copy of passport or Emirates ID
  • Copy of the company’s trade license
  • Company’s Certificate of Incorporation
  • Company’s Certificate of Articles of Association
  • Company’s Certificate of Power of Attorney
  • Business activities description
  • Turnover in AED for the past 12 months
  • Documents supporting sales over the last 12 months
  • Expected turnover in the next 30 days
  • Anticipated import value for a year from all GCC countries
  • Estimated export value for a year to all GCC countries
  • Confirmation of dealing with GCC suppliers or customers
  • Documents supporting customs registration in the Emirates if applicable
  • Bank account details for verifying if the tax is being paid from a legitimate source.

Value-Added Tax Registration in UAE

Add VAT to The Cost of Goods and Services

You need to add 5% to the cost of the goods and services asVAT unless exempted.

Offset the VAT They Paid on Purchases (Input Tax Credit) Against the VAT They Owe on Sales

The amount you pay in form of Input Tax and the credits thereof can be offset against the VAT owed on sales.

Pay the VAT Amount to The Government

You can pay the VAT amount to the government in various ways such as eDebit, Local / International Bank Transfer, Credit Card or e-Dirham card.

Regularly Submit VAT Returns.

Ensure VAT is paid within specified timelines to avoid any penalties. Also the payments towards VAT are applied to the oldest outstanding amount first.

VAT Registration Process in Dubai

To register for VAT in Dubai, businesses and individuals providing taxable products and services need to meet specific criteria.
There are two processes for VAT registration:

Mandatory Registration

Required for all businesses if the total value of taxable supplies and imports in the last 12 months exceeds the minimum registration threshold.

Also mandatory if a company expects the total value of taxable supplies and imports to exceed the registration threshold within the next 30 days.

Voluntary Registration

A business can choose voluntary registration if it meets the mandatory registration criteria.
Voluntary registration is applicable if the total value of taxable supplies, imports, or taxable expenses in the past 12 months exceeds the voluntary registration threshold, which is AED 187,500.

Penalty for Non-registration of VAT

If a company doesn’t complete VAT registration within the specified time or fails to register after exceeding the manual threshold, they face a penalty of AED 20,000.

The Exempted Businesses for VAT Are

  • Residential properties.
  • Undeveloped land.
  • Local passenger transportation.

A Value Added Tax Certificate Consists of Basic Information Such As

  • VAT Registration Number
  • Date of VAT registration
  • Issue Date
  • Address of the registered entity
  • First VAT return period
  • VAT return due date
  • Start and end dates of tax periods

Why VAT Registration Is Important

Boosts Business Profile: Registering for VAT enhances a company’s reputation.
Prevents Penalties: Avoids unnecessary fines by complying with registration requirements.
Facilitates VAT Refunds: Allows businesses to claim VAT refunds.
Expands Market Opportunities: Opens up wider possibilities in the market.

VAT Return

For businesses registered under VAT in the UAE, filing VAT returns is a must. They need to provide information about both input VAT (what they pay to suppliers) and output VAT (collected from sales) during a specific period. If the output VAT is more than the input VAT, the business needs to pay the difference to the Federal Tax Authority.

VAT is changed at a flat 5% rate.

VAT registration is required for the businesses whose annual turnover exceeds the mandatory registration threshold of AED 375,000.

Businesses with annual income under AED 375,000 can choose to voluntarily get registered for VAT.

Submitting a application form along with required documents will get the VAT certificate to you.

Get in touch with us so that we can discuss the whole list of documents with you and clear your doubts if you have any.

Expenses made for incurring taxable supplies can be set off against by filing VAT returns.

In the UAE primary authority is The Federal Tax Authority (FDA) who will provide the information. Alternatively a VAT consultant is a better choice as tax advisors can offer you dedicated support in VAT-related matters.