Updated on May 25, 2022
In Dubai, United Arab Emirates, VAT registration: Keep yourself and your business informed about recent changes in UAE taxation regulations, including excise and value-added taxes. Now, this can be difficult, especially in light of the complexity of the law in general. Because of this, hiring an accountant is the greatest approach to ensure that your firm is up-to-date on tax rules.
If you want to register for VAT in Dubai UAE, you’ll need the help of a VAT specialist. I’m stumped as to why. Find out more by reading on.
Why register for VAT in Dubai, UAE, in the first place?
It’s critical to understand why VAT registration is necessary before proceeding. A value-added tax is levied on goods and services that meet certain criteria. Businesses collect and account for these taxes on behalf of the government, which are paid by the general public.
If a company’s taxable turnover in a 12-month period exceeds AED 375,000, or if the taxable turnover is likely to exceed this level in the next 30 days, they must register for it. You can voluntarily apply if your company’s revenue is less than AED 375,000 but greater than AED 187,500.
How to Sign Up for an Account
Federal Tax Authority (FTA) says taxable entities can register for VAT on the FTA website or through their official agents. Within 20 minutes, this may be completed in three simple stages. After logging in, you can use the E-services section of the tax website to file your taxes. When registering your company, remember that you’ll first need to authenticate your email address.
Always have the necessary documentation on hand before registering. A copy of your business or trade licence, a copy of your passport or Emirates ID, and a letter of authorization are all necessary documents. The application and resume can be saved for later use if you don’t have these items on hand.
For the following reasons, you should hire a VAT consultant in Dubai
Even if the procedure is straightforward, it is recommended that you consult with a VAT expert. Here’s why:
Employing accountants who are well-versed in tax regulations, particularly the V.A.T., is a wise decision for several reasons. It is up to these experts to help determine whether or not you need to register, or whether or not it is a good idea to do so on your own accord.
Additionally, these advisors will advise you what paperwork you need to submit to expedite the registration process. To make your application process even simpler, they can assist you in obtaining the necessary paperwork.
Finally, you want to ensure that there are no gaps in judgement regarding your business. Having these specialists on your side will ensure that the registration process goes without a hitch.
Every legally operating business must file for VAT registration. Hiring a VAT consultant is the easiest method to get started if you need to register for VAT. You won’t have to stress about anything because your consultant will guide you through the process and tell you exactly what you need to accomplish.