With the introduction of the Value Added Tax in the UAE in 2018, businesses in Dubai are compelled to meet the new tax requirements. VAT is imposed on the majority of goods and services, and the FTA requires all eligible businesses to register. With either…
Dubai has, in recent times, become a global business and entrepreneurial hub. Dubai boasts a favorable location, advanced infrastructure, and a well-developed business environment, making it an attractive location for investors and companies. With the imposition of corporate tax in the United Arab Emirates (UAE),…
The adjustment column is available in the number field. 9 ‘Standard duty expense’ should be used to report adjustments to input taxes charged in previous tax return periods. This throttling occurs for one of the following reasons: Input Tax Adjustment Based on Accounts Receivable ReductionAnnual…
In our previous article, Process for paying VAT on import by non-registered persons, we learned about the process for paying VAT on import by non-registered persons in certain scenarios. In this article, we would like to understand the scenarios where an unregistered individual has to…
There are situations in business where an unregistered company imports goods and has to pay VAT on import. Since these companies are not registered, the VAT they pay on import will not be collected on their tax return. These persons must pay import VAT by…
Import of goods declared through UAE Customs must be declared in the No. field. 6 ‘Goods imported into the UAE’ in the ‘Sales and all other expenses’ section of VAT Form 201. Adjustment of goods imported into the UAE If the information in Box No.…
Importing goods is a common scenario in the economy. There are various scenarios for importing goods. These fall into two general types. Import of Goods by a Registered PersonImport of Goods by an Unregistered PersonAs a general rule, we know that when importing goods into…
Profit Margin Scheme is an important system for calculating VAT in the UAE. This system applies to specific products, and certain conditions must be met in order to supply products under the margin system. In this article, let’s understand how profit margin works. What is…
We covered the Profit Margin Scheme and the particular supply that you are allowed to make under it in the previous post. The methods for determining your profit margin and the taxes you must pay depending on your profit margin program are described in this…
All registered taxpayers in the UAE are required to file a monthly or quarterly VAT return. If the output VAT in the VAT return is higher than the refundable input VAT, the difference becomes a VAT liability that he has to pay to the FTA.…
