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FTA urges businesses to register for VAT to avoid penalties

Failure to submit a registration application by January 1 will lead to a penalty of AED20,000

FTA urges businesses to register for VAT to avoid penalties
Failure to submit a registration application by January 1 will lead to a penalty.

The Federal Tax Authority has called on all UAE business to take all necessary measures to register for the VAT  by 1st January, 2018 to avoid the risk of penalties for non-registration.

VAT will be due on the importation of certain goods, as well as the supply or deemed supply of certain goods or services made by the VAT-registered person (as described under the UAE VAT Law).

Businesses must register for VAT if their annual taxable supplies and imports exceed the mandatory registration threshold of AED375,000.

Failure to submit a registration application by January 1 will lead to a penalty of AED20,000 ($5,445).

VAT registration form is available 24/7 online on FTA's portal and should be completed by a person who is the authorised signatory of the business - director, shareholder, holder of power of attorney on behalf of the business.

Source: Arabian Business

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