In business, there are situations where non-registered companies import products and need to pay VAT on those imports. Since these companies are not registered, the VAT Registration due on import is not collected when they file tax invoice returns. Such companies must pay import VAT in a different way. There are two main methods for non-registered companies to pay import VAT Registration uae. The method depends on the specifics of the import. The two methods are:
Pay VAT on import directly
Pay VAT through e-guarantee
In this article, we’ll discuss when non-registered companies should directly pay VAT on import and the process to do so.
When Non-Registered Companies Should Directly Pay VAT on Import
Non-registered companies should directly pay VAT Registration on import in these cases:
Importing goods from outside the UAE into the mainland
Importing into the UAE to export goods to non-GCC countries that have VAT (and it’s not under customs duty suspension)
Importing into the UAE to export goods to a GCC country with VAT (and it’s not under customs duty suspension)
Let’s look at the process non-registered companies follow to directly pay VAT Registration on import:
Process to Directly Pay VAT on Import
Submit customs declaration
The importer prepares and submits the customs declaration in the Customs portal. They must:
Provide details on all imported goods
Submit declaration for Customs to process
Once approved, declaration status changes to ‘Pending tax payment’
Await approval by Customs
A Customs official validates details and approves the declaration. The importer gets a notification it’s approved.
Customs sends the declaration to the FTA online. Once sent, Customs can’t further edit it. The status can only change to ‘Approved’ or ‘Declined’.
Create e-Services account on FTA portal
To pay import VAT, non-registered companies must create an e-Services account on the FTA online site.
They sign up with email and password. An email is sent to verify the address. Once verified, they can login and access e-Services.
Login and pay VAT
Finally, non-registered companies login to the FTA portal and pay the VAT Registration uae due. Import VAT is calculated on the value of goods + Customs duty + Excise duty.
Our article explains the FTA VAT payment steps in detail.
So the import VAT payment process is different for non-registered versus registered companies. Next we’ll look at how non-registered companies can pay import VAT dubai through e-guarantees.
You can also Register for VAT Registration on our website: