Based on business turnover, the FTA has announced a deadline for VAT registration. The following is the deadline for VAT registration in the UAE:

UAE VAT registration deadline

Mandatory registration

Registration type Business type (turnover (million)) VAT registration deadline

Mandatory registration (more than AED 375,000) for companies with a turnover of more than AED 150 million as of October 31, 2017

Companies with a turnover of more than 10 million dirhams on November 30, 2017

All other businesses December 4, 2017

Voluntary registration businesses with a turnover of more than AED 187,500 can only apply for registration after the VAT law comes into effect, which means that from January 1, 2018

Large companies with a turnover of more than AED 150 million are invited to register first in the FTA portal. The final date for VAT registration for large companies has been completed on October 31, 2017. The next stage is for companies with a turnover of between 10 million and 150 million. They should apply for VAT registration before November 30, 2017. All other businesses with turnover exceeding the mandatory threshold of AED 375,000, up to a maximum of AED 10 million, should apply for VAT registration before December 4, 2017.

As the deadline for VAT registration is imminent, it is important for companies to prepare for VAT registration. The following are the key points that companies must consider when registering for VAT:

1. Understand the materials used to calculate the value-added tax registration threshold.

2. Determine your turnover and check your eligibility for VAT registration. If your turnover exceeds the mandatory threshold of AED 375,000, you must apply for VAT registration in the UAE.

3. Check your turnover data and determine the expiration date of VAT registration applicable to your business accordingly.

4. If you meet the conditions for voluntary registration-the turnover exceeds 187,500 dirhams, you only need to apply for registration when the VAT law is in effect (that is, from January 1, 2018).

5. If you are a non-resident engaged in the supply of goods and services in the UAE, and no one else can pay VAT on your behalf in the UAE, you only need to apply for VAT registration under the following circumstances.

6. Companies that only provide zero-rated supply are allowed to be exempt from mandatory VAT registration. Therefore, they need to complete the registration application and select the relevant options to seek exemption from VAT.

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