No# 403,Khalidiya, Abu Dhabi, UAE
Businesses must register for VAT if their taxable supply and imports are AED 375,000 (USD 1,000) or more. According to UAE VAT law, companies having taxable imports and supplies between AED 187,500 and AED 375,000 are eligible to apply for VAT registration voluntarily. Businesses that have taxable supplies and imports under AED 187,500, however, are exempt from filing for VAT registration. Additionally, it should be noted that all names, whether those of a firm, its owner, manager, or an authorised person, must be written in correct Arabic alongside English.
* Trade licence copy
*Passport-size photocopies of the entrepreneur and business partners
*Copy of the owners' and partners' Emirates IDs
*Memorandum of Association (MOA) of the company and Articles of Association
*Business contact details
*Bank account details
*Business type
*Expected turnover in the coming 30 days
*The monthly income statement for the entire year of 2017 in FTA format
*Emirates IDs, passports, and other papers with authorised signatures
Failing to register or file VAT correctly can result in fines from the Federal Tax Authority (FTA). Our team of skilled VAT Consultants in Abu Dhabi ensures your business is fully compliant with all FTA guidelines.
Registered businesses can claim input VAT on goods and services used for operations. Without registration, these costs become non-recoverable, which will increase your overall expenses.
VAT registration shows that your business is transparent and well-structured. It helps build trust with clients, suppliers, and stakeholders.
Get access to VAT specialists who understand both domestic and international tax rules, helping you navigate complex VAT scenarios.
Value Added Tax (VAT) is a consumption tax applied to goods and services. VAT registration is the process by which a business becomes recognized by the tax authorities as liable to charge VAT on its sales. Once registered, the business must add VAT to its prices, issue VAT-compliant invoices, and submit periodic VAT returns.
In most countries, businesses are required to register for VAT once their taxable turnover exceeds a specific threshold (e.g., £90,000 in the UK or €85,000 in some EU countries). However, some businesses choose to register voluntarily even if they are below the threshold—often to reclaim VAT on their purchases or to appear more established in the marketplace.
There are several advantages to registering for VAT. Businesses can reclaim VAT paid on expenses, which can reduce overall costs. Being VAT registered also enhances your business's credibility, especially when dealing with other VAT-registered companies. Additionally, it ensures compliance with tax laws if your turnover exceeds the mandatory threshold.
On the flip side, VAT registration brings additional responsibilities. You’ll need to manage VAT invoicing, maintain accurate records, and file VAT returns regularly—this increases administrative work and may require accounting support. Also, adding VAT to your prices can make your products or services more expensive for end consumers.
Even if your turnover is below the threshold, voluntary VAT registration can be beneficial—especially if you have high start-up costs or sell mainly to VAT-registered businesses. You’ll be able to reclaim VAT on your purchases, and your business may appear more credible to suppliers and customers.
VAT registration is a significant step for any business and comes with both responsibilities and advantages. Whether mandatory or voluntary, registering for VAT allows your business to grow with confidence, maintain compliance, and potentially reduce tax burdens. However, it's essential to weigh the pros and cons based on your sales model, customer base, and administrative capacity.
The rules for financial reporting are called accounting standards. These regulations make it very clear how the transactions must be recorded.
The opportunity to work abroad is a popular prospect, one
No# 403,Khalidiya, Abu Dhabi, UAE
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