VAT Consultants in Dubai, UAE
Want stress-free VAT in the UAE? GloaceFintax’s Value Added Tax (VAT) services in Dubai are your go-to solution. We manage your tax obligations with precision, ensuring your business remains compliant, hassle-free. You focus on growth, while we take care of the rest.
VAT Consultants in Dubai
The UAE implemented Value Added Tax (VAT) on January 1, 2018, as part of its economic diversification strategy. With a standard VAT rate of 5%—one of the lowest globally—VAT applies to most goods and services, supporting public sector development and reducing reliance on oil revenues.
Businesses with annual revenue exceeding AED 375,000 must register for VAT, while those earning between AED 187,500 and AED 375,000 may opt for voluntary registration.
Registered entities are required to charge VAT on sales, collect it from customers, and file regular VAT returns to report both output tax (VAT collected on sales) and input tax (VAT paid on purchases).
VAT compliance is crucial, as the Federal Tax Authority (FTA) enforces stringent regulations and imposes penalties for non-compliance. Through input tax recovery, businesses can reclaim VAT paid on purchases, ensuring that only the end consumer bears the tax burden.
For companies navigating the VAT landscape in Dubai, professional VAT audit services from GloaceFintax are essential. Our expert consultants ensure full compliance, accurate filing, and successful VAT recovery, mitigating risks and ensuring smooth operations.
What is Voluntary Registration?
Businesses exceeding AED 187,500 in taxable supplies over the past 12 months can opt for voluntary VAT registration.
This enables them to reclaim input tax—VAT paid on business purchases—improving cash flow and reducing operational costs.
What is Mandatory Registration?
Businesses that exceed AED 375,000 in taxable supplies in the last 12 months are required to register for VAT.
They must charge output tax on taxable sales. Non-compliance may lead to penalties and legal repercussions.
Is VAT applicable in UAE Free Zones?
Is VAT applicable in UAE Free Zones?
Designated Free Zones in the UAE have specific VAT regulations. Certain inter-company transactions may be exempt, but services consumed within these zones are generally subject to VAT.
VAT registration thresholds:
✅ Mandatory: AED 375,000
✅ Voluntary: AED 187,500
✅ Non-resident businesses must register regardless of revenue.
What’s the Difference Between Zero-Rated & Exempt Tax Supplies?
Zero-Rated Tax Supplies
Subject to 0% VAT. While no VAT is charged to customers, businesses can still recover input tax on related expenses.
Exempt Tax Supplies
Not subject to VAT, and businesses cannot reclaim input tax on associated costs.
Advantages of VAT Services with GloaceFintax
Expert Guidance
Navigate complex VAT laws with the help of our experienced consultants.
Compliance Assurance
Stay compliant with UAE VAT regulations and avoid penalties.
Input Tax Recovery
Maximize input tax credits to enhance your cash flow.
Efficient Tax Management
Streamline VAT processes and enhance accuracy in reporting.
Risk Mitigation
Reduce the risk of audits, disputes, or legal issues.
Up-to-date Knowledge
Stay informed of regulatory changes and updates.
Customized Solutions
Tailored VAT strategies aligned with your business model.
Focus on Core Business
Let us handle the compliance so you can grow your business.
VAT Services by GloaceFintax
1. Account Creation Support
From registration to setup, complete support for VAT accounts.
2. Documentation
Preparation and assessment of all required VAT registration documents.
3. Tax Registration Number (TRN) Certificate
Assistance with acquiring your TRN and ensuring legal compliance.
4. VAT Registration
Comprehensive support for VAT registration with the FTA.
5. VAT Return Filing
Accurate and timely filing of VAT returns, covering both sales and purchases.
6. VAT Refund
Assistance in claiming VAT refunds when input tax exceeds output tax.
7. VAT Audit
Support during FTA audits, ensuring thorough documentation and compliance.
8. VAT Accounting
Maintenance of VAT-compliant accounting records and systems.
9. VAT Deregistration
Assistance with VAT cancellation for businesses closing or falling below thresholds.
VAT Procedure in the UAE
Step 1 – VAT Registration
Apply via the FTA portal and obtain a TRN.
Takes 1 to 2 weeks
Step 2 – Invoicing and Record-Keeping
Issue VAT invoices and maintain records for at least 5 years.
Continuous
Step 3 – VAT Returns Preparation
Summarize output and input VAT for each tax period.
Takes 1 week
Step 4 – VAT Returns Submission
Submit returns via the FTA portal.
Deadline: 28 days after the tax period ends
Step 5 – Payment of VAT
Pay VAT due before the submission deadline.
Takes 1 day
Step 6 – VAT Refund Claims
File refund applications if input exceeds output VAT.
Takes 1–2 months
Step 7 – Compliance Reviews and Audits
FTA may audit businesses to ensure legal compliance.
Continuous
Step 8 – Annual Review and Updates
Regularly review VAT strategies and stay aligned with regulatory changes.
Continuous
Documents Required for VAT
| VAT Registration | VAT Compliance |
|---|---|
| Trade License | Sales Invoices (including VAT details) |
| Passport Copies of owners/partners | Purchase Invoices (input VAT documentation) |
| Emirates ID of owners/partners | Completed VAT Returns submitted to the FTA |
| Business Address Proof (utility bills or lease) | Books of Accounts (ledgers and journals) |
| Bank Account Details (statement or letter from bank) | Relevant Bank Statements |
| Recent Financial Statements or Estimated Forecast | Documents for Refund Claims (if applicable) |
| Import/Export Records (if applicable) | Contracts and Agreements related to VAT transactions |