How to get VAT registration in UAE?

VAT registration UAE is mandatory to comply with FTA tax regulations and avoid penalties, ensuring smooth business operations. You should register for VAT if your business exceeds the annual turnover of AED 375,000. You can do voluntary VAT registration if it exceeds AED 187,500. To apply for VAT Registration, you must complete a two-step process: First, you have to create an Emaratax account and then fill up a VAT registration form. This article explores the UAE VAT registration process in a detailed manner. 

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Create an Emaratax Account

As already mentioned, the first step for VAT registration in UAE is to create an Emaratax account. The following steps will help you to create one,

• Visit the Federal Tax Authority's online portal, EmaraTax.
• Click on the 'Sign Up' button located beside the Login Portal.
• Provide your valid email address in the specified format and fill in all the required information.
• Create a strong password with a mix of characters and symbols.
• Enter the security code accurately and click the 'Continue' button.
• Check your inbox (including spam/junk folder) for the verification email, and click on the provided link to activate your account.
• Log in to your EmaraTax account with the registered email address and password to access your personalized dashboard and VAT registration services.

Remember to verify your email address and login using your credentials to start a VAT registration in UAE.

Learn about: What is the threshold for VAT registration in UAE?

Step by Step Instructions to Fill UAE VAT Registration Form

To initiate the VAT registration in UAE, begin by logging into your Emarax Account. Once logged in, go to the option labelled 'Register for VAT' available on your dashboard. It will lead you to 'VAT Getting Started Guide.' After reading the guide, you'll need to confirm your understanding by ticking the designated box and then clicking 'proceed' to get the VAT registration form. It contains 8 sections where you provide details to complete the VAT registration. The colour indicators can track the progress: the section you are updating details will be shown in "Brown" colour, and the section you completed will have a "Green" colour with a tick mark. You can only move to the next section after updating the mandatory details in the current one. 

The following steps will guide you to complete the form for VAT registration in UAE,

Section 1: About the applicant

In the 'About the applicant' section, you need to provide details about the person running the business. A person can be either natural or legal. A natural person is an individual who operates a business, while a legal person is an entity formed by law, such as a corporation or organisation. You need to answer or provide the details for the following questions,

• On what basis are you applying for registration?: In this section, provide details about the natural or legal person operating the business, with the business structure like a partnership, public joint stock company, etc.
• Do you hold a Trade license in the UAE?: In the UAE, a Trade License refers to licenses issued by authorized bodies, including those in Free Zones. If you hold one or more Trade Licenses, select "Yes" and provide additional information. Otherwise, select "No," which includes cases where a non-established business must register in the UAE.
• Are you registering mandatorily or voluntarily?: Choose whether your registration is mandatory or voluntary. 
• Are you also applying to create or join a Tax group?: Select 'YES' if you plan to create or join a Tax group. Otherwise, select 'No' and proceed."

Section 2: Details of the applicant

In this section, you need to provide the following details for VAT registration in UAE,

• Name of the applicant: Provide your entity's legal name in both English and Arabic. If you're an individual, enter your full name. For legal entities, enter the name under which your company is incorporated. If you have a Trade License, you can find your legal name on the license. Additionally, if your trade name differs from the legal entity's name, include details of the trade name. 
• Identification of the applicant: Provide the details regarding the trade license registered under the legal name of your entity. It includes the name of the authority who issued the trade license, the trade license number, etc. Give details on your Certificate of Incorporation and upload the other relevant documents. If you have multiple trade licenses, all must be added with accurate information.
• Details of the Manager of the business: Here, you need to provide the details of the manager or CEO of the company, including the name, nationality, passport number, and Emirates ID number. 

Section 3: Contact details

In this section, you need to provide the business contact details such as address, phone number, phone country code, etc. If you have multiple addresses, select the one where most day-to-day activities are carried out.

Section 4: Banking details

• Bank account information: Provide your company's bank details, including IBAN, bank name, and branch.
• Currency used for financial statements: Specify the currency your financial statements are presented in.

Section 5: Business relationships

• List of related parties: Mention any affiliated companies, subsidiaries, or other entities under common ownership/control.
• Nature of relationship and financial transactions: Briefly describe your relationship with these entities and any significant financial transactions.
• Any other relevant business relationships: Disclose any other relevant business relationships that might impact VAT considerations.

Section 6: About the VAT registration

In this section, you need to give details regarding your business activities like turnover, imports and exports, etc. This section is categorized into 6 subsections, which you can find below, 

• Business Activities of the Applicant:
• Select the main business activities from the drop-down list.
• Specify any additional or proposed business activities.
• Actual or Estimated Financial Transaction Values:
• Provide turnover details for the past 12 months in AED, including all taxable supplies, zero-rated supplies, deemed supplies, and imported goods/services.
• Upload supporting documents such as audit reports or financial statements.
• Estimate turnover for the next 30 days in AED.
• Indicate whether VAT expenses are expected to exceed VAT on taxable supplies.
• Imports and Exports:
• Declare engagement in imports and exports.
• Specify if imports/exports are with GCC member countries.
• GCC Activities:
• Provide details if registered for VAT in any GCC member states or involved in imports/exports with GCC member states.
• Note guidelines for calculating estimated import value for 12 months. 
• Customs Registration Information:
• Enter details if registered with UAE Customs departments.
• Upload scanned copy of customs number for FTA verification.
• Choose the relevant emirate and provide the customs number.
• Exception from VAT Registration:
• Select 'Yes' if seeking exemption from VAT registration due to making only zero-rated supplies.
• Note that exemption doesn't apply if making both zero-rated and standard-rated supplies.
• Review the list of supplies eligible for zero-rated status in the UAE.

Section 7: Declaration

In this section, you have to provide details for the authorised signatory and communication preferences for VAT registration in UAE. It is categorised into two subsections:

• Authorized Signatory:
• Capture the job title, name, passport, Emirates ID details, and contact information.
• Ensure the authorized signatory is legally empowered to bind the entity, typically a director or the individual themselves.
• Include supporting documents like Power of Attorney for legal persons.
• Communication Preference:
• Select your preferred communication mode (email or phone) and language (English or Arabic).
• After providing communication details, acknowledge and agree to the declarations listed under 'Checklist for completion.'

Section 8: Review & Submit

• Carefully review all entered information. Double-check all details for accuracy and consistency.
• Make necessary corrections: Address errors or missing information before submitting.
• Upload required supporting documents: Attach all necessary documents as instructed.
• Submit the application: Once everything is confirmed, submit the completed form and documents to the FTA.

These step-by-step instructions will help you fill out the form for VAT registration in UAE.

Also read: What is the deadline for VAT registration in UAE?

Conclusion

We hope this comprehensive step-by-step VAT registration UAE process will guide you in applying properly. Make sure you are giving all the necessary information with accuracy. You should register if you reached the threshold of mandatory VAT registration. You can also do voluntary VAT registration, though you have not reached the threshold. Let Filings.ae do the VAT registration for you with ongoing support. 

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