VAT: Compensation-Type

VAT: Compensation-Type

As part of business arrangements, businesses will often make payments to compensate each other for any loss, omissions, or other wrongdoings. Where payment is not a consideration for a supply, no VAT is due on the payment.   Principle to Determine VAT Treatment:...
VAT: TAX Groups and Benefits

VAT: TAX Groups and Benefits

‘Two or more Persons registered with the Authority for Tax purposes as a single taxable person in accordance with the provisions of this Decree Law’ defines in Article 1 of UAE VAT Law. Two or more persons conducting Businesses may apply for Tax Registration as a Tax...
VAT: Place of Supply of Services

VAT: Place of Supply of Services

The default and basic rule for determining the place of supply of services in VAT –  the place of supply will be the place of residence of the supplies. This basic rule always applies unless overridden by a special rule such as below: Imports from outside GCC If...
FTA: “VAT-Free” Offers

FTA: “VAT-Free” Offers

“VAT-free special offers” are promotions that numerous businesses are offering to encourage potential buyers to purchase goods or services within a promotional period. The purpose of this clarification is to clarify that goods and services are not actually supplied...
FTA:  Voluntary Disclosure Form

FTA: Voluntary Disclosure Form

What is a Voluntary Disclosure? Introduced by FTA that will enable the taxpayers to rectify the errors/omissions they had committed while filing VAT Return Form 201 for any of the previous periods. A Voluntary Disclosure VAT 211 Form is a form provided by the Federal...
VAT: Sole Business Registration

VAT: Sole Business Registration

Meaning of Sole Establishment A business that is 100% owned by a person. A sole establishment does not have a legal personality that is independent of its owner and is accordingly considered to be the same person as to its owner. It should be noted that, for VAT...