VAT and excise tax registration and de-registration service
Any person conducting an economic activity for an income is a taxable person and must register for VAT if the value of the taxable supplies made by him exceeds the registration threshold.
VAT registration in the UAE can be mandatory or voluntary according to the provisions of Art. 13 and Art. 17 of the VAT Law, as implemented by the UAE Regulations. The ‘mandatory registration threshold’ is AED 375,000 as established in the Agreement. Therefore, to establish whether a person must register for VAT, he must monitor the level of his taxable supplies to ascertain whether he has met the registration threshold and, if he has, he must apply to register for VAT. The Regulations also make provision for voluntary registration. Any trader whose taxable turnover is below the mandatory registration threshold can apply to register voluntarily provided that the threshold of AED 187,500, applicable to supplies or expenses, is exceeded.
The Registrant must apply to the Authority for de-registration in accordance with the cases mentioned in the Decree-Law, within (20) business days of the occurrence of any of them, Accordingly The Authority shall accept a Registrant’s application for de-registration where the two following conditions are met:
a. The Registrant stops making supplies referred to in Article (19) of the Decree-Law and does not expect to make any such supplies over the next 12-month period;
b. The value of supplies referred to in Article (19) of the Decree-Law made, or taxable expenses incurred, by the Registrant over the previous 12-months is less than the Voluntary Registration Threshold and the Authority is satisfied that his supplies, according to the provisions of the Decree-Law, or taxable expenses, expected over the next 30 days, are not expected to exceed the Voluntary Registration Threshold.