Value Added Tax is a tax on consumption levied at each stage of the supply chain and ultimately borne by the end consumer.

Article 1 – Federal Decree law no. 8.

A tax imposed on the import and supply of Goods and Services at each stage of production and distribution, including the Deemed Supply.

A business must register for VAT if their taxable supplies and imports exceed the mandatory registration threshold of AED 375,000.

Furthermore, a business may choose to register for VAT voluntarily if their supplies and imports are less than the mandatory registration threshold, but exceed the voluntary registration threshold of AED 187,500.

Similarly, a business may register voluntarily if their expenses exceed the voluntary registration threshold. This latter opportunity to register voluntarily is designed to enable start-up businesses with no turnover to register for VAT.

Information and data specified for Tax purposes and submitted by a Taxable Person in accordance with a form prepared by the Authority.

The standard tax period is three months but the Federal Tax Authority may assign shorter or longer tax period.

A Tax Return must be received by the Authority no later than the 28th day following the end of the Tax Period concerned or by such other date as directed by the Authority.

A Taxable Person shall settle Payable Tax no later than the 28th day following the end of the Tax Period concerned or by such other date as directed by the Authority.

Rate of VAT depend upon nature of goods & services supplied or place of supply.

There are three category of Tax rate.

1. Standard Rated (5%) - Applicable for Sale of Car, Commercial Property, Food Stuff, Professional Services, etc.
2. Zero Rated (0%) - Applicable on Export of goods & services, International Transportation, etc.
3. Exempted Supply (Applicable on Local Passenger Transport, Sale or Lease of some Residential Properties, etc.

VAT health check service is taken by any entity to ensure whether they are VAT complied in all there procedure to avoid penalties from FTA. It helps in minimization of the risk of over reliance on existing company process of working.

Excise tax was introduced across the UAE in 2017. Excise tax is a form of indirect tax levied on specific goods which are typically harmful to human health or the environment. These goods are referred to as “excise goods”.

When considering whether a product is an excise good, the following definitions apply:

1. Carbonated drinks include any aerated beverage except for unflavoured aerated water. Also considered to be carbonated drinks are any concentrations, powder, gel, or extracts intended to be made into an aerated beverage.
2. Energy drinks include any beverages which are marketed, or sold as an energy drink, and containing stimulant substances that provide mental and physical stimulation, which includes without limitation: caffeine, taurine, ginseng and guarana. This also includes any substance that has an identical or similar effect as the aforementioned substances. Also considered to be energy drinks are any concentrations, powder, gel or extracts intended to be made into an energy enhancing drink.
3. Tobacco and tobacco products include all items listed within Schedule 24 of the GCC Common Customs Tariff.

1. 50 per cent for carbonated drinks
2. 100 per cent for tobacco products
3. 100 per cent for energy drinks

At Taxpert, We have specialized professional team in working of all excise related matters including Registration, Declaration, Return Filing, Digital Stamp, etc. The team at Taxpert possesses the leadership quality which will help you in smooth functioning of all the tax matters.

Accounting review service is equivalent to chief accountant service in which, review of accounting records are done & also it is finalized monthly, quarterly & yearly.

In this service, we understand the needs of the customer for financing & provide the best solution. We help in getting finance or facilities from Bank or Financial Institutions by helping client in fulfilling all the requirements.