How is VAT filed in Dubai?


The submission of a VAT return is required for all taxable enterprises. You have to file your VAT return and the required VAT payments after signing up for VAT services in Dubai within 28 days of the conclusion of your tax period. If your business fails to file a VAT refund on time or files a false VAT return, the FTA will conduct a VAT audit and impose penalties.

How is VAT filed in Dubai?
How is VAT filed in Dubai?

How is VAT filed in Dubai?

Businesses must complete Form 201: Business Tax Return and submit it online through the FTA site, “”

  • Specifics about the taxable person
  • VAT return period VAT on all inputs, including costs
  • VAT on all purchases and other outputs
  • Net VAT payable Additional reporting requirements
  • Statement and Authorized Signer

What are the specifics of Form 201?

A statement known as Form 201 must be submitted by the taxpayer by the conclusion of each tax period. It entails:

  • Information on the taxable person
  • The VAT Period: Return VAT on All Inputs, Including Expenses
  • Sales Tax and Other Outputs Tax
  • TVA Net Due Statement of Added Reporting Requirements and Certified Signatory

VAT exemptions

  • local bus transportation
  • Sale and leasing of vacant land
  • Residential real estate for sale and rental
  • provision of certain financial services

VAT and Dubai prices

The following VAT rates apply in the Dubai:

  • (5% VAT) Standard rate
  • 100% zero-rated (VAT)
  • Not subject to VAT

VAT with no rate

  • transportation internationally and related supplies;
  • goods and services exported via Dubai;
  • certain investment-grade precious metals, such as 99% pure gold and silver;
  • supplies of specific land, sea, and air vehicles (such as ships and aircraft);
  • houses that have recently been built.

How do I de-register for VAT?

De-registration for VAT

A taxable person or business may suspend their Tax Registration Number (TRN) and terminate their VAT registration in the United Arab Emirates (UAE) or Dubai. VAT deregistration can be done online. Only companies that have registered with the Federal Tax Authority (FTA) are eligible to deregister from the VAT system. You can get help from Xact Auditing to unregister your business from FTA. We’ll make sure the VAT deregistration process is finished without incurring any FTA VAT penalties.

What is a reconsideration of VAT?

Under the VAT reconsideration procedure, a taxable person has the right to ask for a review of the FTA’s choice. All businesses in Dubai must be informed of the relevant tax laws in order to successfully run their operations. Any person or business may apply for a VAT reassessment in the Dubai within twenty working days of getting a penalty from FTA. The authorities will review the verdict and can opt to decrease the fines if the corporation provides proof.

Conclusion: Businesses would face severe fines from FTA if they committed even one mistake when managing VAT. If so, getting a professional opinion will help you avoid paying those fines. VAT is an extremely delicate topic that calls for knowledge and expertise to handle. All businesses in Dubai are provided with the best and most reliable VAT solutions by a VAT consultant.