VAT Consultancy Services
We provide VAT Advise and Consultation at free of Cost
Value Added Tax is a tax that applies to most business transactions involving the transfer of goods or services. Once your business turnover/Expense reaches a certain level, you legally have to pay VAT to Federal Tax Authority (FTA).
Value added tax was introduced in the UAE on 1 January 2018. The standard rate of VAT is 5% on all the taxable supplies of goods and services within UAE.
A business pays Value added tax on its purchases (input tax) and charges VAT on its sales (output tax). If a VAT registered business receives more output tax from sales than it pays on input tax, it has to pay the difference to FTA. If more input tax has been paid out than the company has charged VAT on its sales, the difference can be reclaimed from FTA.
VAT is charged from the start of an economic activity to the point of Goods/services delivered to the end consumer, thus adding up value throughout the supply chain.