Understanding VAT in the UAE
The 5% VAT Rate Explained
Value Added Tax (VAT) was introduced in the UAE in 2018 at a standard rate of 5%. This is one of the lowest VAT rates in the world, but it applies to most goods and services. For Irish businesses operating in Dubai, understanding your VAT obligations is essential for compliance and smooth operations.
Our team at Business Setup Solutions Dubai provides clear, practical advice to help Irish entrepreneurs manage their VAT responsibilities effectively.
VAT Registration for Irish Businesses
- Mandatory Registration: If your business's annual revenue exceeds AED 375,000, you are required to register for VAT with the Federal Tax Authority (FTA).
- Voluntary Registration: If your annual revenue is between AED 187,500 and AED 375,000, you have the option to register for VAT voluntarily.
- Required Documents: We can assist you in preparing the necessary documents for registration, including your trade license and passport copies.
Ongoing VAT Compliance
VAT compliance involves more than just registration. Businesses must issue tax-compliant invoices, keep detailed financial records, and file regular VAT returns with the FTA. Failure to comply can result in significant penalties. We offer comprehensive accounting and bookkeeping services to ensure you meet all your VAT obligations.
How We Can Help with VAT
From determining if you need to register for VAT to handling your periodic filings, our experts are here to help. We provide tailored VAT solutions for Irish businesses in Dubai, allowing you to focus on growth while we handle the complexities of tax compliance. Get in touch with us to learn more.