Value Added Tax (VAT)

Value Added Tax (VAT)

Value Added Tax (VAT) in the UAE is a consumption tax levied on goods and services at each stage of production and distribution. Administered by the Federal Tax Authority (FTA), VAT applies to most goods and services in the UAE, with exemptions and zero-rated supplies available for certain categories.

Key Points:

1. Application: VAT applies to transactions involving goods and services unless specifically exempted or zero-rated.
2. Administration: The FTA oversees VAT registration, compliance, and enforcement.
3. Threshold: In the UAE, businesses are required to register for VAT if their taxable supplies and imports exceed the mandatory threshold of AED 375,000 per year. There is also a voluntary registration threshold of AED 187,500 per year, below which registration is optional.
4. Compliance: VAT-registered businesses are required to prepare and submit VAT returns periodically, ensuring accurate reporting of their tax liabilities.

Our VAT Services

At ALM Tax Consultants, we specialize in delivering comprehensive VAT solutions tailored to meet the specific needs of your business. Since its introduction in 2018, VAT has significantly impacted the UAE's tax landscape, necessitating expert guidance to navigate its complexities effectively.

1. VAT Advisory: Our VAT advisory services are designed to provide proactive guidance on VAT implications for your business operations. We help you understand the VAT framework, identify opportunities for optimization, and strategize for compliance and efficiency.

2. VAT Compliance: We assist businesses in fulfilling their VAT compliance requirements, including VAT return preparation and submission. Our meticulous approach ensures that all transactions are accurately recorded and reported in accordance with FTA regulations.

3. VAT Audit Support: In the event of an FTA audit or review, our team offers comprehensive support to navigate the audit process smoothly. We help prepare documentation, respond to queries, and ensure compliance with audit requirements.

4. VAT Dispute Resolution: Should disputes arise with the FTA regarding VAT assessments or compliance issues, our experts provide strategic support to resolve disputes efficiently. We advocate on your behalf, aiming for fair and favorable outcomes.

5. VAT Due Diligence Review: For businesses undergoing mergers, acquisitions, or restructuring, our VAT due diligence reviews assess potential tax risks and opportunities. We provide insights to support informed decision-making and mitigate VAT-related liabilities.

6. VAT Refund Support: Navigating VAT refund processes can be complex. We assist businesses in preparing and submitting VAT refund claims, ensuring compliance with FTA requirements and maximizing eligible refunds.

Why Choose ALM Tax Consultants?

At ALM Tax Consultants, we combine extensive expertise in UAE VAT regulations with a client-centric approach to deliver tangible benefits to your business:

• Specialized Knowledge: Our team comprises VAT specialists who understand the nuances of UAE tax laws and regulations.
• Tailored Solutions: We customize our services to align with your business objectives, whether you are a small enterprise or a multinational corporation.
• Proactive Support: We proactively monitor changes in VAT regulations to keep your business compliant and competitive.
• Hands-on Approach: Beyond advisory, we actively collaborate with your team to implement effective VAT strategies and solutions.

Simplify the complexities of VAT structuring and compliance with ALM Tax Consultants. Our dedicated team is committed to supporting your business growth by ensuring VAT efficiency and compliance. Contact us today to explore how we can partner with you to navigate the evolving VAT landscape and optimize your tax strategy.