A VAT return sums up the value of the supplies and purchases a taxable person has made during the tax period and shows the taxable person’s VAT liability.
After each tax period, businesses enlisted under the VAT or, the ‘taxable persons’ have to submit a ‘VAT return’ to Federal Tax Authority (FTA).
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VAT Registration is mandatory tax registration that companies are required to register their business that is implicated in trading goods and services in UAE. A business is obligated to register for VAT if the taxable supplies and imports exceed the mandatory registration threshold of AED 375,000. Moreover, a business may choose to register for VAT voluntarily where the total value of its taxable supplies and imports (or taxable expenses) is more than the voluntary registration threshold of AED 187,500.


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