UAE’s primary tax authority is urging businesses to sign up for the Value Added Tax (VAT) as soon as possible and not to run afoul of the tax deadline.
In a statement, the Federal Tax Authority (FTA) has warned businesses to sign up for VAT and avoid fines for late registration.
The VAT deadline is now little over a month away, as the tax gets introduced in the Gulf nation on January 1.
The authority is stressing on speed on behalf of the businesses at this point given the process timelines.
It warned that applications for a Tax Registration Number (TRN), required by all businesses whose taxable supplies and imports of goods and services exceed Dh375,000 over the previous 12 months, is taking up to 20 working days to process.
“Therefore, and in order to ensure that the application is processed – and the TRN issued before January 1, 2018 – the FTA urges businesses to complete their registration to avoid the administrative penalty of Dh20,000, as well as additional penalties related to late payment of tax,” the authority warned.