VAT Registration
VAT Registration Service
Our resilient and proactive approach towards taxes not only reduces complexity in tax compliance but also ensure the businesses to navigate through complexity to make informed decisions. Explore our wide range of VAT services and let’s talk.
- VAT Assessment test
- VAT Registration
- Recommending a Tax Invoice
- Preparing Tax Calculations
- Calculating VAT liability and Tax refunds
- Maintenance of records on Output VAT liability and Input Tax deduction.
A business must register for VAT if its taxable supplies and imports exceed the prescribed threshold limit for the preceding 12 months. The threshold varies from country to country. It is optional for businesses whose supplies and imports or expenses exceed certain prescribed threshold for preceding 12 months.
In case of failure of a person to apply for registration when he becomes liable to do, the authority shall register such person with effect from the date on which the person first become liable (obliged) to register. Failure by a person to apply for registration where he is otherwise compulsorily required to be registered is subject to penalty as per Executive Regulations.
Nonresident businesses making taxable supplies in the state for which it is obliged to collect and pay VAT has to register for VAT irrespective of the threshold limit.
A registrant has to mandatorily apply for tax de-registration if he stops making taxable supplies or the value of such supplies is less than the voluntary threshold limit in the preceeding 12 months. However, if it is anticipated that supply or expenditure in the coming 30 days is expected to reach voluntary registration threshold, he may choose not to deregister itself. Failure to de-register for VAT when a tax registrant is required to do so will lead to penalties.
Vat Return Filing Service
We at SRQ Companies are committed to provide VAT return filing service timely to ensure the tax liability to be calculated within due time and also ensure compliance of other provisions within the given time frame.
It is mandatory for all registered business to file VAT returns monthly or quarterly depending upon their tax periods. Non filing of VAT returns will lead to penalties.
We provide the following guidance and services to ensure compliance with VAT Return Filing
- Issuance of tax invoice format as per VAT laws
- Classification of supplies into taxable, Zero rate and exempt and out of the scope supplies
- Calculation of Output tax liability on sales
- Calculation of Input Tax deduction on Purchases and expenses
- Calculation of VAT tax on import under reverse charge mechanism
- Ensuring Filing of VAT returns on due dates mentioned
- Advise the applicability of VAT on different scenarios
- Application of transitional rules in calculating VAT taxes and also claiming relief from VAT if applicable
- Tax Advisory
VAT in GCC
The six countries of Gulf region namely United Arab Emirates, Kingdom of Bahrain, Kingdom of Saudi Arabia, Sultanate of Oman, State of Qatar, and State of Kuwait, have formed the Gulf Cooperation Council (hereinafter referred to as GCC) with an aim of developing the existing co-operation and relations with regard to various fields. All these 6 countries have agreed to implement VAT.
By the word implementing the VAT law it means the ratification of Framework agreement in the respective parliaments and promulgation of local VAT Law.
Taxes are imposed by the government within the constitutional power of the country. Imposition of tax is necessary for states to collect money for its development activities, sovereign functions and meeting other sovereign objectives.
UAE and KSA are the first countries to implement VAT w.e.f. 01.01.2018. Bahrain has implemented VAT w.e.f. 01.01.2019. Oman will implement VAT with an effective date of 16th April 2021 and the Registration of the companies is starting from 1st February 2021.
