United Arab Emirates UAE
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Following consumer complaints, which surfaced as a result of the Value Added Tax being applied by businesses before the stipulated dates, the tax department has urged businesses to refrain from it. The consumer complaints sprang from some SMEs allegedly implementing the tax before their categories should implement the same, as per the new tax laws brought in.
Any business or establishment, regardless of their size, can register themselves on the VAT scheme. However, it has to be noted that the scheme is implemented phase by phase, with different deadlines for each category of business to start applying the same to their entities. As of now, the entities with a turnover of over 1 Million Riyals have to apply VAT at the rate of 5 per cent on their VAT-eligible goods and services. This applies from April 16, 2021 and the implementation has begun in the sultanate.
However, as per the stipulated schedule, Category B entities, with a turnover starting from 500,000 RO to less than 1 Mn RO, come next starting from July 1, 2021. This category is followed by Category C entities, whose range is from 250,000 RO to less than 500,000 RO, starting from October 1, 2021. Category D follows, with a range across 38,500 to 250,000 RO, who need to start only by April 1, 2022. Tax Authority has warned the businesses against implementation before the due dates. The consumer protection watchdog has also stepped up surveillance following the complains to ensure that VAT is implementation follows the timelines set by the law.
The UAE, previously considered as a tax haven, had gradually started introducing taxation in the country. In 2018, UAE first introduced a Value Added Tax for indirectly taxing goods and services as well as the Country-by-Country Reporting (CbCR) regulations in April 2019. On 31 January 2022, the UAE announced taxing corporations under the corporate tax system. The corporate tax is the tax levied by...
A cryptocurrency is a form of digital money that is decentralized and relies on blockchain technology. Although you might be aware of the most well-known versions, Ethereum and Bitcoin, there are over 5,000 distinct cryptocurrencies in use. When Satoshi Nakamoto, the unknown founder of Bitcoin, introduced the Electronic Cash System in late 2008, the terms Bitcoin, Cryptocurrency, and blockchain were...
The Delhi High Court has overturned its judgment ordering a CBI investigation into an Income Tax Department source. After the government informed the Court that the email was sent due to a system error and was, in fact, authentic, an adjournment email was sent to an assessee firm. After ordering this, a division bench comprising of Justice Manmohan and Justice Navin Chawla recalled its previous order...
The policy would include products imported or exported for online trading by companies, including exports beyond the UAE. Companies will also need to register with the Customs Department for e-commerce transactions. It will take effect on August 15th.
Introduction In 1985, the United Arab Emirates passed a civil code that was to be applied to civil transactions, and commercial transactions were to be exempted from the scope of this law. Still, the difference between the two wasn't explicitly stated. Till 1993, the courts in the UAE depended on tenets of common law to decide commercial cases. However, this changed with the introduction of Federal...
His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister and Ruler of Dubai, has issued Law No. (16) of 2021 to create a body with financial and administrative autonomy, known as Dubai Integrated Economic Zones Authority, bringing Dubai Airport Free Zone, Dubai Silicon Oasis and Dubai Commerce City, within their authority. The Law might help integrated economic zones in promoting...