Dubai: All retail outlets in the UAE under the VAT programme need to sign up for the digital register of the tax refund scheme for tourists, which comes into effect some time next quarter. Retailers’ membership to the programme will be revoked if they fail to meet obligations, whether those stated in the tax laws or in the contract between the system operator and the retailer.
The Federal Tax Authority (FTA) is implementing the scheme in cooperation with Planet, and has identified four basic conditions for registering. These require the retailer to be registered with FTA for VAT and has a tax registration number (TRN); the supplier’s sales of goods must not be excluded from the refund scheme, as determined by the Authority; the retailer must submit a request to participate in the scheme as determined by the FTA; and the retailer must meet the financial credit requirements specified by the system operator and be committed to submitting tax returns and paying due taxes regularly.
“The FTA is hosting an extended meeting in collaboration with the system operator on September 25, bringing together representatives of retail companies and outlets in Ajman in an effort to maintain direct and constant communication with businesses,” said Khalid Ali Al Bustani, Director-General of FTA. Similar meetings will be held at the chambers of commerce and industry in Abu Dhabi and Dubai.
“The Authority has developed a comprehensive plan to introduce the new Scheme and its registration requirements and conditions, including induction programmes offered through the FTA official website, as well as social media, print and audio-visual outlets,” said Al Bustani.