Executive Regulations of UAE VAT Law – Amendments

The FTA released cabinet decision no. 100 of 2024, amending cabinet decision no. 52 of 2017. This amended the executive regulations of the UAE VAT Law.

These changes were made effective from 15th November 2024 (unless otherwise specified in the article of this decision)

Key Amendment’s and their implications impact:

Financial Services

These amendments affect; Definition of virtual Assets, Tax Treatment of Financial Services, Exemptions for Government Transactions, Exception for Deemed Supply, Tax Deregistration, and Profit Margin Scheme.

Proof for Export of Goods

This section of the booklet discusses the Zero-Rating of the Export of goods under the Executive Regulations of UAE VAT Law. This includes meaning of Zero-Rating of Exports, clarification on acceptable documentation, types of official evidence, types of commercial evidence, and clarification on shipping certificate.

Input VAT Recovery on Health Insurance for dependent

Here, the amendments are made to non-recoverable Input Tax, apportionment of Input Tax, adjustments under the Capital Assets Scheme, Tax Invoices, and Foreign Governments.

These changes enhance clarity and flexibility for businesses across various sectors. It is an ideal time to review your VAT practices and ensure compliance with the new regulations. 

Executive Regulations of UAE VAT Law – Amendments

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Reflection on the Tax Kraanti Event 2024

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Tax Kraanti Event 2024

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Corporate Tax and compliance Summit 2024

On the 2nd of October, our director, CA Nirav Shah attended the “Tax Kraanti” event that precisely reflected the compliance challenges faced and strategic approaches adopted by businesses in the UAE’s tax dynamics. On the birth anniversary of Mahatma Gandhi and Lal Bahadur Shastri, we explored how their ideals of truth, fairness, and responsibility apply to today’s corporate tax environment, especially in light of the UAE’s evolving tax dynamics.

As we explored how ethical leadership shapes the future of taxation in the UAE, Nirav’s insights reaffirmed the value of VAT and Corporate Tax comprehension for businesses in the UAE. We delved into the ‘Kraanti’ (revolution) in UAE’s tax approach with the new Corporate Tax, providing valuable insights on VAT and Corporate Tax synergies, and sharing best practices for tax integration and compliance.

Highlights of the Tax Kraanti Event

The event was focused on discussing the differences in the implications and strategies behind Corporate Tax and VAT in the UAE. The panel discussions covered crucial subjects including the key differences in compliance requirements for VAT and Corporate Tax, recent amendments in VAT aligning with Corporate Tax Provisions, and the best Practices for integrating VAT and Corporate Tax.

Together, we can continue to drive positive change and elevate the standards of tax compliance in our community. Our Tax advisory and Tax consultancy services are a step in the same direction. We look forward to more such initiatives driving the community towards more vigilant tax practices.

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Tax Procedures for Private Clarifications: UAE Corporate Tax

Tax procedures for private clarification under UAE Corporate Tax

The Federal Tax Authority (FTA) published a Corporate Tax Guide on “Tax Procedures for Private Clarifications” on the 18th of November 2024. The objective of this guide is to provide taxpayers with general guidance on when and how to file for a Private Clarification to the FTA.

The ground of this booklet covers:

What are Private Clarifications?

Here, the meaning and specifications of a Private Clarification and the portal for filing such Private Clarifications is mentioned and explained.

Eligibility Criteria

The eligibility criteria cover two crucial aspects; Eligibility of the person filing for the Private Clarification and Eligibility of the subject of the request filed.

Grounds for Rejection

Grounds for Rejection spans out the cases under which request for a Private Clarification can be rejected by the FTA.

Clarification Process

The process includes essential subjects such as submission of the Private Clarification request, withdrawal of a request, and finally issuance of a Private Clarification.

Our booklet is designed to deliver clarity on the means and ways to file for a Private Clarification. It also elaborates on the conditions under which the FTA might reject an application for a Private Clarification.

Tax Procedures for Private Clarifications: UAE Corporate Tax

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Best of 2024: FAME’s Year in Review

Best of 2024: Fame's insights on Corporate Tax, VAT, & More

Ayushi Agrawal

January 6, 2025

As 2024 comes to an end, it’s not just another year we are celebrating – it’s a decade of Taxcellence. Over the last 10 years, FAME Advisory has been on a journey of growth, innovation, and unwavering commitment to excellence. This year has been particularly significant, with new regulations shaping the landscape of corporate taxation in the UAE.

From VAT amendments to tax groups and wealth planning, we have covered a wide array of topics to support businesses in staying ahead. Out of all our contributions, these seven articles have stood out as the most impactful in 2024:

1. Corporate Tax Registration on EmaraTax: The Complete Guide

This article is a one–stop guide for everything about Corporate Tax Registration. In this piece, we have covered everything from the foundational basics, steps and procedures, and common mistakes, to the expected timeline of registration on the EmaraTax portal.

2. VAT Penalties and Fines in UAE: Cabinet Decision No. (49) of 2021 Impact

A vital read for UAE businesses, that discusses the VAT amendments which came in effect after Cabinet Decision no. (49) of 2021. Here, the changes that led to reduction in VAT penalties and fines compared to previous legislation, since these amendments, are highlighted. A comparative Analysis of the penalties that were applicable previously and the new penalties, helping businesses in the UAE understand the regulatory shifts and its potential impact on their operations.

3. UAE Corporate Tax Group: Pros, Cons, and Considerations

FAME delved into one of the most deliberated subjects, a Tax Group in the UAE. This article outlined a careful analysis of UAE CT treatment to a Tax Group. A thorough analysis of the consideration’s businesses must keep in mind when deciding whether or not to form a tax group, along with its benefits and limitations.

4. Determining a Non-Resident Person’s Nexus in UAE for Corporate Tax Purposes

This article dealt with determining a non-resident person’s nexus in UAE. It focused on the treatment of non-resident persons under the UAE Corporate Tax Law. A crucial read for international businesses and foreign investors, the article clarified the special treatment these individuals may receive under UAE Corporate Tax Regulations.

Does lack of information hinder your business's growth? Stay vigilant with knowledge that helps you comply.

Learn More Today!

5. Navigating Estate Succession in the UAE: Options for Non-Muslim Expatriates

This article provided non-Muslim expatriates in UAE with the requisite clarity on estate succession in the UAE. It detailed on the available platforms for their Will registration, particularly essential owing to the fact that the absence of a Will leaves the distribution of their estate to be done under Shariah law, which may not align with their preferred means of distribution. This article highlighted various registration options and their benefits for expatriates seeking flexibility in estate planning.

6. Qualifying Public Benefit Entity: Registration and Exemption under UAE Corporate Tax

This article provided non-Muslim expatriates in UAE with the requisite clarity on estate succession in the UAE. It detailed on the available platforms for their Will registration, particularly essential owing to the fact that the absence of a Will leaves the distribution of their estate to be done under Shariah law, which may not align with their preferred means of distribution. This article highlighted various registration options and their benefits for expatriates seeking flexibility in estate planning.

7. Tax Loss Relief under UAE’s Corporate Tax Law: Key Factors

Startups and businesses may experience temporary losses in their tenures. During these phases, they can benefit from Tax Loss relief under the UAE Corporate Tax Law. In this article we have explored the key factors businesses need to consider and understand to take full benefit of tax loss relief, ensuring optimal financial strategy during challenging periods.

A Look Ahead with Gratitude

Taxation in the UAE continues to evolve, and staying informed has never been more important. These articles reflect just a fraction of the guidance we have been proud to provide to help businesses and professionals navigate these changes with confidence.

As we celebrate 10 incredible years, we want to take a moment to thank you for being a part of this journey. Your trust and support have been instrumental in helping us reach this milestone. Stay tuned for more insights, updates, and highlights from our anniversary celebrations. Here is to the next decades of Taxcellence together!

Want to grow your business in the UAE? Take the next steps in your journey with us.

Contact Us Now!

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GCC Tax And Regulatory Communique December 2024

Download GCC Tax and Regulatory Communique December 2024

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A Guide to Distribution of DIFC Foundation Wealth

The concept of foundation was introduced in the civil law jurisdiction, putting forward a similar legal framework for GCC nations with comparable histories. These Foundations function as separate legal entities from their Founders. This separates a Foundation from a Trust. This separation aids the protection of the Founder’s personal assets. In this way the Foundation’s holding remains discrete from the said founder’s personal assets.

This booklet delves into the nuances of wealth distribution from the perspective of Foundations. The aspects covered here include:

What is a DIFC Foundation?
Letter of Wishes: Non-Binding Expressions of Intent
Legal Directives for DIFC Foundation Wealth Distribution
A Case Study
FAME Advisory’s provision for DIFC Foundation Wealth Distribution
FAQs

Allocation of Foundation riches requires careful considerations. The Founders can utilize the Charters and Letters of Wishes within the DIFC’s legal framework to make sure their philanthropic or wealth distribution objectives are successfully matched at the dissolution of the Foundation by carefully

All the practical topics in relation to foundation wealth management are summed up in this booklet. This resource serves as a reference for any future wealth distribution plans you may have in relation to your individual foundation or foundations.

A Guide to the Distribution of DIFC Foundation Wealth

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Highlights of the Meteora NRI Tax Talk Event

The recent Meteora NRI Tax Talk, sponsored by FAME Advisory, was an outstanding event that provided an in-depth exploration of the intricacies surrounding NRI taxation. This platform brought together leading experts and professionals to discuss the latest developments, trends, and strategies in the field of NRI tax planning in the UAE.

Fame Advisory, known for its expertise in financial advisory and tax solutions, played a pivotal role in bringing this insightful event to life. As the business sponsor, Fame Advisory’s commitment to empowering Non-Resident Indians (NRIs) with the knowledge they need to make informed financial decisions was evident throughout the discussion.

Key Highlights of the Meteora NRI Tax Talk

Expert Insights: Our esteemed keynote speakers provided a comprehensive breakdown of NRI taxation issues, covering topics such as tax liabilities, regulatory changes, cross-border taxation, and financial planning for NRIs.
Engaging Discussions: Attendees had the opportunity to interact with tax experts, industry leaders, and fellow professionals, creating a dynamic environment for knowledge sharing.
Networking Opportunities: The event served as an excellent networking platform, where thought leaders and peers could foster meaningful connections.

We extend our sincere gratitude to our keynote speakers for their invaluable contributions and to all the attendees for their active participation. The success of this event was a result of the collective effort, and we look forward to continuing the conversation on NRI taxation.

Fame Advisory remains committed to providing top-tier financial and tax advisory services, and we are proud to have supported this event to help guide the NRI community in navigating the complexities of international tax systems.

Stay connected with us for more insightful events and resources that empower NRIs to take charge of their financial future!

Events