VAT on supply of goods and services is charged at a Standard Rate of 5%, some at Zero Rated and some are Exempt Supplies.

Yes, the UAE Corporate Income Tax was introduced on 1 June 2023. Generally, the taxpayers are subject to a Corporate Tax of 9% on the Taxable Income after the standard deduction of AED 375,000. However, there are various tax exemptions under the Corporate Tax Law that will reduce the Corporate Tax Liability to as low as Zero.

Businesses with taxable supplies exceeding the mandatory registration threshold must register for VAT. As of my last update in January 2022, this threshold was AED 375,000.

UAE Corporate Tax will apply to all UAE businesses and commercial activities, except for the extraction of natural resources, which will remain subject to Emirate level corporate taxation. Government Entities are exempt to the extend carrying out sovereign function.

Engaging a tax consultant for VAT and Corporate Tax compliance is beneficial. Tax Consultants can makes a business or a taxpaying individual aware of the UAE Corporate taxation rules. Tax consultants can also help prepare tax accounting for the tax purposes and achieve full compliance.

Yes, the non-deductible expenses can be ambiguous and lead into Tax Uncertainties especially if the taxpayer has international business activities subject to foreign tax in the Source Country and Foreign Tax Credit in the UAE or in Oman. You must seek assistance from your Tax Consultant.

In April 2021, Oman introduced

DP Taxation provides both Direct and Indirect Tax Services. DP Taxation also provides International Tax Compliance under the Tax Compliance verticals.
Under Direct Tax, DP Taxation provides Corporate Tax Registration, Corporate Tax Advisory, and Corporate Tax Return filing.
Under Indirect Tax, DP Taxation provides VAT Registration, VAT Advisory, VAT Health check, VAT Returns and all Emaratax Applications for Refunds, Voluntary Disclosures, Tax Grouping, Deregistrations, etc. DP Taxation provides Excise Tax Registration, Excise Tax Advisory and Excise Tax Returns filing.
Under International Tax Compliance, DP Taxation provides Economic Substance Reporting, Country by Country Reporting, FATCA filings, Common Reporting Standard filing, etc. We assist with Capital Gain Tax form filing in foreign countries and availing the benefit of reduced withholding taxes under the Tax Treaty.

Businesses meeting the registration criteria should submit an online application through the tax authorities portal, providing necessary documentation.