What is a VAT Group Registration ?
According to the UAE VAT Law, two or more persons conducting businesses may apply for Tax Registration as a tax Group. A tax group is a group of two or more persons registered with the FTA as a single taxable person subject to fulfillment of conditions under UAE VAT Law.
What are the Conditions for applying VAT Group Registration ?
To be eligible for applying VAT Group registration, all of the following conditions need to be fulfilled.
What are the benefits of getting registered as a VAT Group ?
The following are the benefits of VAT Group Registration for the business
- All the entities within a VAT Group will be treated as 'ONE' entity for VAT purpose. This will help the businesses in simplifying accounting for VAT, and also compliance reporting like VAT returns are required to be prepared and reported at the group level instead of entity level.
- Any supplies within the entities of a VAT group, are out of the scope of the VAT. This means, VAT will not be levied on the supplies between the entities of a VAT Group. However, supplies made by the VAT group to an entity outside the VAT group are subject to VAT.