Who is a Tax Agent?
The Federal Tax Authority has given the provision for selected qualified and licensed person to assist taxable person in compliance under UAE VAT. These persons are named as Tax Agents in the UAE. In other words you can say Tax agent is a person holding a special recognition with Federal Tax Authority and he comes under the qualification as specified by FTA.
According to the FTA (Federal Law No. 7 of 2017 on Tax Procedure), an FTA tax agent may be appointed to act on behalf of an individual without prejudice to the tax authorities before him or her in connection with tax matters before the Authority.
A Tax Agent in the UAE is a person who is licensed or registered with Federal Tax Authority and can be hired by any business to represent them before FTA, and assist the tax payer with all Tax duties and rights applied. A Tax agent can assist a business or a taxable person properly to follow with their VAT requirements while saving them time and effort.
An appointed Tax agent will take care of the client’s tax obligations and performs different legal activities specified by UAE VAT law. A Tax agent in the UAE analyzes the business tax liabilities to ensure that the all activities of transactions of the business comply with FTA rules and regulation.
Responsibility of a Tax agent do not complete with the filing of quarterly returns. They can be or they should be more helpful in the time of tax assessment and representations before FTA, which are considered as more complex duty and require advanced skill on taxation too. A Tax agent in the UAE would be capable to aid and make things easy, reduce the pressure of the tax payer before Federal Tax Authority.
Engaging a person in the company for tax affairs consumes more time and effort. As a VAT agent we can do VAT Registration, VAT Counseling, and regular VAT related duties and obligations in the UAE.
Managing tax matters is not easy , in fact it’s a time consuming and costly thing.Appointing a Tax agent will not only reduce the pressure and work load but also provide you advanced knowledge about VAT from his experience working with different clients.
The lack of knowledge about UAE VAT will face by the firms newly registered in the UAE. Understanding the transaction types and impact of VAT on that is important for a business to be on the safe side. These stuffs will be easier after appointing a registered Tax agent on behalf of you to represent you or your business before Federal Tax Authority.
The duties of a Tax agent is not limited to the following
- Assist the business or taxable person with their tax duties in accordance with the contractual agreement that agreed by both the Tax agent and the Tax payer.
- Maintain the secrecy of the information received while performing his duties as a tax agent with different businesses.
- Avoid or refuse to perform or to be engaged in any duties that could lead to violation of Tax law and affect Tax system of the country.
- Provide all the details , documents or data to the Federal Tax Authority on behalf of Taxable person if requested by FTA.
As we already discussed A Tax agent represents the Tax payer before FTA.
As your tax agent in the UAE, We hold a responsibility of providing required information, documents, records and financial data to the Federal Tax Authority (FTA) if requested to do so on your behalf.
As a tax agent in the UAE, our services are not limited to the following:
VAT Registration / VAT Group Registration
Preparation of input , output VAT and file return on behalf of you
To keep or maintain all VAT transactions or records as specified by the Federal Tax Authority
Communicate & represent you before FTA on behalf of you
Assist the Tax payer and Assist the FTA in conducting a Tax Audit
Maintain or prepare all the documents or transactions for Tax Audit
Process the deregistration process if required
A Tax Agent should cover the following
- The person should be good and honest in character and never been convicted of a crime that is detrimental to honor or honesty.
- A verified degree in Bachelor’s with core course as taxation, Accounting or law from an accredited educational firm is required.
- Should have a minimum of 3 years’ recent experience in tax , qualified accounting or law
- Should pass FTA’s Tax agent exam and provide a certificate showing English and Arabic communication in verbal and in written form.
- The person should be fit in both mentally and physically
In two cases The FTA will reject your application to become a Tax Agent
- When the applicant not meeting the registration requirements
- The Person’s registration will badly effect the tax system of the country.