Page 12 - ICAI UAE TAX UPDATE_October 2024

Article 14 – Tax 5. Where a Registrant applies for Tax deregistration due Effective from November 15,
Deregistration to the Taxable Supplies falling below the Mandatory 2024
Registration Threshold, the Authority shall, after approving
the application, deregister with effect from: a. the date
requested by the Registrant in the application,
b. the date on which the application is submitted if the
Registrant did not indicate the preferred Tax deregistration
date, or
c. any other date specified by the Authority.

Clause 9 has been added:

9. The Tax deregistration shall not absolve a Person from
having to comply with the provisions of the Decree-Law
and this Decision, including filing another Tax Registration
application when the Tax Registration requirements are met.

Article (14) (bis) – 1. The Authority may issue a decision to deregister a Person A new Article has been
Tax deregistration to for Tax if the Authority determines that maintaining such Tax added in relation to tax
protect the integrity of Registration may prejudice the integrity of the Tax system, deregistration, confirming
the tax system provided that any of the following conditions is met: the FTA’s right to issue tax
a. the Registrant no longer meets the Tax Registration deregistration decisions
requirements according to the provisions of the Decree- for taxable persons if
Law, the continuity of the tax
b. the Registrant has not submitted an application for Tax registration of such taxable
deregistration to the Authority as specified under Clause persons may prejudice the
1 of Article 21 of the Decree-Law, or the Registrant has integrity of the tax system
initiated a Tax deregistration application with the Authority
but has not completed such application, Effective from November 15,
c. any other conditions specified by the Authority. 2024
2. The Authority shall verify that the Person is not eligible
for Tax Registration before deregistering him.
3. Tax deregistration initiated by the Authority shall not
absolve a Person from having to comply with the provisions
of the Decree-Law and this Decision, including filing another
Tax Registration application when the Tax Registration
requirements are met.

Article (15) – It has been clarified that a member of a VAT group should Effective from November 15,
Deregistration of a tax be removed from the VAT group where, in addition to the 2024
group or amendment cases mentioned in the same Article, the member is no
thereof longer making taxable supplies.
Article 29- Accounting The profit margin is the difference between the purchase In addition to the purchase
for tax under Proft price of the Goods and the selling price of the Goods, and price of the good, now we
Margin the profit margin shall be considered to be inclusive of Tax. can deduct any costs and
The “purchase price” stated in Clause 4 of this Article fees incurred to purchase the
includes, in addition to the price of the Good, any costs and good.
fees incurred to purchase the Good. Effective from November 15,
2024
Article 30 – Zero-rating The Direct Export shall be subject to the zero rate if the Businesses can now use
the export of goods following two conditions are met: multiple forms of evidence
(customs declaration,
a. The Goods are physically exported to a place outside the shipping certificate, etc.) to

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UAE TAX UPDATE NEWSLETTER ISSUE 07 - October 2024