VAT Penalty Reconsideration in Dubai
Reconsideration of VAT Penalties in Dubai, Services for Reconsideration of VAT Penalties, VAT Fines & Penalties in UAE, and FTA VAT Fines in UAE In Dubai, Finsouls Accounting Services is an FTA-certified VAT consultant. The regulatory agency in charge of monitoring and collecting federal taxes, fines, and penalties in the UAE is known as the Federal Tax Authority. In order to engage in appropriate fiscal planning, business organisations and entrepreneurs must be knowledgeable of the nation’s tax regulations, according to the article (27) of Federal Law No. (7) of 2017, taxpayers may request a VAT Penalty Reconsideration in Dubai if they are dissatisfied with the authority’s judgement.
When may a VAT penalty reconsideration application be made?
Any business that feels they have been unfairly fined may file a VAT Penalty Reconsideration in Dubai within 20 working days of receiving the penalty (for example, a VAT Late Payment Penalty). It must be completed in Arabic online.
How does the FTA respond to requests for reconsideration of the vat penalty?
Within 20 working days after receiving the application, the FTA will examine the relevant facts and make a determination. The FTA will notify the applicant of its decision within five days after making it. Depending on the situation, the FTA has the jurisdiction to overturn the fine.
VAT administrative fines in the UAE might take the following forms: The FTA imposes these fines when businesses violate or fail to comply with the rules outlined in Federal Law No. (7) of 2017.
Penalties for tax evasion are levied on businesses that use unethical methods to avoid paying taxes or reduce their dues.
What should one do if they disagree with the FTA's ruling?
One may contact the Tax Dispute Resolution Committee if they are dissatisfied with the FTA’s judgement and think they have a case for reconsideration. After receiving the FTA’s notification of refusal, such an objection must be made. In the following two situations, you cannot object to the FTA’s decision:
If the FTA has not already received the reconsideration
The assessed penalties have not yet been resolved.
Within 20 working days, the Tax Dispute Resolution Committee will assess the matter and issue a ruling. If new information has come to light, the deadline may be extended by another 20 working days.
This committee’s ruling is final if the fine is less than AED 100,000. Within 20 working days of receiving notice, a person may file a lawsuit in federal court if the fine exceeds AED 100,000 and they are not happy with the outcome.
The UAE devised this system to make sure that companies may operate in a just and dynamic environment while boosting the economy. The UAE maintained its dominance in the Middle East and Arab region. It ranked 16th out of 190 countries in the World Bank’s 2020 Ease of Doing Business ranking, thanks to open systems and a robust economy.