United Arab Emirates

• domain name provision service, web-hosting and remote maintenance of programs and equipment;
• supply and updating of software;
• provide access of images, text, and information provided electronically, such as photos, screensavers, electronic books and other electronic documents and files;
• supply of music, movies and games on demand;
• supply of e- magazines;
• supply of advertising space on a website and any rights associated with such advertising;
• provide access of political, cultural, artistic, sporting, scientific, educational or entertainment broadcasts, including broadcasts of events;
• live streaming via the Internet;
• distance learning service; and
• services of an equivalent type which have a similar purpose and function.

For the purpose of determining the location of the recipient, some of the factors which may be indicative of the recipient’s location are:

• the internet protocol (“IP”) address of the device used by the recipient to receive the electronic service
• the country code stored on the SIM card used by the recipient to receive the electronic service
• the place of residence of the recipient
• the billing address of the recipient and/or
• the bank details used by the recipient for the payment

The registration application must be submitted online. To do this, you need to create an account on the portal, fill out a questionnaire and attach the necessary documents.

After VAT registering in the UAE, you need to file a VAT declaration and make the appropriate VAT payments within 28 days from the end of the tax period. The standard period is a month.

Pay the VAT due before the deadline for submitting declarations.

• 2% penalty on the amount of unsettled tax
• 4% monthly penalty is due after one month from the original due date of payment, then on the same date monthly thereafter

There is a strict requirement for the maintenance of all the records for minimum of 5 years. Annual accounts as well as any additional information necessary to verify entries should be maintained. General ledgers, purchase day books, invoices and credit notes issued and received, VAT ledgers, VAT calculations, adjustments, record of supplies, exports and imports etc. should all be maintained and readily available to be presented to the FTA if the case of any VAT audit.