The provisions of the newly issued federal law on taxation has authorized the Federal Tax Authority (FTA) with the legal right to perform a tax audit on any business to determine their compliance with the provisions of the relevant laws.
- It is the procedure undertaken by the Tax auditor from FTA to inspect the commercial records of the taxable business, to ascertain the compliance to the tax laws.
* The taxable person or the legal representative has to register on the Federal Tax Authority online portal.
* The online process will be simple and take about 15 minutes.
* The FTA portal will open soon on voluntary basis, and Q4 will be a compulsory basis.
Filing Tax Return
Below are few things to remember while filing tax returns:
- VAT will be due in the end of each month or quarter. Within 28 days of the due date, the VAT return must be filed, if it is a weekend the deadline will be extended to the 1st following working date.
Challenge The FTA decision
Sometimes FTA might conduct tax audits, and ask you to pay more tax. In such cases if you feel you were unfairly charged more tax, you can challenge the Federal Tax Authorities decision.
There are two types of penalties which can be imposed for failing to comply with the below conditions respectively :
1.Intended to address noncompliance.