The FTA extends its full commitment to support taxpayers and enabling them to fulfill their tax obligations during these exceptional times, as authorities ramp up their precautionary efforts to prevent the spread of the novel Coronavirus (COVID-19).
As per the new directive released by The Federal Tax Authority (FTA). VAT registrants who are having quarterly tax periods from January 1 to March 31, 2020 & monthly tax period from March 1 to 31, 2020 must submit their returns and settle the payable tax, no later than May 28, 2020 allowing registered businesses sufficient time to fulfil their tax obligation before the deadline.
VAT Registrants must fulfill the following obligations:
• If they are subject to monthly filings, file their tax returns and settle their payable tax for the period from 1 to 31 March 2020, no later than Thursday, May 28, 2020.
• If they are subject to quarterly filings, file their tax returns and settle their payable tax for the period from 1 January 2020 to 31 March 2020, no later than Thursday, May 28, 2020.
• Ensure that the FTA has received the tax payable for the monthly/quarterly return for the period ending 31 March 2020, by Thursday, May 28, 2020.
However, the VAT registrants have to note this exceptional directive pertains only to VAT Returns for the tax periods that ended on 31 March 2020 and does not affect any other tax periods where the normal deadline for filing tax returns and settling of payable taxes does not fall in April 2020.
The FTA asserted that it would continue providing all its services remotely, facilitating registration procedures, as well as the filing of periodic Tax Returns and payment of due taxes. The advanced electronic system promotes and facilitates self-compliance, as it allows Taxable Persons or their representatives to complete all transactions quickly, easily, and with no need for personal contact or paper documents.