UAE To Establish Tax Authority

October 25, 2016 Taxation in UAE

Tax Authority in the UAEABU DHABI – New legislation in the UAE will see a Federal tax Authority established by the end of the year.

On October 24th the UAE President Sheikh Khalifa Bin Zayed al-Nahyan issued a decree establishing the Federal Tax Authority, which will oversee tax measures throughout the emirates.

The new Federal Tax Authority (FTA) will be charged with establishing and maintaining an accurate database of taxpayers, with information on the tax obligations owed by each taxpayer.

The FTA will also issue clarifications, guides, and opinions on tax legislation at a federal level across the UAE.

In addition to interacting with taxpayers, the FTA will also coordinate tax efforts and discussions between the federal government, local governments, and taxpayers, while also representing the UAE at regional and international meetings.

The Authority will also have the power to request information about taxpayers from third-parties, if the taxpayer in question is facing an audit by the FTA.

The decree issued by the President is set to be published in the Official Gazette, and is scheduled to come into effect in 90 days.