To initiate VAT registration, one must fill the VAT Registration form online and submit the essential documents required along

with the form in order to attain TRN Number. Once the application is submitted, the FTA will review the information and documents submitted, and if everything is found to be satisfactory, the application will be approved, and a Tax Registration Number (TRN) will be allotted. Any company that misses the VAT Registration Number cutoff date or fails to complete the VAT registration process under the deadline set by

the Federal Tax Authority must pay Fine.

A tax return is a record of the excise paid during each tax period. Businesses should file returns for excise tax online using the FTA portal. Excise tax returns should be submitted within 15 days after the relevant tax period. Excise tax should be paid 15days after the end of the calendar month. If the filing deadline falls on a weekend or a national holiday, it will be shifted to the first working day that follows the holiday or the weekend. It is always advised to file excise tax returns on time, even if the excise tax has already been paid. Filing excise returns late, or not filing them at all, will attract penalties from the FTA. In some instances, it happens that the FTA refunds the excise tax which has previously been paid on excise goods. Therefore, the taxable person can deduct the value of the tax from the total excise tax payable to the FTA on his excise tax return in the next month.

The cancellation of TRN/VAT Registration is called VAT Deregistration with the Federal Tax Authority (FTA). There could be various reasons, why a previously taxed business or an individual can opt for canceling their registration for VAT. Such reasons are needed to fall under the conditions defined by the law related to VAT. Even with valid reason, the approval from FTA will show the status of the application as “Pre-Approved” and will only be considered complete when all these liabilities are cleared and afterward fully deregistered.