Every VAT-registered business in the UAE is required to have a Tax Registration Number UAE issued by the Federal Tax Authority (FTA). This 15-digit unique identifier is necessary for VAT compliance and financial transparency. Any business earning over AED 375,000 annually must apply for a TRN to avoid legal complications.
Who Needs to Register for a TRN?
- Businesses with taxable supplies exceeding AED 375,000 annually (mandatory registration).
- Companies with earnings between AED 187,500 and AED 375,000 (voluntary registration).
- Freelancers and professionals engaged in taxable activities.
Documents Required for TRN Registration
- Valid trade license
- Passport and Emirates ID of business owners
- Bank account details
- Financial statements or projected turnover
Step-by-Step Process for Tax Registration Number UAE
- Create an Account: Register on the FTA e-services portal.
- Fill in Details: Enter business information, trade license details, and financial records.
- Upload Documents: Submit all necessary supporting documents.
- Receive TRN: Once approved, the FTA issues the TRN, allowing VAT transactions.
Why is a TRN Necessary?
- Enables businesses to charge VAT legally
- Required for VAT return filing and tax payments
- Allows input VAT claims for business expenses
- Avoids penalties for non-registration
Conclusion
Obtaining a Tax Registration Number UAE is vital for business legitimacy and smooth operations. Following the correct registration steps ensures compliance with UAE tax laws, allowing businesses to manage VAT efficiently.