VAT Deregistration in the UAE – Expert Support from Qualira Accounting
When a business in the UAE stops making taxable supplies or fully ceases its operations, it is legally required to apply for VAT deregistration with the Federal Tax Authority (FTA). Many companies forget to submit the Cancel VAT Registration Dubai request after liquidation or after discontinuing taxable activities — which results in non-compliance and significant penalties.
Qualira Accounting, a registered Tax Agent with the FTA, helps businesses complete the VAT deregistration process smoothly, accurately, and within the legal deadlines. Our experienced VAT consultants in Dubai ensure full compliance and protect you from unnecessary fines.
What Is VAT Deregistration?
VAT deregistration is the official process of cancelling a company’s VAT registration and deactivating the Tax Registration Number (TRN).
Once deregistered:
- the business no longer files VAT returns,
- no longer collects or pays VAT,
- and is no longer treated as an active VAT registrant in the UAE.
VAT deregistration becomes mandatory when a business no longer meets the registration requirements or stops operating.
Who Must Apply for VAT Deregistration in the UAE?
Businesses must apply under these three scenarios:
1. Compulsory Deregistration
You must deregister if:
- the business has stopped trading or has been closed,
- taxable supplies and imports in the past 12 months are below AED 187,500 (the voluntary registration threshold).
2. Voluntary Deregistration
You may deregister if:
- taxable supplies and imports in the past 12 months are below AED 375,000,
- but still above AED 187,500.
VAT Deregistration Services by Qualira Accounting
Our tax specialists guide you through every step of the process. Services include:
- Evaluating eligibility for VAT deregistration
- Preparing and reviewing all supporting documents
- Submitting the application through the EmaraTax platform
- Filing the final VAT return
- Settling outstanding tax liabilities
- Submitting refund claims (if applicable)
- Handling all FTA communication
- Providing support during audits or FTA inquiries
With Qualira Accounting, you avoid delays, errors, and penalties.
VAT Deregistration Deadlines in the UAE
You must submit the deregistration application within 20 business days from the date you become eligible.
Missing this deadline results in substantial fines.
VAT Deregistration Penalties
Late deregistration leads to:
- AED 1,000 penalty per month,
- up to a maximum of AED 10,000.
Working with tax professionals like Qualira Accounting is the safest way to avoid administrative penalties.
VAT Deregistration Process (Step-by-Step)
- Submit VAT deregistration request via EmaraTax
- Clear all outstanding VAT payments and refund requests
- Receive acknowledgment from the FTA
- Provide additional documents if requested
(Trial Balance, contracts, invoices, etc.) - FTA reviews the case and updates the status to Pre-Approval
- FTA specifies the period for the final VAT return
- Submit the final VAT return
- FTA deactivates the TRN and issues the official deregistration certificate
Frequently Asked Questions
1. Does the FTA issue a deregistration certificate?
Yes. After approval, you can download the VAT Deregistration Certificate through your EmaraTax dashboard.
2. When is the final VAT return due?
No later than 28 days from the date provided by the FTA before the pre-approval stage.
3. When must I pay the outstanding VAT?
The tax must be settled within 28 days from the effective deregistration date.
4. How long does deregistration take?
The process typically takes more than 6 months, depending on FTA review times.
Contact Qualira Accounting
If you are unsure whether your business qualifies for VAT deregistration or you want to avoid penalties and ensure full compliance, our team is ready to support you.
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