FTA Extends timeline for VAT Returns in UAE

Federal Tax Authority (FTA) in UAE has today announced One Month Extension of Time-Line for submission of VAT Returns and VAT Payments for all Tax Registrants in UAE whose VAT Returns and VAT Payments for the period ending 31st March 2020 were due on 28th April 2020. It was anticipated that FTA would be extending the VAT Return Filing and VAT Payment date once the one week extension of Movement Restrictions for the 24 hour Sterlization Drive on account of COVID19 was announced in the Emirate of Dubai earlier this week, as it was practically not viable for Tax Registrants to be able to submit their VAT Returns and make VAT Payments by the due date of 28th April 2020. This extension of one month given by FTA for filing of VAT Returns and VAT Payments has been welcomed by Businesses across all the Emirates in UAE, as the Businesses in the other Emirates in UAE are also working at around 30% to 50% of their capacities due to COVID19 restrictions. Hence, this relief provided by FTA today is the relief that Businesses across UAE were eagerly awaiting.