Federal Tax Authority Holds 3rd Meeting for Tax Agents, Reports Exponential Growth in Number of Tax Agents

E. Khalid Al Bustani: Rigorous standards have been set for Tax Agents to ensure utmost efficiency

Dubai – Tax Agents play an essential role in the success of the tax system, asserted His Excellency Khalid Ali Al Bustani, Director General of the Federal Tax Authority (FTA), at the third Meeting for Tax Agents organised by the FTA, noting that the Authority had set rigorous standards to regulate Tax Agents’ job and ensure utmost efficiency.

The meeting forms part of the FTA’s plans to maintain constant communication with its strategic partners. It explored ways to enhance cooperation and coordination to drive up compliance rates and spread awareness about the principles of the tax system and the services the Authority offers Taxable Persons to help them implement the system.

During the meeting, FTA representatives answered questions that were frequently directed at Tax Agents, responding to attendees’ enquiries into various tax-related subject, such as input tax segmentation and alternative mechanisms, applying a Zero-Rated Tax on education and healthcare services, and the export of goods and services.

Furthermore, the FTA team went on to explain the mechanism for submitting objections and appeals to FTA decisions, highlighting various available methods for doing so, such as calling on the Authority to reconsider, filing appeals before the Tax Dispute Resolution Committee, or challenging the FTA decisions before the competent court.

In a statement, the Federal Tax Authority called on Taxable Persons to ensure accuracy when registering and submitting Tax Returns, urging them to only deal with Agents registered with the FTA, and cautioning that enlisting the services of unauthorised and inexperienced agents could lead to mistakes, violations of tax regulations, and subsequently, administrative penalties.

Print centres are not authorised to carry out tax registration procedures, file Tax Returns online, or process tax payments on behalf of registered businesses, the Authority noted, revealing that there are now more than 320 Tax Agents, working through Tax Agencies, authorised by the FTA to help businesses comply with tax regulations and meet their obligations. These Agents have met the necessary technical requirements, conditions, and qualifications, and passed the Authority’s tests.

Speaking at the opening of the meeting, which brought together FTA officials and a host of Tax Agents, H.E. Al Bustani said the UAE is among the first countries in the region to set clear procedures for finding and hiring qualified, trustworthy, and professional Tax Agents. This, in turn, is part of the Authority’s plans to provide all necessary support and assistance to run a tax system that meets international standards and best practices, and that allows businesses to fully comply with their obligations with minimal time and effort.

“Tax Agent is a new profession in the UAE, and with that in mind, the Authority worked to  create a selection process for Agents that is based on their qualifications. Moreover, the FTA calls for training qualified individuals that have the potential to fill the new positions created by the UAE tax system,” H.E. explained, revealing that the Authority is finalising procedures to register a new batch of Tax Agents. “An authorised Tax Agent can be solicited by any individual or entity, represent them with the Authority, and assist them in meeting their obligations and exercising their tax rights. Tax Agents contribute a great deal to enhancing the relationship between the Federal Tax Authority and businesses that are subject to the tax system.”

H.E. Al Bustani noted that the number of Tax Agents authorised by the Authority is growing in parallel with the expanding base of Taxable Persons. This provides greater options for taxpayers who want to hire an Agent to assist them in tax procedures, and who now dispose of an extensive list of authorised agents, available on the FTA website and constantly updated.

The meeting saw FTA representatives introduce participants to several important topics directly related to their field of work, highlighting the continuous upgrades on the Authority’s online services, particularly those that allow users to connect with an authorised Agent who can carry out registration and other tax procedures, as well as submit periodic Tax Returns. On the other hand, the website also allows users to monitor procedures in real-time.

The Federal Tax Authority explained that these online services allow every Taxable Person to appoint one or more Tax Agents to represent them with the Authority, and help them meet their tax obligations and exercise their rights. The Authority noted that a Taxable Person can easily link their account with a registered Tax Agency by simply accessing the FTA’s e-Services portal and following a set of clear steps.

The Federal Tax Authority was established by Federal Decree-Law No. (13) of 2016 to help diversify the national economy and increase non-oil revenues in the UAE through the management and collection of federal taxes based on international best practices and standards, as well as to provide all means of support to enable taxpayers to comply with the tax laws and procedures. Since its inception in 2017, the FTA has been committed to cooperate with the competent authorities to establish a comprehensive and balanced system to make the UAE one of the first countries in the world to implement a fully electronic tax system that encourages voluntary compliance, with simple procedures based on the highest standards of transparency and accuracy – beginning from registration, to the submission of tax returns, to the payment of due taxes through the Authority’s website: www.tax.gov.ae

© Press Release 2019