This Public Clarification addresses the VAT treatment for goods imported by a VAT-registered agent on behalf of a VAT-registered owner. When an agent acts as the importer of record, the import VAT is auto-populated in their VAT return (Box 6). The FTA clarifies that the agent must make a negative adjustment in Box 7 to nullify this amount. Concurrently, the actual owner must make a positive adjustment in Box 7 to declare the import. This process ensures the owner, not the agent, can recover the import VAT. It also details record-keeping requirements and an alternative arrangement under Article 50(7) of the Executive Regulations.
VATP012
VAT Public Clarification
Importation of goods by agents on behalf of VAT registered persons
Issue
Continue Reading
Access Full Content
You're viewing a preview of this document. Please log in to unlock the complete content, annotations, and research tools.
Click here to view details of the free plan and the subscriptions we offer.