Register your Company in Dubai
Sharjah is one of the UAE’s most flourishing areas, in terms of both economy and population. It is the third largest and populated Emirate and contributes to 7.4% of the GDP. In recent years, the local government has been introducing new laws and policies to attract foreign investment. This has resulted in a rapid growth of business and trade in Sharjah. Today, it is clear that starting a business in Sharjah leads to many potential future business opportunities. The most critical step in business setup in Sharjah is getting a trade license. Here is everything you need to know about the process of obtaining a trade license in Sharjah. What is a Sharjah Trade License? A trade license is a document that you require in order to be able to legally commence your business activities in the UAE. Without trade license, you do not have permission to operate any business within the jurisdiction of Sharjah. The process of acquiring a trade license is supervised and conducted by the DED (Department of Economic Development). Upon obtainment of your license, you will be allowed to carry out the following activities:
How to Get a Trade License in Sharjah Here are the basic steps for obtaining a Sharjah trade license. For your convenience, we recommend recruiting a company formation consultancy to help you streamline this process.
Documents Required for Sharjah Trade License In order to get a trade license in Sharjah, you will have to submit the required documents and relevant paperwork to the DED:
The Cost of a Trade License in Sharjah The trade license fees in Sharjah are as seen in the table below, however, the fee can vary depending on the type of license you wish to obtain. Reservation of Trade Name
Trade License Renewal in Sharjah After you receive your Sharjah trade license, it will be valid for one year. In order to continue running your business in Sharjah, you will have to renew your trade license on an annual basis. The following are the documents needed to renew your trade license in Sharjah.
Failure to renew the license within the stipulated time can result in penalties such as heavy fines or blacklisting of your company. Therefore, it is very important to renew it well before the expiry date. A business setup consultancy in UAE will offer trade license renewal services to ensure that your license is never expired. Cost of Trade License Renewal in Sharjah The price of renewing a trade license in Sharjah can vary depending on the type of license. However, the range to expect to pay is between AED 9000-13000. The factors incorporated into this cost include:
Canceling a Trade License in Sharjah Should you wish to cancel your trade license in Sharjah, there is a small procedure that you must go through as well. The information mentioned below are the steps that you need to take.
The Best Business Setup Consultancy in Sharjah That is all regarding the process of obtaining and cancelling a trade license in Sharjah. Keep in mind that the above-mentioned points are just a general overview and not specific to every kind of business. Whilst the procedures are relatively clear-cut, it can be difficult for an individual who is new to the Emirate and unfamiliar with the legal structure and framework in Sharjah. It is for this reason that we recommend that you get the services of a business set up consultant in Sharjah. Their years of experience can make the job easier for you and allow you to focus on other aspects of your business. Additionally, they can help you choose a name, locate a suitable office, and register your company in the initial stages. Contact us today for more information on how to easily and smoothly setup your business in Sharjah!
1 Comment
Having your business being set up inside Dubai requires you to get your filling system compiled with the standards set by the state authorities. VAT (value added tax) is collected all across the supply chain. A wide range of enterprise does business inside the UAE and Dubai. And through the operations of these industries the State raises revenue to benefit the public.
There are two ways to get on the list of VAT registered enterprises:
Each of the business entities needs a professional level of accounting, auditing and management services. For the growth and expansion of businesses inside the UAE there is always a requirement for assembly of a professional team which consists of accountants and other professionals.
Company Setup Consultants are able to comply with your requirement and provide you the standard services inside the UAE. We have the over qualified accountants and consultancy experience inside the marketplace.
Dubai and whole UAE has the FTA (Federal taxation Authority) which takes care of the financial documentation and related policies. There are certain steps which are highlighted for getting your VTA registration inside the UAE.
There is a specific criterion been set up by the State authorities for all the businesses bodies. It all depends upon the total taxable items which it supplies or imports inside Dubai.
Implications of VAT The UAE has a set of policies to follow for any enterprise doing business inside the region. A new source for raising revenue and providing quality services to the public. Till now UAE, Kingdom of Saudi Arabia, Bahrain and Oman have imposed the VAT inside their territories.
1. Implications of VAT on individuals VAT applies all across the supply chain. But it considered to be a loss for any middle-class person who tends to spend most of its fortune for acquiring goods and services.
2. Implications of VAT on Businesses Any Business which is a tax registered firm and are present on the mainland (Free Zones have 0 Percent tax) inside the state of the UAE. Firms that are tax registered inside the UAE and are doing business in the supply and export domain would be required to collect the VAT on behalf of the State.
GCC (GULF Corporation Council) had their sole dependency upon the non-renewables (Oil & Gas) for generating revenue and more over running the states. Only UAE, Kingdom of Saudi Arabia, Bahrain and Oman has imposed the VTA inside their territories leaving out a number of countries in the GCC.
What are the tax-free zones for the transfer of goods?
An enterprise operating inside the free zone is not excluded from the VTA. As there are some designated zones and for such regions there is a set of policies been highlighted by the FTA (Federal Taxation Authority) of the UAE. Business operations inside the Designated zone Any business operation or transaction on good and services carried out by the business entities inside the designated zone will be exempted from the VTA. Import of goods from designated zone to the mainland The supply of goods from the designated zone to the mainland will be considered as an import. Import of goods from mainland to the designated zone While the supply of goods and services from the mainland to the designated is a local operation related to business. Business between the designated zones The supply of good and services between the designated zones will be exempted from the VTA rules but there will be implication of GCC custom duty rules on such operations. Tax Groups If the enterprises form a tax group with firms on the mainland there will be the set of tax policies guiding the firm through such process. How VAT apply on import of Goods? The import of goods and services from outside the UAE in to the region has to pay the required VTA. The rate of VTA depends upon the cost of shipments, value of the goods and the handling cost of the items or shipment. Reverse charge basis The firm or enterprise which tends to do import of goods and services into the UAE has to pay the VTA on the "reverse -charge basis".
VTA is been imposed on the total supply chain, as the state is not directly involved in collected the VTA taxes. For such reasons the end- user or consumers pays the 5 percent VTA to the reseller or sales person and collects the VTA on behalf of the State. Author's Recommendation To have smooth running and productive businesses inside the UAE you must however contact us (Company Setup Consultants). With years of experience in setting up your business to Pro Services Company Setup Consultants all also work on the VAT registration and other financial services for our clients. For more information you can also visit our office or visit our website. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |