Making payments overseas, or outside India, mandates individuals to fulfill certain documentation, legalities, and guidelines. Remittances to Non-Resident Indians staying in UAE are sanctioned by banks only if the person making the remittance provides an undertaking along with certificates, namely Forms 15CA and Forms 15CB. In simple terms, any NRI staying in UAE in need of funds/money transfer, or remitting funds from India to abroad, is mandatorily required to submit duly filled Form 15 CA and 15CB . The purpose of the two documents is to ensure that taxes have been paid on the funds involved before overseas remittance is carried. In case, the funds are remitted abroad without the due taxes are being paid, Individual will get notice from Income Tax Department. The two legal documents offer similar information, with the major difference that Form 15 CA is a declaration by the NRI wanting to remit funds, while Form 15CB is a Chartered Accountant’s certification of the same.
The UAE regulations mandate businesses trading goods and providing services to register for taxation. Value Added Tax (VAT) registration is simply a tax registration for such businesses in the UAE. However, not all businesses need to register for VAT. Businesses that exceed the annual aggregate turnover threshold, i.e. AED 3,75,000 and businesses that cross the total value of supplies in the next 30 days, must register for VAT. Get in touch with a VAT consultancy in Dubai to know if your company needs VAT registration. The businesses need VAT registration for showcasing themselves as Government-acknowledged entities. This further allows or authorizes them to collect VAT from their customers, which in turn is remitted to the Government. Why register the company for VAT? Apart from the basic functionality of VAT registration authorizing businesses to collect VAT, there are certain other tasks which can be performed by a VAT registered company: 1. Collect VAT for taxable suppl