The UAE introduced a VAT system on 1 January 2018, and the economy has streamlined a lot in the last three years. In the fourth year, we have seen UAE taking various measures in strengthening its Tax ecosystem, wherein FTA has been seen taking the prime role. Want to know more about Certificate Commercial Activities.
What is Commercial Activities Certificate (CCA)?
A CCA means a document issued by the FTA based on a request from a VAT-registered person to be used to support the recovery of VAT incurred by the registrant in a different country regardless of whether a double tax avoidance agreement exists or not.
In certain cases, business transactions outside the UAE require payment of VAT in advance. The Commercial Activities Certificate will help the parties to claim the refund of such tax paid in advance.
The CCA, therefore, provides confirmation of the applicant’s VAT registration and that the person is carrying on a business in the UAE or is a government entity.
Benefits of Obtaining the CCA
The certificate holders can get a refund on advance payments in jurisdictions outside the UAE through the Commercial Activities Certificate, irrespective of the DTAAs.
How to obtain a Commercial Activities Certificate in the UAE?
An applicant must have been registered on VAT and has an active TRN number to get CAC done. One has to apply for the same through the FTA portal, and the following are the documents required for this purpose:
Need Help? Contact Us:
Taxable persons may find it hard to understand the documents FTA may call for successful registrations for various services. The procedure can get delay if any error happens. To avoid such delays, consult with us as we are registered tax agents in UAE and can help you with the right procedures and documentation.