The decision reflects the Authority's commitment to guiding taxable persons
and ensuring their full compliance to avoid administrative penalties.
As such, taxable persons
(whether businesses or an individual with an annual supply threshold of at least $100,000 registered with the competent tax authority) need to understand the underpinning principles of intra-GCC trade in the post-VAT era.
should only be acceptable criteria to obtain Certified Taxable Person
(CTP) status if such person does not have compliance records over a certain period of time, e.
However, if you are then deemed a US taxable person
, your account may become limited in options, frozen or even closed.
A natural person shall not be considered a taxable person
in respect of the supply of goods and/or services if the transactions concluded by the natural person are not related to the economic activities carried out by him.
It is mandatory for the taxable person
to indicate in invoices, if the cash accounting scheme has been applied.
Scope of VAT - VAT is imposed on all taxable supplies of goods and services in Saudi Arabia by a taxable person
or received in Saudi Arabia by a taxable person
where the reverse charge mechanism applies and on imports of goods.
Other Member States, despite obvious advantages to collecting VAT from a few large taxpayers, employ various other rules for determining which taxable person
must declare VAT on those transactions.
It held that the VAT exemptions must be interpreted strictly because they constitute exceptions to the general principle that any service rendered against payment by a taxable person
for VAT purposes is subject to the tax.
Article 44 sets forth the general rule and substantially modifies the present system: "The place of supply of services to a taxable person
acting as such shall be the place where that person has established his business.
The ruling went on: "The national measures at issue provide that a taxable person
other than the person who is liable can be made jointly liable to pay the VAT if, at the time of the supply to him, the former knew or had reasonable grounds to suspect that some or all of the VAT payable would go unpaid.
A taxable person
shall settle payable tax in relation to a tax return using the means specified by the Authority so that it is received by the FTA no later than the date specified.