Federal Tax Authority (FTA) declared some VAT fines and penalties for the businesses who violate the VAT laws. These fines and penalties are started from AED 500.

Following are the VAT Fines and Penalties:

If you don’t keep the required records. AED 10,000 for the first time. AED 50,000 for each repeat violation.
If you don’t submit the required records in Arabic AED 20,000
If you don’t register within the timeline. AED 20,000
If you don’t deregister within the timeline. AED 10,000
If you don’t inform the authority about tax records. AED 5,000 for the first time. AED 15,000 in case of repetition.

Violations related to tax procedure

In the case of failure to keep the required records specified by the tax law. Need to pay 10,000 as the fine very first time and 50,000 on each repetition.
In the case of failure to submit the required records in Arabic when requested. Need to pay 20,000 as the fine
If you fail to submit a registration application within the timeframe. Need to pay 20,000
If you fail to submit a deregistration application within the timeframe specified by the tax law. Need to pay 10,000
In the case of failure to inform the authority of an amendment to tax records that need to be submitted. Need to pay 5,000 for the first time and 15,000 on each repetition.
In the case of failure to notify the authority that a legal representative has been appointed within the timeframe. The legal representative will be responsible for the penalties. Need to pay 20,000
If you fail in registration for submitting a tax return within a specified time limit by the authorities. You have to pay 1,000 for the first time and 2,000 each time if you repeat the law violation.