Procedures to Follow While Making FTA Payment

Procedures to Follow While Making FTA Payment

Every taxable person in the UAE must file their VAT return in time and make FTA payments when it is needed. People must follow all FTA rules to avoid any penalty. The FTA has set some clear steps that help people to pay taxes properly. People must always plan and act early to stay away from fines. Paying FTA taxes on time is a very important job for all companies in the UAE.

Types of Payments Made to FTA

People must make several types of payments to the FTA in the UAE. Most payments come from regular VAT returns. When a company calculates its output tax from sales or imports and compares it with input tax, the difference is the VAT due. If output tax is greater, then the company must pay the extra amount to the FTA. Sometimes, the FTA may charge penalties or fines if the company does not follow tax rules. Companies must pay these fines too. The main types of FTA payments are:

  • VAT liability from sales or services
  • Penalties for late filing or late payment
  • Fines for not following FTA rules

Methods to Make FTA Payments

The FTA gives different options to make payments. People can pick what suits them best.
You can make FTA payments by:

  • E-dirham card
  • Credit card
  • Local bank transfer
  • International bank transfer

Each method has some steps and charges. Let’s explain these below.

Steps to Make Payment With E-dirham Card or Credit Card

A person must log in to the FTA portal first. After logging in, go to the “My Payments” section.
Enter the amount you need to pay. The portal will show a “Pay Now” button. Click it to go to the payment gateway.
People can choose to pay using an e-dirham card or a credit card. The system will charge AED 3 if you use an e-dirham card. For credit card payments, you pay an extra fee of 2% to 3% of the total payment amount.
After you finish the payment, the system will send you back to the FTA page. The payment will show in your account shortly.

Steps in summary:

  • Log in to FTA portal
  • Go to “My Payments”
  • Enter payment amount
  • Click “Pay Now”
  • Pay with e-dirham card or credit card
  • Check payment in portal

Steps to Make FTA Payment by Local Bank Transfer

Every taxpayer gets a unique IBAN called GIBAN from the FTA.
To pay by local bank transfer, a person must log in to the FTA portal and copy their GIBAN number from the dashboard.
Next, open your bank’s online service and add the FTA as a new beneficiary.
Use the GIBAN as the account number and fill in the FTA details.
Send the payment as you do for any local transfer.
After you send the funds, it can take up to 24 hours for the FTA portal to show your payment.

Key steps:

  • Log in to FTA portal
  • Get GIBAN from dashboard
  • Add FTA as beneficiary in your bank
  • Use GIBAN and FTA details
  • Make the transfer
  • Wait for up to 24 hours for payment to show

Steps to Make FTA Payment by International Bank Transfer

Sometimes people need to pay FTA from a bank outside the UAE. In that case, the bank must be part of the SWIFT network.
Go to your bank and ask them to transfer the funds to FTA.
Give your GIBAN as the beneficiary IBAN and add all FTA details.
International transfers can take 3 to 4 days to process.
Once FTA receives the money, your payment will appear in the FTA portal.

Main points:

  • International bank must use SWIFT
  • Give GIBAN and FTA details
  • Payment takes 3 to 4 days to process
  • Check portal for payment update

Other Points to Know About FTA Payments

The FTA lets taxpayers pay full or partial VAT if needed. But every person must clear the whole due amount before the deadline. If you make a part payment, remember, the FTA will use it for the oldest tax debt first.
People can check their dues and payment status by using “VAT Transaction History” in the FTA portal’s “My Payments” area. Always pay on time to avoid extra fines.
Keep your records up-to-date after each payment.

Important reminders:

  • Full or partial payments allowed
  • Oldest dues cleared first
  • “VAT Transaction History” shows payment status
  • Always pay before deadline

How Mubarak Al Ketbi (MAK) Auditing Can Help You

Mubarak Al Ketbi (MAK) Auditing helps clients with every FTA payment step. Our team gives advice, checks your paperwork, and manages bank transfers for you. We talk to the FTA if there are any problems. We explain every process in detail and solve your questions fast. With us, you’ll find that “where there’s a will, there’s a way.”

  • For more information, visit our office:
    Saraya Avenue Building – Office M-06, Block/A, Al Garhoud – Dubai – United Arab Emirates
  • Or contact/WhatsApp: +971 50 276 2132

FAQs on Procedures to Follow While Making FTA Payment

What expenses can a business deduct under UAE Corporate Tax?
You can deduct any real business cost paid only for earning taxable income, like salaries, rent, and depreciation.
Can I deduct full interest paid on loans?
No, you can only deduct up to 30% of your EBITDA as interest.
Is depreciation always deductible?
Yes, but you must spread it over the asset’s useful life using proper accounting methods.
Are client entertainment costs fully deductible?
No, only 50% of client entertainment or leisure costs can be deducted.
What about dividends and capital gains?
Dividends and capital gains are usually not taxed if certain rules are met, like owning 5% or more of the subsidiary’s shares.

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