Dear Valued Customer,
The Federal Tax Authority in the United Arab Emirates (UAE) has passed its value-added tax (VAT) legislation confirming that VAT will be implemented with effect from 1st January 2018.
VAT will be charged at a standard rate of 5% on all consumption goods and services in the UAE and as mandated by law except for those goods which are exempted or zero-rated.
As per the UAE VAT law, you can claim back the VAT you pay to Global Messaging FZ-LLC, also trading as SMSGlobal, by netting it against the VAT collected from your own customers.
Accordingly, our invoices will be subjected to VAT starting 1st January 2018. Our tax registration number is as follows:
Please note: the values of all SMSGlobal commercial documents are exclusive of VAT unless explicitly indicated otherwise. Our customer invoices will be issued against their VAT registration number. Please log into our MXT portal to update your details and add your entity's VAT registration number soonest possible. In the event that we do not receive your details in a timely manner, we will continue to invoice you as agreed in our contract(s). This may affect your ability to claim back the VAT you pay us.
Please note: additional post-dated cheques or payments will be required to balance the VAT charges applicable to our agreements as of 1 January 2018. Accordingly, this communication is also considered a legal notice amending any contracts in force, in compliance with the VAT Law and its Executive Regulations, and also represents a change to our Terms & Conditions of service which can be found at https://www.smsglobal.com/terms-and-conditions/.
For more information on VAT legislation in the UAE, please visit https://tax.gov.ae/index.aspx.
For FAQ's regarding VAT, please click here.
Global Messaging FZ-LLC (also trading as SMSGlobal)