TRN Verification Dubai: All you need to know
One of the most important legal identities for any company doing business in the UAE is the TRN (Tax Registration Number). You should know that the government in this country is quite effective in taking action against companies that are attempting TRN and trade fraud. This is because, when fraud is carried out, it is a fact that affects the entire business community, the government, and clients. If you want to avoid getting involved in these situations, you have to learn everything about TRN verification Dubai.
In this article, you will learn everything you need to know about TRN verification in Dubai. The first thing will be to define what the TRN in the UAE is. Secondly, we are going to teach you why you should do a TRN validation. In addition, we will show you a step-by-step guide on how you can verify TRN, directly or using the FTA website. Finally, we are going to teach you in detail what you must do to report fraud.
- What is the Tax Registration Number (TRN) in the UAE?
- Why should you carry out a TRN verification in Dubai?
- Learn how you can obtain a valid TRN for your company in the UAE
- Step-by-step guide on how to do a TRN verification in Dubai
- How can you make a fraud report with TRN verification Dubai?
1. What is the Tax Registration Number (TRN) in the UAE?
The TRN or Tax Registration Number is one of the legal identities that are very vital for any company that decides to operate in the UAE. A unique number is assigned by the Federal Tax Authority of the UAE to each company. All companies in the UAE need the TRN to file their taxes. In addition, you are also required to interact with other companies and government entities.
1.1 Is the TRN the same as the Emirates ID?
Anyone arriving in the UAE can very easily confuse the TRN with the Emirates ID. This happens because both are made up of 15 digits. However, it should be noted that these are different in both structure and purpose. The Emirates ID is used for individual identification, while the TRN is used for companies.
The UAE government requires citizens and residents to ask for their ID and to have it with them at all times. Otherwise, the TRN is only needed for companies in the UAE to conduct their business transactions and reports legally. Also, the authorities that issue the TRN and the Emirates ID are different.
Individuals must apply to the Federal Authority for Identity, Citizenship, and Customs and Port Security so that they can obtain their Emirates ID. If you are a business owner, you will need to apply to the Federal Tax Authority to register your business. In this way, you can obtain your valid tax registration number.
1.2 Why is a commercial TRN necessary in the UAE?
All business owners will need the TRN to formally communicate with regulatory bodies and authorities. Below are some of the activities that will need to have a valid commercial TRN:
- The preparation of tax invoices.
- The tax credit note.
- Presentation of VAT and tax returns.
- The invoicing of the clients to which the VAT is being applied.
2. Why should you carry out a TRN verification in Dubai?
The TRN serves as a legal identity for all companies in Dubai and the UAE. In 2018 the UAE government introduced VAT with up to 5% for companies in various sectors. This was intended to make the UAE less dependent on oil and more dependent on sustainable economic activities.
Following the tax procedure indicated by the TLC, when invoicing your clients, you can only charge up to 5% VAT. This is about the total payment that has been made by the client. However, there are many cases of fraudulent companies. In this case, they do not have a valid TRN and charge VAT to customers, but VAT is not paid to the UAE government.
To prevent this, the government introduced a simple process to verify the TRN in Dubai and the UAE. This verification can be done online and can be done by both customers and businesses. You must obtain the federal tax authority TRN verification, otherwise, you will not be able to collect VAT from customers. This can get them fined and even have their business license suspended when filing their financial reports.
Customers can also verify this process. This way they can make sure that their money goes to the right authority. In addition, if they carry out the VAT TRN verification, they can ensure that the company is authorized to receive the VAT payment.
3. Learn how you can obtain a valid TRN for your company in the UAE
If you do not have a valid TRN and need one to start your new business in the UAE, it is important that you obtain one. The FTA allows all companies in the UAE to apply for TRN registration online. All this can be done through the electronic services portal that the FTA has. In addition, you will need to visit the FTA page to sign up for an account.
After registering, this portal will provide you with all the resources specified by the required documents. In addition, in this part you must provide complete details regarding your business and include the following information:
- The type of business you are registering.
- What your business location will be and whether it will be located in a free zone in the UAE.
- The registration criteria.
- All the data of the person who owns the business.
When applying for your tax identification number in Dubai, you will need to provide scanned copies of documents. Next, you will see which documents these scanned copies will need:
- The partnership agreement, if it is a partnership company.
- The statutes.
- Passport or your Emirates ID. In addition, you must take into account if you have any Emirates ID fines.
- Another document that has ownership information.
In addition, you will also need to provide all your company’s bank account details. However, if this business is not being run by yourself; you must provide the contact details of a designated business administrator. In addition, this will be whom the authorities can contact for legal reasons.
4. Step-by-step guide on how to do a TRN verification in Dubai
If you want to TRN verify, this is a very convenient process for those with a computer or smartphone. When a company obtains its FTA TRN, the database is in charge of registering this company as a valid registrant. Also, everyone can go to the FTA website to check the legal registration of any company.
Long ago, the FTA required users to register on the website with their identity details. In addition, this was done to be able to perform the verification of the TRN UAE. However, this process was complicated. For this reason, the registry is currently available to everyone, guaranteeing excellent transparency in the process.
4.1 How to check the TRN number visually?
TRNs have a specific format of digits that you will be able to identify immediately. Also, before you proceed to verify it online for TRN Dubai verification, you will be able to simply see the number and identify the format. The TRN always starts with 100, then contains three sets of four digits. Leaving then the structure like this: 100-XXXX-XXXX-XXXX.
It is important that you always check the TRN number. However, you will be able to make this process faster if you find that the TRN does not match the established structure. A fake TRN can be easily verified by checking the following:
- You do not have exactly 15 digits.
- At the beginning it does not have 100 in the first three digits.
- It does not have the proper format.
As soon as you visually perform your TRN validation and verify that its format is correct, you can proceed to validate it online with TRN Dubai verification.
4.2 Verify the website of the Federal Tax Authority
There are a series of steps that will help people or companies to verify any commercial TRN in the United Arab Emirates at any time. The different steps to verify a commercial TRN can be observed below:
4.2.1 Enter the FTA website
Visit the FTA page to be able to verify any TRN. However, if you want to expedite the process you can Google TRN check UAE or TRN verification UAE. In this way, Google will take you to the FTA page that is related.
4.2.2 Enter your TRN number on the page
When you get to the UAE TRN verification page, you will find a text box to enter your TRN. In addition, you will find another separate text box, which will be to enter a captcha or simply a security code.
You will need to carefully enter the TRN. If you want to perform a TRN search UAE, this can be easily found on your invoice, business documents, or your money receipt. In addition, you must also enter the security code correctly. Once this process is finished, you must click where it says Validate.
4.2.3 Verification of the TRN entered in the previous step
After clicking Validate, the website will take care of checking the entered TRN against its database. If the database matches a valid TRN, it will display a message saying TRN is available in the system. Also, this window will show what is the legal name of the business entity in both Arabic and English.
However, if no match is found, a text will be displayed saying TRN does not exist in the system. This process can ensure that the company has a valid tax registration number. In addition, you will also need to verify your TRN as a business owner. This way, you can ensure that your clients will always be able to authenticate you.
In the UAE, there are many types of visas for people who wish to work in this nation. In addition, to obtain many of these it is necessary to have a job in a company and that our employer complies with all the legal requirements. However, some companies have illegal practices such as an invalid TRN.
Due to all the problems that can arise regarding this topic; it is recommended that you check the TRN of the company that will sponsor you in the UAE. Otherwise, you may have problems in your legal proceedings.
5. How can you make a fraud report with TRN verification Dubai?
When a business does not have a valid TRN while billing customers it can cause problems. This is because collecting VAT in this way is considered fraudulent and a crime in the UAE. Customers have to report if they find a fake TRN by visual inspection or by UAE TRN verification.
The process to be able to report a false TRN is simple. The person may contact the FTA by email or phone. If it is by mail you can write to [email protected], or by phone call the following number 600 599 994. It is important to remember that whenever you suspect something regarding the TRN of a business, check if it is valid in the UAE.
If you want to start a new company in the UAE, you should know all about the requirements to do so. In our blog, you will find detailed information regarding everything you need to know when starting your business. In addition, you will find information on how to acquire your establishment card to how to obtain your remote work visa in Dubai.
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